TRON cryptocurrency guide advises where to buy and how to buy TRON. This guide also contains the markets, value, trading, investing, buying, selling, transactions, blockchain, mining, technology, advantages, risks, history, legislation, regulation, security, payment, networks and many other interesting facts about TRON as well its status in the world of cryptocurrencies.
TRON, Sunday, 2021-04-11
- 1 What Is TRON?
- 2 Beginner's Guide to TRON
- 3 Where and How to Buy TRON?
- 4 TRON Markets
- 5 Where to Spend or Use TRON?
- 6 How Does TRON Work?
- 7 TRON Regulation
- 8 Is TRON Secure?
- 9 History of TRON
- 10 TRON Videos and Tutorials
- 11 See Also
What Is TRON?
Are you interested in cryptocurrencies? The niche is growing very fast. At first, cryptocurrencies were thought to be simply means of making direct payments. That was what Satoshi Nakamoto had in mind when he pioneered the blockchain technology in 2009. However, the technology has transformed into a unique outfit capable of solving every issue you can think of around the globe. Bitcoin targeted helping people make direct payments, Ethereum introduced smart contracts & Dapps, and now TRON has brought a completely new outlook with the focus on the entertainment industry.
What exactly is TRON? What is it all about?
TRON is one of the latest cryptocurrencies in the industry that has trained the focus on the entertainment industry. The TRON protocol targets to construct a new worldwide free content entertainment ecosystem using the blockchain and distributed technology.
The digital media around the globe is hosted by very few middlemen. Think of it this way. If you are searching for a specific app, it is probably located in Google Play Store. If you target streaming movies or TV-series, you have to go to Hulu or Netflix. For music, other popular middle-parties include iTunes and Spotify.
These companies provide platforms for digital content sharing and, also take a fee from both users and creators. What this means is that a big chunk of the payment that could have gone to the creators and producers is slashed to pay the middlemen (the middle companies). This is the problem that TRON aims to address.
TRON is working on taking away the power of these digital companies and delivering it in entirety to the publishers and content creators. They only need to add their projects to the blockchain where clients can access directly without passing through third parties.
Beginner's Guide to TRON
Every time that a new cryptocurrency hits the market, investors mobilize their resources to get a piece of the cake. This anticipation is defined by the previous enviable investment growth in cryptos such as Bitcoin and Ethereum. When TRON was launched in September of 2017, the same anticipation gripped the cryptocurrency community that raised the demand of the native tokens with a big margin in the subsequent three months.
Just like Bitcoin and other blockchain platforms, TRON is employing a peer2peer model to facilitate direct payments. However, its target niche is the entertainment industry. The idea of tapping the multi-trillion dollar industry using the cryptocurrency technology has thrown TRON founder, Justin Sun, into the limelight.
Why the sudden growth of TRON? Is it a profitable investment?
Even at a very tender age of less than 30 years, Justin Sun has demonstrated that there is no area that the blockchain technology cannot be applied. His target of the entertainment industry that is currently firmly held by multinational digital giants such as Google with its App Store, Apple with its iTunes, and others such as Spotify has made the scenario very interesting and tense. But the enthusiasm of the founder could define the direction of the entertainment industry in the coming years.
The TRON’s careful design with a six-phase implementation model has made investors target getting a piece of the new crypto. These phases include Exodus, Odyssey, the great voyage, Apollo, Star Trek and Eternity. The ultimate design makes TRON look like Ethereum because of implementation of smart contracts. However, it has a wider spectrum than Ethereum and better scalability than most networks, including Bitcoin.
To make the right decision about TRON, it is crucial to assess it by following all the components and understanding the stretched operational model. You need to ask every question and get the right answers. This is what this TRON guide has been drawn to do. From the cryptocurrency history to the inherent profitability, this guide contains everything you want to know about TRON.
Remember that though the crypto is very young, a decision to invest in its tokens should be made at the earliest possible instance before the value starts growing. Therefore, find out from this guide about the profitability of TRON, where to buy TRON, the markets, the involved risks, and much more to draw the right decision. Welcome to learn more about TRON and why it is likely to become the next Bitcoin in the globe.
Where and How to Buy TRON?
