What Is Tron & How Does It Work? Who Created TRX? (2024)

What Is Tron (TRX)?

Tron is a blockchain-based project that launched in 2017. It was quite unique at the time in that it didn’t seek to advertise any cryptography or network design-related improvements.

The basic building blocks of Tron, such as decentralized applications (dApps ), smart contracts, tokens, or its delegated proof-of-stake consensus, were all pioneered by other projects. While some criticized the lack of innovation in the project, many approved the use of already-tested features rather than trying to build something new by all means. This allowed for a greater focus on user experience and design, as well.

Tron differentiated itself with its Asia-focused market strategy that heavily relied on publicizing its founder and creator, Justin Sun. With an incredibly active community of avid supporters, it’s no surprise that the futuristic-sounding Tron has seen some success.

The TRX cryptocurrency gained even greater mainstream attention in 2018 when the non-profit development company behind Tron, the Tron Foundation, acquired peer-to-peer content sharing platform BitTorrent.

How Does Tron (TRX) Work?

While Tron is now a separate coin, it was once an Ethereum-based ERC-20 token.

The Tronix network works on a few principles, with the first being decentralization. All data on the blockchain is completely free and not controlled by any central authority. Content creators are able to gain the TRX token as a reward for posting their content.

It is also possible for creators to create their own tokens on the Tron network. These tokens can then be used within users’ own decentralized applications (dApps) on the network. These newly-created tokens are underpinned by the main TRX token.

The final stage of the network development plan includes the support of games on the Tron network. These games would be totally decentralized and users could reward the creators directly if they enjoyed the game.

Tron works on a delegated proof-of-stake consensus mechanism. In this system, transactions are validated by 27 super representatives that are entrusted to maintain the transaction history. Super representatives are chosen every six hours, and earn TRX coin generated by the mechanism as a reward for their services.

The Tron blockchain gets a new block added every 3 seconds, and those that added the block get awarded 32 TRX tokens.

Who Is the Founder of Tron?

Tron was founded and created by entrepreneur Sun Yuchen (better-known as Justin Sun). He was mentioned as one of Forbes’ “30-Under-30” in Asia two times.

Prior to creating Tron, Sun had founded the audio content application Peiwo. On top of that, he acted as a representative for Ripple in 2015. However, he left that position after founding the Tron Foundation.

Sun’s business background attracted early investor interest, including Clash of Kings founder Tang Binsen, as well as CEO of bike-sharing startup OFO Dai Wei.

What Makes Tron Unique?

Tron is a very special cryptocurrency as it brings an entirely different perspective and goals to the market. There are no transaction fees for TRX, which is quite a remarkable feat. On top of that, the network is able to support 2000 transactions every second.

Holding (and staking) TRX gives users the chance to participate in the super representatives’ selection process. On top of that, the platform’s ability to reward content creators for their work, while retaining full ownership of their projects, is an extremely valuable concept.

What Gives Tron Value?

The biggest benefit of using Tron is the fact that artists and content creators from all over the world now have the option to fully own the content they create. The ability to create their content and share it without needing to worry about crippling transaction fees is also a major boon.

Tron is one of the leading projects that some call web 3.0. The main focus of the 3rd-gen web is to enable people to use the internet in a decentralized and open fashion, and this new network is one with real-world value baked in.

From a developer’s standpoint, Tron is special because it’s currently being built to allow the use of high-level language for its smart contracts. Developers in the future will be able to use any and every programming language to build on top of Tron’s open-software design.

How Many Tron (TRX) Coins Are in Circulation?

Tron (TRX) was first launched through an ICO, and raised around $60 million USD.

Tron’s native token, TRX, was created with a maximum supply of 100,850,743,812, with the current amount of TRX token in circulation sitting at 71,659,657,369.

At the time of writing, Tron (TRX) is holding the 22nd spot in the top market cap cryptocurrency list, with its current value sitting at $3.98 billion.

Other Technical Data

Tron reached its all-time high of $0.131 in January 2018. Though the price has struggled since, especially in the overall market conditions seen after December of 2017 (read: bear market), TRX is now rising in price and slowly gaining momentum as the crypto sector gains more popularity.

How Is The Tron Network Secured?

Tron’s main security feature is its delegated proof-of-stake consensus mechanism. The system rotates network validators every six hours, and each of these validators is chosen by voters (users that staked their TRX token).

In a novel way of crowd-sourcing to fight the constant stream of bugs that can be associated with software development, The Tron community has the chance to both contribute to development and earn rewards by participating in the Bug Bounty Program. In this program, the Tron Foundation offers generous TRX rewards for any bugs or vulnerabilities exposed.

How To Use Tron

The Tron network is currently capable of supporting various applications and games. Besides its main use case as a platform for content creators, Tron is often used to transact, as TRX transactions come with no fees whatsoever.

Tron is used as a means of payment by many companies, including Travala, SpendCard, Bitnovo, and more. On top of that, Tether has moved its stablecoin to Tron’s network called USDT-Tron.

After BitTorrent’s acquisition, Tron has become an even more impressive ecosystem.

How To Choose a Tron Wallet

Since Tron is a well-known cryptocurrency, it is supported by many wallets – both software and hardware varieties. There are more than enough options for users to pick and choose from, and each user will have to decide based on their specific needs.

Kriptomat offers a secure storage solution, allowing you to both store and trade your TRX tokens without hassle. Storing your TRX with Kriptomat provides you with enterprise-grade security and user-friendly functionality.

Buying and selling TRX tokens, or exchanging them for any other cryptocurrency, is done in mere moments when you store on our platform.

The Bottom Line

Tron is a unique cryptocurrency project, having taken various technologies pioneered by other projects and making them all work together. The Tron network offers a solution to content creators who are plagued by censorship or other problems of centralized content platforms. Also, its zero-transaction fee system makes it an interesting choice for companies and consumers alike when it comes to crypto payments.

Tron FAQ

How To Buy Tron

Buying Tron (TRX) is as easy as visiting our guide on how to buy Tron.

How To Sell Tron

If you own Tron and hold it on a Kriptomat exchange wallet, you can easily sell it by navigating the interface and choosing your desired payment option.

Tron Price

The current Tron price is EUR.

The 24-hour trading volume of Tron is EUR. Tron is currently ranked of all cryptocurrencies by total market capitalization, with a market cap of EUR. It has a circulating supply of Tron.

Register now to begin your journey into the world of Tron and cryptocurrencies with Kriptomat!

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