Tronix
Contents
The cryptocurrency Tronix (TRX) is the native token for the Tron network. This is a decentralized, blockchain-based system with smart contract functionality, and it employs Proof-of-Stake as the consensus mechanism.
Since Tronix (TRX) is the native token for the Tron network, it is sometimes referred to as the Tron Coin. Tronix started out as an Ethereum-based ERC-20 token, but switched protocol to its own blockchain (Tron) in 2018.
Tron is chiefly known for its emphasis on the entertainment industry and creative endevours. The TRON Decentralized Autonomous Organization (DAO) aims to revolutionize the entertainment industry by decentralizing content sharing on its blockchain-based platform.
Short Facts About Tron and TRX
Original author: Justin Sun
Developer: The TRON Foundation
Initial release: 2018
Written in: Java
License: Open-source licenses
Website: tron.network
The Tronix (TRX) Token
Tronix (TRX) is the primary token of the Tron network. It’s a utility token that is used for transactions within the community. Users can purchase TRX to pay for the content they want to access, and content creators can earn TRX when consumers pay to access their content.
Understanding the Tron Network
The Tron network is not just a transaction solution for cryptocurrencies; it can also be described as
a social media platform where creators can share their content directly with consumers. Unlike traditional platforms where intermediaries control the exchange of content and revenue, the Tron network allows for direct interaction between creators and consumers. These transactions are facilitated using TRX.
The TRON protocol was initially maintained by the TRON Foundation and is now maintained by the TRON DAO. It distributes computing resources among TRX holders based an internal pricing mechanism which takes into account factors such as bandwidth and energy.
In some ways, the Tron network is quite similar to EOS.IO. They both have very small transaction fees, can carry out a high number of transactions per second, and have exibited a high degree of reliability. They are both considered new generation blockchain systems.
Architecture
Tron relies on a 3-layer architecture:
- Storage layer
- Core layer
- Application layer
History
2014
Justing Sun began working on Tron.
2017
Since 2017, the project has been overseen by the TRON Foundation, which was established in Singapore in July that year. In 2017, the TRON Foundation carried out an initial coin offering and managed to raise 70 million USD. Shortly thereafter, China legislated against digital cryptocurrencies, and this had a noticable impact on the cryptocurrency markets.
2018
In January, Protocol Labs CEO Juan Benet took to Twitter to reveal that the TRON whitepaper included portions copied from the whitepapers for IPFSbot and MineFilecoin. Investigators at Digital Asset Research (DAR) then found that the Tron code base included several sections that had been copied from other projects. Lastly, Tron was accused to acting in breech of the GNU Lesser General Public License v3.0 (LGPL), since they had failed to mention that the client was derived from EthereumJ (a Java implementation of Ethereum).
Despite these issues, the testnet, Blockchain Explorer and Web Wallet for Tron were launched by March this year. May saw the launch of TRON Mainnet, and in June, TRON switched from being an ERC-20 token on the Ethereum network to being an independent token on its own network.
On the 25th of July, the TRON Foundation announced the acquisition of the P2P file sharing service BitTorrent.
2019
By January this year, Tronix had reached a total market capitalization of circa 1.6 billion USD.
BitTorrent started its own token sale, based on the TRON network, in February, calling them BitTorrent tokens (BTT).
In May, the cybersecurity company HackerOne revealed a weakness in TRON´s blockchain. The power of one PC would have been enough to send out enough requests to bring the blockchain down by squeezing the power of the blockchain´s CPU, causing a memory overload.
2021
Having been at the helm since the first days of Tron and Tronix, Justin Sun resigned as CEO of the TRON Foundation in late 2021. After this, the non-profit foundation was reorganized and became a Decentralized Autonomous Organization (DAO). A DAO is an organization managed wholly or partly by a decentralized software. Typically, voting and finances are handled through blockchain. The precis legal status of this type of organization remains unclear. In some jurisdictions, they are tentatively classified as member-owned communities without any central leadership.
2023
TRON and Justin Sun were sued by the U.S. Securities and Exchange Commission (SEC) in March, accused of selling unregistered securities and of carrying out wash trading in the secondary market for TRX. The case involved both Tronix (TRX) and BitTorrent (BTT) tokens. Also, eight well-known persons from the entertainment industry were accused of promoting these cryptocurrencies without disclosing that it was a paid promotion: Akon, Ne-Yo, Austin Mahone, Soulja Boy, Lindsay Lohan, Jake Paul, and Lil Yachty.
In November, it was revealed that several groups classified as terror organizations – including Hezbollah, Hamas and Palestinian Islamic Jihad – were using the Tron network.
2024
In February, Circle announced that it would no longer support the USDC token on the Tron network.
The Future of Tron
While the Tron network has been subject to criticism and controversies, its vision has resonated with many in the industry. With its scalable network, smart contracts, and emphasis on content creation, Tron represents a notable development in the world of cryptocurrencies. As the Tron network continues to evolve, it will be interesting to see how this innovative platform shapes the future of the entertainment industry and beyond.
The Tron Foundation has big plans for the future. In addition to further improving the scalability and efficiency of the Tron network, the Foundation intends to expand its services into various areas, such as decentralized gaming and decentralized finance (DeFi). With the potential to disrupt these sectors, Tron is poised to be a leading force in the blockchain industry.
As always, it is Iessential for potential investors or users to conduct thorough research before investing in or using TRX or any other crypto coin due to the high volatility and risk associated with the cryptocurrency market.