The moment people hear about new blockchain based projects, what comes to the mind is an explosive growth trajectory like that depicted by Bitcoin. TRON is one such cryptocurrency that has demonstrated to have huge potential. The best thing to do when such projects emerge is joining the community through the purchase of the native assets or tokens. Here is an account of how and where to buy TRON.
- Start by signing up for a cryptocurrency wallet. This is the first step for anyone joining the cryptocurrency industry. You need the digital wallet to hold the tokens of the selected cryptocurrency. In the case of TRON, ensure to pick the wallets with care because not all the wallets are compatible. Two great examples include the Ledger Nano S and MyEthereumWallet.
- Select an appropriate exchange to buy TRON from. Cryptocurrency exchanges are the main platforms for users to buy various digital assets such as cryptocurrency tokens. The platforms work like the standard currency markets though they trade crypto coins such as TRONIX (TRX) and not fiat currencies. Note that the cryptocurrency exchanges are completely different from cryptocurrency networks. While the networks such as TRON cryptos are not regulated, most exchanges are strictly guided by local laws. Some great examples of these exchanges that you can use to buy TRX include Coinbase, Binance, and Bitstamp.
- Identify a good crypto broker. The world of cryptocurrency is advancing very fast and opening new channels for users to sell their crypto assets. Cryptocurrency brokers are investors who buy native crypto assets when the tokens are released and then sell at a fee. Their operations look like those of a crypto exchange in so many ways though the price is adjusted to factor their profit. If the broker is not dealing with TRX, you could consider buying another crypto such as Bitcoin and exchange it for TRX at an appropriate exchange. Some great brokers include Bitpanda and Coinmama.
- Use cryptocurrency ATMs. These are automated teller machines that look like those offered by standard financial service providers. They allow users to walk in with cash and walk out with TRON. The only challenge with crypto ATMs is that most models only accept Bitcoins. This means that you can only purchase Bitcoins and exchange them for TRX at an appropriate exchange.
When you decide to join the TRON network, you need an appropriate TRON wallet to store the native tokens (TRX) for its network. These are the native assets or crypto coins for trading and making payments in the TRON network. What exactly is a TRON wallet?
A TRON wallet is software, app, or hardware for storing TRX. Though this is the accepted definition, it is prudent to understand it in the right context. Even though it is referred as a storage location, no TRX are stored there in reality. Instead, TRX stores a set of codes referred as private keys and public keys.
The private keys are identifier codes that are only known to you and the respective wallet. You use the codes to activate TRX when trading or sending them in the network. The private keys should never be shared.
The public keys, like the name suggest, are public. This means that they can be shared without worrying that third parties will know about them. The codes help to point at the quantities of the TRX in the TRON network. Note that they point at the balance and not the owner. You provide the keys to the users who want to send funds to your wallet.
The best TRON wallets to consider include.
1) Ledger Nano S (hardware wallet)
- Ledger Nano S is a hardware wallet that has won the hearts of many cryptocurrency traders because of its great security features. It is a finger-sized hardware with an LCD screen on the side to allow users follow what is happening in their wallets. As a hardware wallet, all the TRX are stored offline to reduce the risk of attack and loss. Besides, the private keys do not leave the wallet even when confirming transactions in the TRON network. The manufacturer indicates that the wallet is so good that you can even use it in a compromised computer without worrying of getting attacked.
2) Trezor (hardware wallet)
- Trezor is a hardware wallet that operates like the Ledger Nano S. It looks like a standard flash drive with a deeply seated chip for storing TRX. The wallet is designed with very effective security features including the advanced password that must always be used to bring the TRX to live before using the wallet. It also generates the private keys seed phrase for restoring the tokens in the case of a loss or damage to the hardware.
3) MyEthereumWallet (desktop wallet)
- This wallet was designed for storing Ethereum tokens, but can also be used to store other tokens with the same format such as TRX. The wallet is a free, open-source, and front-end interface that allows users to interact with the TRON blockchain to access and manage their tokens. Unlike other types of wallets, MyEthereumWallet users are the absolute controllers of their private keys. This means that if you lose the wallet, all the TRX will be lost with no chance of ever recovering them. You are, therefore, advised to keep a backup of the wallet and the private seed phrase for recovery.
4) MetaMask (web-based wallet)
- This is one of the top web-based wallets that describe itself as a bridge to your blockchain platform. It operates as a Chrome plugin that allows users to add TRON to the user’s browser. If you opt for MetaMask, it is possible to run TRON Decentralized applications right on the browser without downloading and operating a full node.
