The Tron (TRX) cryptocurrency was founded in 2017 by Justin Sun and goes beyond the uses of conventional cryptocurrencies.
Sun first created the Tron network as an entertainment platform. However, over time, it has evolved into a competitor to Ethereum’s “world computer” ideal.
What is TRX?
The TRX cryptocurrency was created to execute code on the Tron blockchain. It is also a means for buying content for publishing on the Tron network. There are currently 99 billion coins in circulation, with the value growing as the network grows.
It is not possible to mine TRX because no work goes into validating transactions on the Tron blockchain. Instead, all coins were minted during Tron’s ICO, and those who invested during the ICO are now able to stake their TRX so they can earn more.
At the time of writing, TRX has a total market cap of $2.294 billion. Like many other cryptocurrencies, TRX transactions take place on a public ledger. It is on this ledger where every TRX transaction in history can be traced back to the first transaction. TRX’s transaction model is similar to Bitcoin’s, but it has improved the model by adding security.
Transaction speed and cost
The Tron network is able to process 25,000 transactions per second – quite a lot more than Bitcoin’s six or Ethereum’s 25. It is able to do this because of its use of DPoS (Delegated Proof-of-Stake), a consensus mechanism that allows a large number of transactions. DPoS is the democratic version of the Proof-of-Stake consensus algorithm.
It is not just the speed that makes TRX a go-to cryptocurrency. A major benefit of TRX is that its transaction fee is almost zero. In December 2018, Sun took to Twitter to announce the transaction fee had fallen to 0.1%, with the fee then reaching 0% the following week.