With both its financial benefits — as well as the fact it is tapping into both social and cultural zeitgeists — TRON looks set to become one of the most reliable and exciting blockchain networks of the future.
TRON is now one of the most popular blockchains, having 100,048,526 users and officially breaking the 100 million ceiling of active accounts on the network. TRON launched back in 2018, it is one of the three biggest public chains globally and is committed to building the infrastructure for a decentralized internet. Founded by Justin Sun, it has marked itself as one of the pioneers of the Web3 space. It currently has over $9.2 billion in total locked value. The network completed decentralization in December 2021 and is now a community governed DAO. The number of USDT has managed to even overtake Ethereum.
But, this all said, many crypto fans and community members are not fully aware of the major benefits that TRON has. So what exactly makes this blockchain platform stand out from the other competitors in the space?
How does TRON work?
TRON is a public blockchain, which means that it is completely open and decentralized, so anyone in the network can access or add blocks. The network is dedicated to providing an underlying infrastructure which enables developers to create smart contracts and decentralized applications. As well as freely publish, own and store data and other content.
The key features that set TRON apart:
- Three layer structure: TRON is modeled using the Google Protobuf (Protocol Buffers) system. This method serializes data and is designed to help platforms communicate with one another. TRON is structured in a three layer system, each of which is optimized for certain functions. The core layer makes up the foundation of the blockchain’s protocol. Its primary task is to drive TRON’s innovative consensus procedure for adding new blocks into the chain. It also oversees the management of accounts and smart contracts, which power the system. The storage layer allows for data storage needs within the evolving blockchain, providing both security and stability. Lastly, the application layer is intended for software engineers to effectively interact with the TRON ecosystem. The in built smart contract function means that it is able to support new applications on top of the platform.
- High transactions per second: TRON has one of the highest transaction per second rates of any blockchain, it currently is estimated to be capable of 2,000 transactions per second (putting it on a par with applications as huge as PayPal). This is due to the DPoS algorithm that the platform uses, which verifies transactions and promotes organization on the blockchain. Its low transaction fees mean that it is therefore possible to make large transactions both quickly and cheaply.
- More scalability: As a result, this low cost but fast rate of transactions means that the platform offers significant scalability. So users can continue to grow the number of data exchanges and transactions easily.
TRON’s smart contracts are written in Solidity, which makes it easy for Ethereum developers to deploy on the TRON network. Additionally, the project plans to support other languages in the near future. Decentralization is absolutely at the core of the TRON philosophy. The platform’s architects plan for it to become the underlying architecture of decentralized applications more broadly, in line with their mission to create “a truly decentralized internet”.
So, how does TRON differ from other blockchains?
One of the key components about TRON — that makes it stand out against other blockchains — is the fact that it offers a significantly faster transaction speed when compared to Ethereum or other networks. This also means that is more scalable than many of its competitors. Scalability is a crucial aspect of a decentralized network, which the transaction speed makes viable. The complex array of algorithms and consensus functioning means that TRON is a more advanced platform than many other blockchain platforms. Consequently this makes it a highly appealing platform to use for both content creators and artists creating and releasing within the blockchain and crypto sphere. TRON is also pioneering due to its unique position of adopting blockchain technology in order to distribute entertainment or arts based content. Decentralizing distribution of material and content means lower costs for audience members and more earnings for the artists. TRON allows users to purchase content and creative work directly from its creators, meaning that it is standing in complete opposition to traditional entertainment platforms such as Amazon and Netflix.
What particular benefits can users get from working with TRON?
One of the key benefits of TRON is that it offers users low fees. The fees are as low as $0.000005 per transaction. This makes it a highly attractive platform for traders. But the low cost of the platform does not undermine the number of transactions possible, in fact one of the main objectives of founder Justin Sun, when establishing TRON was to create a platform that was centered around a great volume of transactions, there have been over 3 billion transactions on the network since it was founded. The network can support up to 2000 transactions per second. In comparison, it is estimated that Bitcoin boasts 3 to 6 transactions, whilst Ethereum allows 25. This clearly sets it apart in terms of the rate and frequency of transactions it allows.
TRON is also EVM compatible, which means that it is easy for developers or users who are usually using Ethereum for port applications to move over towards TRON.
There are also some significant benefits to trading TRON. When trading TRX coins investors can pick their time of actual trading, this means you can pick your market price and can therefore profit off the price after the market price has risen. There are multiple options to trade either short or long with TRX coins, making it a highly flexible trading option. TRON transactions simply demand an account login, with transactions being immediate. This makes it much more accessible to trade than traditional financial and bank models of investment. It is also considered 9.5 times less volatile than a DOW investment, which is another reason why it is a good reason for investors to opt for it over the traditional stock market.
So how popular will TRON become?
The rate at which TRON has developed in the last two years points to the fact that it is likely to only grow in popularity. In fact — at a time where there has been some uncertainty in the crypto market — TRON is forecast to maintain stability. It is also well placed to withstand the growing climate of regulation that is becoming prevalent in the crypto world, as it is ACCA approved. Similarly, the power that it puts back in the hands of content creators taps into the growing trend and demand for decentralized social media apps (the DApps market is forecast to become worth a significant USD 368.25 Billion by 2027). What’s more TRON’s USDT transactions are now outpacing many of their competitors, with them surpassing those made on Ethereum every day in 2021, reaching in excess of 40 billion USD.
The expectations around TRON are high, with many forecasters expecting it to grow in success and popularity. Predictions for the ROI on TRON are largely very positive, with some platforms suggesting as much as 29% in 2022 and then as high as 157% in 2025. But naturally there also remains some caution about the bullish nature of crypto more broadly. But this all said, TRON has managed to set itself apart both in terms of its technical capabilities as well as its vision for the future and the fact it has positioned itself at a unique place in the market, opposing centralized and traditional entertainment platforms. Whilst there are few certainties in the crypto sphere, there are many reasons to feel optimistic about the future of TRON.
By Svyatoslav Dorofeev, the CEO of TheWatch