When working with the web-based wallets, it is important to appreciate that you are at a greater risk of attack by cybercriminals compared to those who store their assets offline.
Where to Buy TRON with Credit Card?
One of the most accepted methods of payment in the online space is a credit card. The cards are preferred because of their portability and application in both online and conventional stores. But they have also become a preferred method of payment for cryptocurrencies. This means that you can also buy TRON with a credit card.
However, buying TRON with credit cards requires users to start by picking the platforms that allow traders to use the plastic money. Remember that not all credit card companies allow their users to make crypto related transactions. Therefore, start by checking the policy of your credit card company to avoid being slapped with hefty penalties. It the company allows you to make such transactions, go ahead and purchase TRON from top cryptocurrency exchanges including the following.
Where to Buy TRON with PayPal?
There is no way to buy TRON directly with PayPal. Indeed, you need to take note that PayPal discourages its users from making payments related to cryptocurrencies. If they establish that funds were moved from your account to pay for altcoins, a huge penalty could be levied on you or the account terminated altogether.
For those with cash in their PayPal accounts, the best way to buy TRON is following the lengthy process of converting to fiat, loading the credit card, or depositing into a bank account. Then, use the cash or card to buy TRX from an appropriate exchange.
How to Buy TRON with Wire Transfer?
Though the main ideology behind cryptocurrencies is getting the society to a cashless system, the connection with traditional financial institutions is very strong. People still have bank accounts that help them with processing salaries, mortgages, and even savings. If you have cash in a bank and want to buy TRX, you need to follow the following procedure.
- Start by selecting the right platform that accepts payment for TRX in wire transfers. Many cryptocurrency exchanges have been expanding their operational structure to incorporate multiple payment methods. Some top platforms that will accept you to buy TRON using wire transfer include Coinbase, Bittrex, and Binance.
- Visit the exchange and create an account. This will require you to provide personal information such as names, telephone number, and proof of residence. Some exchanges even require a photo ID.
- On your account in the selected platform, navigate to the crypto-coin purchase section and select TRX as the target asset. Then, tick the preferred quantities and choose pay with a wire transfer. The exchange will reach your bank to make a claim and send the TRX to your cryptocurrency wallet once the payment is effected. Note that this could take time depending on the selected bank, cryptocurrency exchange, and your location. In most cases, the settlement is completed in one to four days.
Where to Sell and Trade TRON?
Many people coming to join cryptocurrencies are motivated by the current fast growth of top cryptos such as Bitcoin. In about ten years after introduction, Bitcoin growth has been monumental. Think of it this way. A person who invested $1000 in Bitcoin around 2009 can expect 10000% growth in early 2018. If you are in TRON, the growth is equally remarkable. To make more from TRON, you need to know the platforms for selling and trading its native coins.
It is crucial to appreciate that your TRX are more prone to attacks at the exchange level than any other location. This means you need to select the selling and trading platforms with extra care. Here are some useful tips for selecting TRX trading platforms.
- Only go for the trading platform with a great reputation. This should be the main focus when selecting a trading platform. You should target a platform with good reputation especially those with no hacking history.
- Look for the platforms that provide cold storage facilities. In many cases, hackers can only reach the TRX stored in easily accessible locations. Therefore, consider only using the crypto exchanges that move their clients’ coins to cold storage to prevent attacks.
- Go for the platform that allows traders to trade in multiple cryptos. A platform that allows trading in multiple cryptos is preferable because you can always switch to the more profitable crypto pair.
- Look for an exchange that insures traders’ assets. Where possible, look for a cryptocurrency exchange that insures traders’ assets. Even if they only insure a specific percentage, it means that you can trade with greater confidence. Note that such exchanges might have a relatively higher transaction fee.
- The transaction fee should be affordable. Trading in any platform means making some profit. You should, therefore, select the platform that does not take away most of the profit in transaction fees.
Some of the top TRX trading platforms include
How Much Are the Transaction Fees of TRON?
The promise given by most cryptocurrencies when they enter the industry is helping users to lower their operational costs to the lowest possible level. However, this has often proved to be elusive especially for larger cryptocurrencies. At TRON, the cost of transactions is relatively low because it is still in its early stages.
