The world is becoming increasingly digitized, which goes some way in explaining why cryptocurrencies are becoming more popular. Among the many cryptocurrencies available, TRON is one that has gained a lot of attention. This post will explore TRON and explain why it is worth investing in this unique cryptocurrency.
What Is TRON?
During the 2017 crypto rally, Tron emerged as one of the major tokens on everyone’s mind. In contrast to most tokens that burst and never recovered, Tron has thrived. Moreover, it shifted from an ERC-20 token to its own blockchain, making it even more attractive to investors seeking unique tokens. Since then, it has gained traction in various industries, from TRON gambling to digital content distribution. In fact, the latter point makes it such an exciting new crypto in a world littered with mediocre tokens. Moreover, the TRX token can be used as both an asset and a utility token. As an asset, it can represent traditional securities like stocks or shares in companies or other entities. As a utility token, it provides access to services on various platforms developed by TRON Foundation in its underlying public chain network. So now that you have a cursory understanding of what TRON is, let’s take a look at some of the main reasons you might want to consider investing in it.
Decentralized Content Distribution Is Made Possible By TRON
TRON is a blockchain-based decentralized protocol that aims to construct a worldwide free content entertainment system with the blockchain and distributed storage technology. While most crypto tokens aim to disrupt the financial world via decentralization, the developers behind TRON have more expansive ideas. By using TRON blockchain technology, people can share a wide range of things like documents and even movies by integrating with BitTorrent. This is an exciting prospect for movie studios (notably smaller ones) since they will be able to deliver their content directly to the end user, reducing the cost of distribution. Even some larger studios like Lionsgate are exploring the possibilities.
It Has A Robust Team Behind It
While most crypto investors make extensive use of technical analysis, the very best will add a splash of fundamental analysis to the mix to ensure their choices are more likely to succeed. The quality of the team behind the scenes is one of the key factors to consider when investing in anything, from crypto to shares. In this regard, TRON has a spectacular development team striving to improve its creation wherever possible. This can be seen with their transition from the ERC-20 token to a blockchain of their own creation.
Most Crypto developers are happy to ride on the coattails of other technologies (usually the Ethereum blockchain), but the developers behind TRON think differently. They also have more ambitious ideas for the tech outside purely speculative financial usage, as can be seen with their integration with Bittorrent, as mentioned previously. Furthermore, the team has a robust roadmap through to 2027 to back up their claims and cement their dedication to the project.
Future Applications Will Benefit From Its Independent Blockchain
By moving away from an Ethereum-based blockchain, TRON has opened up an enormous range of possibilities that it can mold to suit the needs of its investors. An unaffiliated blockchain enables other developers to create a plethora of exciting applications without being beholden to one dominant entity. As demand rises for its underlying technology, the market for its native token, TRX, will increase, netting early investors a healthy profit.
Most Popular Exchanges List It
TRON is listed on many major exchanges like Kraken, Binance, and Coinbase et al. While this is beneficial in the sense that it makes it far more straightforward to purchase, it also has the added benefit of increasing liquidity. Liquidity is vital in all securities markets as the more people there are buying and selling, the more likely it is that you can make money. Low liquidity is fatal for investors, as can be seen in the recent FTX debacle, so it is always advantageous to see a specific token being traded freely. Moreover, its liquidity isn’t merely based on speculation, as is the case with many cryptocurrencies. Instead, it’s due to the multiple uses that have already been discussed. This makes it far more appealing to investors as it means that the liquidity is less likely to drop due to fear in the market (as is the case with other tokens).
You Can Stake It
If nothing else can convince you of the utility and worth of this token, taking advantage of its staking capabilities is an excellent reason to invest in it. Staking means you increase the amount of TRX stored in a wallet by owning some. As staking increases demand, it removes a portion of Tron’s supply from circulation, which is good for Tron’s long-term value.
The important thing here is that it’s just the beginning, and TRON has an auspicious future ahead of itself. Once TRON becomes a fully functional platform, you can expect a surge in the number of new coins launched. Until then, the best time to invest in TRON is now.