A Beginner’s Guide to TRON (TRX) Cryptocurrency

The following article is a re-write of content originally developed by Coincentral.com: What is Tron (TRX) Cryptocurrency? | Beginner’s Guide

Since the inception of the very first bitcoin in 2008 and right after the rapid increase in bitcoin’s price, numerous other cryptocurrencies including Ethereum, Litecoin, Monero, Ripple, etc have been launched and introduced to the gargantuan market of cryptocurrency trading. Among the thousands of cryptocurrencies available at the moment, TRON has gained considerable popularity in the last few months. This cryptocurrency was first introduced to the market as an initial coin offering (ICO) on September 9, 2017, by a Singapore based non-profit organization.

By definition, TRON refers to an open source blockchain-based protocol specifically designed for the digital entertainment industry spread across the globe. It offers a decentralized platform that shares various entertainment content by leveraging a blockchain and peer-to-peer (P2P) network technology.

With its official cryptocurrency Tronix (TRX), this decentralized platform aims to mitigate the plenary control of the internet by a paltry number of corporations such as Google, Facebook and  Amazon by handing ownership of the data pool to the user. As per TRON’s whitepaper, the sole purpose of this cryptocurrency is to become an asset for humankind rather than turning into a profit-making tool for cryptocurrency traders.

The Technology behind TRON

TRON incorporates a blockchain based peer-to-peer technology which basically means that like other cryptocurrencies, it is capable of eliminating the middleman. From another aspect, TRON’s technology is a distributed storage facility that allows its users to access entertainment content from every part around the world without seeking assistance from GooglePlay Store or Apple Store. As a result, the content producers are able to receive funds directly from the consumers quickly.

As a cryptocurrency platform, TRON is capable of supporting multifarious blockchain networks and smart contracts including bitcoin, Qtum, Ethereum, EOS, and various other smart contracts. With this innovative technology and Peiwo App, TRON has become the first smart contract blockchain protocol that possesses over 10 million wallet holders all across the globe.

Stages of TRX:

TRON incorporates several stages or phases as it implements multiple blockchain technologies. It is currently on Exodus stage but in the coming years, this cryptocurrency is supposed to incorporate five more phases:

  1. Exodus: This modus operandi of this phase is quite similar to that of IPFS (a peer-to-peer hypermedia platform that is capable of making webs faster). As mentioned earlier, TRON is currently in this phase and the principal objective of Exodus is to provide a simple distributed file sharing facility. In this phase, TRON cannot leverage any blockchain technology on its current platform.
  2. Odyssey: This is the second phase of TRON and it intends to incentivize the creation and early adoption of a propriety community of entertainment contain creators. The Odyssey phase will be similar to the proof of stake paradigm. In this phase, the scale of reimbursement for creation is linked to a metric which follows a tipping scheme instead of views or clicks. The reason for eliminating the click or view system is to ensure authentication. Clicks can be produced in a bulk if there is a click farm or automated body involved. In this phase, the users of TRON will be able to make transactions by using TRX via unidirectional payment channels similar to µRaiden.
  3. Great Voyage: The third phase of TRON will be a personal ICO based on the advantages of blockchain network. Income payment, dividend management, and management of supporters would be the three principal objectives of this phase. Great Voyage would be able to transform this cryptocurrency from “fan economy” to “fan finance”. To achieve these goals, a personalized blockchain platform of TRON would be created in this phase.
  4. Apollo: This phase will also exhibit similar characteristics as Great Voyage. Like the third phase, Apollo would also offer an individual ICO to its users and an Ethereum-like platform. In this phase, TRON will be able to launch its own tokens that users would be able to emply for decentralized trading. Through this decentralized trading, the economic vitality of the entire system is likely to be increased considerably. However, there is also a possibility of a slight ramification where the network would not be able to validate the uniqueness of every token individually. To prevent this situation, TRON is likely to introduce a sophisticated security system that would successfully obliterate malicious websites, Sybil attacks, and hack attacks.
  5. Star Trek: The fifth phase or the Star Trek phase is actually quite similar to the technology of Augur that is basically a gaming platform. In this phase, the content platform of TRON would be transformed into a decentralized gaming platform with autonomous gaming as well as predicting functions. As the current value of the global gaming market is more than $450 billion, this phase is likely to provide TRON the impetus it needs to reach a desirable market capitalization.
  6. Eternity: As the sixth and final stage of this cryptocurrency, Eternity would basically deal with the fundraising and monetize depending on the growth of its community. In this phase, the investors would be able to put their money in globally popular games.

The Advantages of TRX

The TRX cryptocurrency of TRON can provide the following advantages to its users:

  1. Data liberation: The users or data creators would have the fundamental ownership of the entertainment contents and other related data instead of middlemen like Google Play Store or Apple.
  2. Personal ICO: The liberty to dole out individual digital assets.
  3. Gaming and market forecasting: TRX comes with a distributed digital asset that allows market forecasting and gaming for the investors.

TRX Market Cap, Circulation, and Trading History:

At this very moment, the market capitalization of this cryptocurrency is circa $7.5 billion, which is a steep rise from its market cap $6.47 billion just a few days ago. As on December 18, 2017, Sun announced that $34.2 billion worth TRON token is locked up until January 2020. At the moment, 1 TRX is equivalent to $0.114084.

TRX Price Surge

Buying and Storing TRX

Interested traders can access TRX in exchanges like Binance and Liqui, where they can trade them for bitcoin or Ethereum. In exchanges like Bitstamp or Coinbase, TRON is also tradable.

For storing TRX, hardware wallets like Ledger Nano S or Trezor will be appropriate as TRX is an ERC-20 Token.

Conclusion

Although it’s still early days, TRON’s native Tronix token has shown significant promise to become a viable cryptocurrency of the future. The recent large upswing in its value suggests TRX could have a pivotal role to play in the overall market.

Featured image courtesy of Shutterstock. 

Author:
Hira Saeed is a tech geek girl with a passion to write on latest technology trends. She is the Founder of Tech Geeks community in Pakistan and also runs her copywriting and social media agency, Digital Doers. Follow her on @heerasaeed.