By early 2018, TRON was still in the first phase referred as Exodus. At this stage, the platform provides a free platform for users to publish, store, and spread their data on a peer2peer basis. Note that TRON has not indicated the price it will tag to transactions when it moves to the next phases.
The TRON markets are platforms that bring together sellers and buyers to facilitate the exchange of native assets for other cryptos or fiat currencies. For about ten years starting from 2009, the markets have been growing rapidly to keep pace with an equally growing number of cryptocurrencies in the industry.
The main focus when picking a cryptocurrency market is ensuring that you can optimize the profits. You should particularly target those markets that provide real-time metrics so that you can make timely moves for higher profits. Here are the top TRX markets you should consider.
- Binance is a Chinese based cryptocurrency exchange that is growing at a very fast rate. Many people prefer it because of the minimal verification procedures. You only need to have an email address to get a trading account and start trading TRX. However, this minimal trading level comes with restrictions of the TRX you can trade. For example, with the email verification level, you can only trade TRX equivalent of 2 Bitcoins. To trade more TRX, you have to meet additional verification procedures such as providing user ID, proof of residence, and a photo ID.
- The market comes with advanced analytics that allows users to follow the real-time performance of the targeted assets. This, together with a very low transaction fee of 0.1% makes the market one of the best options for both newbies and pro-TRX traders.
- The biggest shortcoming of Binance is poor customer support. Though its design is appealing, clients' inquiries take very long to get replies. Some users report getting stuck with no help in sight and losing great trading opportunities. If the market can work on this shortcoming, its potential is very high.
- This is one of the top global cryptocurrency exchanges based in the United States. The platform is available in over 32 countries and allows traders to use multiple payment methods. You can choose to trade in cryptocurrencies, fiat, credit cards, and even wire transfers. Unlike other exchanges, Coinbase provides users with flexibility on setting the price of their TRX prices in the platform.
- After getting embroiled in the infamous scandal of Mt. Gox that made a lot of people lose their cash in Ponzi schemes, Coinbase redefined its operations to demonstrate its commitment to customer value. They maintain a 24/7 surveillance system that targets detecting fraud at the earliest possible instance and stopping it.
- If you target moving a lot of TRX, Coinbase has a special feature referred as GDAX. This feature comes with advanced real-time metrics, better UI, and support.
- This is among the leading cryptocurrencies that allow users to trade in top crypto assets across the globe. The exchange has a policy of following respective laws of the jurisdictions it operates in. In the US, it is particularly guided by the Commodity Futures Trading Commission (CFTC) operational rules. This is the reason why the exchange has been very emphatic that users provide a lot of personal authentication details.
- In addition to allowing users trade in multiple cryptocurrencies, the exchange also accepts payments in various methods. This means that you can opt to sell TRX for other cryptos, fiat currencies, use credit cards, or make payments through wire transfers. The platform also charges very low transaction fees of 0.2% and 0.1% for the takers and makers respectively.
- This is one of the new markets in the cryptocurrency industry. The market focuses on providing users with some of the latest crypto assets so that they can enjoy subsequent growth. The market operates by listing new coins that have negative trading fees to assist the cryptos to generate higher equity.
- The market is based in Singapore and has started attracting even, bigger cryptocurrencies especially those with clients that target margin trading. It provides leverage of 1:25 ratio on selected products. Besides, it has a very small fee of 0.15% for TRX traders.
- This is a special club that has emerged as an important trading platform for people who want to meet face to face. Even as more people prefer going for direct exchanges that follow strict guidelines for operations and trading, there are others who want to stick to the traditional models. The LocalBitcoins.com is a club that facilitates meetings of cryptocurrency enthusiasts in cities such as Seoul, New York, Tokyo, and The Hague. These are cities with a lot of crypto activities especially trading.
- The LocalBiotcoins.com simply facilitates the meeting between people who own TRX and other cryptos to meet and share information. Part of this could be actual trading. Here, there are no rules of operations. Once the buyers and sellers meet, they have to agree on price and payment methods. For example, you can agree to pay for TRX with fiat, real estate, car, or other methods.
- The biggest challenge of using LocalBitcoins.com is that it can take long before a match between seller and buyer is available. Besides, you are likely to sell for a lower price or buy at a higher rate if you lack good negotiating skills.
