TRON is a decentralized digital platform based on blockchain technology. It has its own cryptocurrency called Tronix or TRX. The Tron Foundation, a Singapore non-profit organization, founded TRON in 2017. The platform aims to provide a global entertainment system for cost-effective sharing of digital content.
Initially marketed primarily in Asia, TRON has now gone global. As of August 2021, the platform boasts more than 165.5 million user accounts. TRON was founded by Justin Sun who now serves as CEO, has offices in Singapore and San Francisco. Sun, born in 1990, is also the CEO of BitTorrent, the file-sharing program and protocol.
TRON leverages blockchain and peer-to-peer (P2P) technologies to bypass intermediaries, allowing content creators to market their creations directly to their audience. Developers employ the Solidity language to craft decentralized applications (dApps) hosted on the TRON ecosystem. Sites like dApp Radar offer a great resource to find and download TRON-powered dApps.
Tronix, commonly referred to as TRX, is the native currency of the TRON network and has a capped supply of 100 billion coins (there are currently c. 90 billion coins in circulation). Users transact with TRX to directly compensate content creators for accessing their applications. Notably, content creators aren't charged transaction fees by Tron, and TRX transactions on the platform are free of charge.
Users have the option to safeguard their crypto-assets in desktop, mobile, or hardware wallets. TRON (TRX) can be used for various purposes, including:
The TRON network stands out from many of its rivals and has three distinct advantages:
TRON adopts a 3-layer architecture and its protocol adheres to Google Protobuf, which intrinsically supports multi-language extension:
Unlike Bitcoin's energy-intensive Proof-of-Work (PoW), TRON uses Delegated proof of stake (DPoS), allowing for quicker and more energy-efficient transactions. TRX holders vote for Super Representatives, who are responsible for validating transactions and creating new blocks.
The TRON network's framework is often likened to the Ethereum platform, sharing foundational elements like decentralized applications (dApps), smart contracts, and tokens. Some criticisms directed at Tron suggest it might have leaned too heavily on existing foundations, borrowing rather than innovating core aspects of its platform. Allegations of plagiarism persist in respect to it’s white paper.
Notably, the dynamic between Tronix and Ethereum seems to be shifting into a competitive space. Not long after introducing support for USD Coin (USDC) — a cryptocurrency pegged to the U.S. Dollar — the amount of the coin circulating on Tron soared past $108 million. This surge could hint at a growing preference among crypto traders for platforms offering quicker transactions at reduced fees compared to Ethereum, as suggested by a Coindesk report in July 2021.
TRON has been proactive in its expansion strategy:
RON (TRX) can be purchased from any number of cryptocurrency exchanges via credit card, bank deposit or by exchanging one of your existing assets. Of course, you can also buy, receive and store TRX using your favorite non-custodial wallet: Savl 😊
Once you own some TRON coins, you are also able to stake it to earn rewards on certain popular crypto exchanges where at the time of writing this article, stakers can earn an APY of 3.48%. In fact, around 48% of all TRON coins in circulation (c. 42BN) are presently used for staking purposes.
Despite criticisms around over hyping and underhand tactics by its founder, TRON's continual growth in the DApp sector, combined with strategic acquisitions, position it as a significant player in the blockchain world. Its vision of a decentralized web aligns with the broader trend of looking for alternatives to today's centralized internet powerhouses.
At the time of writing this post (August 11, 2023), data from CoinRanking.com placed TRX 10th in terms of cryptocurrency market capitalization. Priced at $0.077, its market cap stood at $6.9 billion, with its all-time peak recorded at $0.2180.
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