What is Tron: TRX explained for beginners!

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Cryptocurrency has become more mainstream over the years since Bitcoin was introduced in 2008. Its popularity allowed it to expand on different markets, improving the quality of exchanges, especially transactions processed online.

One of the industries that saw great potential in cryptocurrency is the gaming industry. To increase the sales of their products and eliminate third parties in their transactions, game developers saw the opportunity in the decentralized function of crypto. 

This year, the rising star in the cryptocurrency market when it comes to gaming is no other than Tron. Tron is a decentralized entertainment and content-sharing platform that uses TRX as its native coin.

It was launched in September 2017 by a Chinese businessman and developer named Justin Sun who designed Tron as a platform that will enable digital content creators and developers to have full ownership of their product. It is tailored to fit the needs of the entertainment industry by allowing direct transactions between users and creators. 

Digital creators who use Tron can publish their works and sell their products directly to their fans without a third party taking a cut from their income. With Tron, a content creator can have full control of their products. There is no more need for creators to pay expensive fees to feature their content on Apple and Google Play Store. 

What is Tron coin?

Tron is a platform that uses blockchain and peer-to-peer (P2P) technology to process its transactions. With Tron, users can sell their products directly to their patrons. 

Think of it as an advanced social media outlet where you can create and share the content that you want, be it video, games or other media art. To access these products that creators share, the users must pay for them with Tronix, which is the basic unit of accounts in Tron’s platform. In simple terms, it is Tron’s currency often referred to as TRX. 

Features of Tron: What makes it different? 

Tron is a powerful platform made for creators all over the world. It works in a decentralized network where users can access different content without any censorship, limitations or geographical restrictions. Aside from this, content creators are also given freedom with their work. Check out the number of features that Tron has below:

On-chain governance 

Through the decentralized election, Tron’s public chain produces two types of roles: Super Representative (SR) and Super Representative Partner (SRP). The people behind these two positions can participate in the on-chain governance where they can initiate voting for proposals. 

The SR and SRP also have the power to pack transactions and produce blocks. For their effort, they will be rewarded with block production incentives that will be sent to their account. 

Token support 

Just like every other smart contract platform, Tron supports a range of token standards including TRC-20, TRC-10 and TRC-721, a non-fungible token standard meaning it is certified as unique and therefore interchangeable. This kind of token support helps developers power a range of cases. 

High scalability 

Tron is a platform designed to handle massive on-chain scaling. Its technology allows developers to build applications that can support large numbers of users simultaneously without a problem. As of writing this article, Tron’s Delegated Proof of Stake (DPoS) system can process approximately 2,000 transactions per second (tps). 

Well developed ecosystem 

Tron is one of the earliest smart contract platforms to move to the main net. For this reason, it managed to have a well-developed ecosystem of decentralized finance (DeFi) and decentralized application (dApp) products.

These include the file-sharing protocol BitTorrent, the JUST ecosystem of DeFi platforms and the decentralized exchange PoloniEX. In addition to this, Tron users can also port their dApps from Ethereum Virtual Machine and other EVM compatible platforms to Tron. 

How does Tron work?

Just like every other cryptocurrency, transactions made with Tron occur in a public ledger known as the blockchain. This decentralized network stores data from one block to the other, keeping the blocks connected. Tron keeps the transactions secured with this kind of system since tampering with one data from the block can affect the entire chain.

Basically, it uses the same transaction model as Bitcoin with a bit of improvement on security. The model that TRX uses is called UTXO. For this model, a transaction will require a basic output, which is the number of coins sent from one TRX user’s address to the other. 

The future of Tron!

The future of Tron is full of possibilities and opportunities. If you are looking to invest in this cryptocurrency, here are the things that are in store for you in the future: 

1. Tron values promise 

Tron is considered the fastest-growing public blockchain for its decentralized web. It aims to provide the foundation for the DeFi space through smart contracts, financing and loans, which are mapped decentrally on the blockchain. 

The low level of decentralization and security that Tron offers allow it to have faster and cheaper transactions. Speculators and investors see it as an alternative to Ethereum, which offers higher transaction fees. 

2. Tron price development 

The online community is slowly focusing on making more content online and open to the public. Creators who want to have full ownership of their creation can benefit from Tron and thus, there is a foreseeable growth in Tron’s price in the future. 

3. Technical development 

Tron’s network uses a delegated proof of stake (dPoS) consensus algorithm. This kind of system is resistant to censorship and it is also decentralized. Aside from this, Tron also managed to bring the largest DeFi domain in the blockchain, making it possible for Tron compatible virtual machines to port data to each other without a problem. 

Buy, store and invest in Tron now! 

Based on the data presented above, Tron proves to be a welcome addition to the competitive crypto market. It focuses on the biggest industries in the digital age, making it attractive to creators and users. 

In addition to this, the stable support and attention that it is receiving from the Chinese crypto community make it worth the shot for a short term or long term investment. It may not have explosive growth, but its stability in the market makes it a secure investment. 

Cryptocurrency Market Capitalization
  • bitcoinBitcoin (BTC) $ 51,189.00 0.77%
  • ethereumEthereum (ETH) $ 3,063.82 1.31%
  • tetherTether (USDT) $ 1.00 0.14%
  • bnbBNB (BNB) $ 387.88 2.18%
  • solanaSolana (SOL) $ 102.08 0.15%
  • staked-etherLido Staked Ether (STETH) $ 3,058.69 1.25%
  • xrpXRP (XRP) $ 0.535855 1.75%
  • usd-coinUSDC (USDC) $ 0.999959 0%
  • cardanoCardano (ADA) $ 0.578743 1.63%
  • avalanche-2Avalanche (AVAX) $ 36.76 0.38%

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