Value of TRON
Since its debut, TRON has continued to grow in value, and the crypto community is very is excited about it. In September 2017, the value of one TRX was only $0.001852. The price grew steadily between September and December to reach $0.067. By early January 2018, the value of TRX had hit $0.275. This is an explosive rate of more than 5000%.
It is this trajectory that has made TRX rise to fame as more investors take note and purpose to join the network in droves. However, the crypto was still in its early stages, and it is, therefore, premature to draw major conclusions.
To sustain the steady growth, it is important that Justin Sun maintain the publicity and works on strengthening the core code. They should particularly work on preventing attacks, diversify the products, and bring in more partners.
Is It Profitable to Invest in TRON?
The profitability of a cryptocurrency is dependent on the ability to win users trust, maintain steady growth, and weather the challenges that lay on the way. These capabilities are the reasons that helped every Bitcoin to grow from under one US dollar to more than $10,000 between 2009 and 2018. In the case of TRON, the potential for profitability is also very high.
Though the crypto is very young, everything points to the possibility of high profitability. Here are some indicators why the cryptocurrency promises high profitability.
- The cryptocurrency is targeting a very rich niche, the entertainment industry.
- The entire idea of a millennial coming up with a cryptocurrency network has become very appealing to the younger generation.
- The cryptocurrency presents users with a long-term investment focus as opposed to short-term oriented targets. By the time the six phases of TRON implementation are over, the investors will have made a lot of profits.
- The cryptocurrency has become a huge attraction for big enterprises. This implies that the entire architecture is high potential and its community will continue growing over time.
- The value of TRON has exploded between launch and early in 2018. This growth has given TRON good publicity required for faster growth and profitability.
Though all the signs point to a great future for investors on the TRON network, it is important to appreciate the numerous challenges that could compromise profitability. Because the cryptocurrency is still in the early stages, the best thing is not to put all your funds in it. Rather, only invest some money and spread others to other more stable networks.
Where to Spend or Use TRON?
The success of a cryptocurrency is dependent on its acceptability as a payment platform. Notably, TRON is still in its infancy stages, and very few stores were accepting it by early 2018. For example, you can pay for streaming services at Baofeng in TRON. After announcing TRON and Alibaba partnership, Sun is upbeat that TRON will become one of the accepted methods at the e-commerce store.
The number of stores and entities accepting TRON are bound to increase as more artists, and enterprises start implementing smart contracts in the latter phases of TRON Note that you can still make a purchase using TRON on other on other networks that accept top cryptos such as Bitcoin.
Because of TRON acceptance and rising demand, all that users need to do is converting TRX to a crypto asset that is more acceptable. A good example is Bitcoin. With Bitcoin in the wallet, you can pop into thousands of shops and online marketplaces that accept it to make a direct purchase.
Can TRON Grow to Become a Major Payment Network?
Yes, TRON can become a major payment network. However, it might only become a great payment network for the entertainment industry. By presenting a platform for implementing smart contracts, TRON has given the creators and publishers a golden opportunity to get direct payments, make more, connect directly with fans, and get prompt feedback about their content.
While the conventional middle-parties such as Spotify and YouTube are likely to redefine their operations, TRON will guarantee creators of higher value. The network provides a platform for unlimited storage and better pay. With this system of operation, no artist will want to be left behind in raising personal revenue.
The biggest setback that could stand in the way of TRON becoming a major payment network is its narrow focus. With the main target being the entertainment industry, the chances are that the network will lose on clients who might want to expand to other marketplaces. The network could boost its ability to become a major payment network by expanding the reach beyond the entertainment niche.
How Does TRON Work?
The main role of cryptocurrencies in the fast-growing fintech industry is helping people to send funds on a peer2peer basis. But TRON works in a slightly different way. The cryptocurrency targets only the entertainment industry to help facilitate storage of content, access to content such as songs, and flow of payments.
Unlike other cryptos that implement their projects immediately, TRON has structured its operation in phases that aim at liberating storage and access to data. It is hoping to use motivation in countering the serious problem of Big Data.
The four phases of TRON operations
TRON is very ambitious. The scope of the project implementation targets driving the
- Phase One: The Exodus
- This is the first phase of TRON where the platform aims at providing simple but distributed file sharing that operate like IPFS (InterPlanetary File System). This is where TRON has reached by early 2018. By the time the six phases of the TRON application are over, it is expected to run like the entire Ethereum platform.
- Phase Two: Odyssey
- This is the second stage of the TRON project. It targets incentivizing early adoption and generation of a proprietary community of content creators. It is expected to be something like the current proof-of-stake system in other cryptocurrencies.
- The scale for reimbursement in the TRON network employs metrics related to tipping schemes as opposed to the current mode of clicks and views. The main issue with clicks and views is that they can easily be reproduced using bots and click farms.
- At the Odyssey stage, users will ultimately transact using the native TRON token referred as TRX. The token will facilitate the transfer of value for the services through the TRON network. For users who do not hold TRX accounts, it will require some form of pay in/out portal.
- Phase Three: The great voyage
- The third phase will commence in the summer of 2020. At this point, TRON code structure will be improved to resemble that of the Ethereum cryptocurrency to facilitate the running of personal ICOs (initial coin offering). This implies that individual artists will be free to plan and hold ICOs to raise funds for better content.
- Phase Four: The Apollo
- In this phase, TRON anticipates forming a completely decentralized trading platform for all the tokens created in the network. This will mark the beginning of the tokens trading in different markets.
- Phase Five: The Star Trek
- This stage takes the fourth stage to the next level of creating the decentralized gaming platform. The decentralized applications for gaming will tap into the multi-billion gaming market industry. The gaming industry has been very receptive to cryptocurrencies because more users want the convenience to enjoy the best games cheaply.
- Phase Six: Eternity.
- This phase targets helping developers come up with decentralized gaming platforms and implementing them in the TRON networks. Investors will also be able to select specific games and projects to invest in the TRON network.
Does TRON Use Blockchain Technology?
TRON employs the blockchain technology. In line with the main idea, the TRON code provides for a peer-to-peer platform that allows users to link directly with content creators. The blockchain puts the music and gaming users in the same room (network) with the creators so that payment can be made directly to the creators for services rendered. This means that the conventional middle parties (companies such as YouTube and Spotify) will no longer be a requirement for creators to take content to users.
When a user identifies a service he intends to use, he will initiate a transaction that must be verified by the nodes spread in the network. But the entire process will have to commence with the creators posting their works and using smart contracts with specific instructions for buyers to follow. The confirmation can also include things such as transactions, certificates, and legally binding contracts.
The network can also be used to facilitate payment between nodes either through direct trading or even payment for other services/products in shops that accept TRON. The moment that such transactions are initiated, the nodes spread in the network pick them and confirm whether the initiator has ample TRX to make the payment. If he has ample TRX, the transaction is confirmed and added to the TRON public ledger. The main components of TRON include.
- Scalability. The blockchain can be extended through the use of sidechains. This means that any type of file including currency transactions are legally binding contracts, and certificates can be stored in the public ledger.
- Decentralized outlook. This implies that no single centralized organization has the authority to store creators’ files, certificates, contracts, or restrict access. Everything is done on a peer2peer basis.
- A trustless environment. All the nodes in the TRON network trade without trust. Since every operation is based on the database and the entire system is transparent, the nodes cannot deceive each other.
Cryptocurrency mining is the process of confirming transactions in a crypto network for a reward. The miners are users spread in cryptocurrency network who provide their computing power to run cryptocurrency systems. They help to release new coins through a pre-determined reward system. They are also part of the consensus building systems used to make crucial decisions in cryptocurrency networks.
When TRON was launched in September of 2017, it created a total of 100 billion native coins (TRONIX/TRX). Two months later, about 63 billion TRX had entered circulation. On December 18th of 2017, the TRON Foundation locked the remaining tokens worth more than $34.2 billion until January 2020. This means that you cannot mine the network until January 2020.
What Are the Advantages of TRON?
Are you new to cryptocurrencies or looking forward to joining the highly potential networks? The first thing should be assessing the benefits associated with such networks and whether they will deliver what you anticipate. Though it is one of the youngest cryptocurrencies in the market by early 2018, TRON has demonstrated a lot of potential. Indeed, its advantages surpass the notion of simply putting more cash into the founders’ pockets. Here are some of these benefits.
- The cryptocurrency targets one of the most promising industries, the entertainment sector. As other cryptos work on facilitating direct payments, the objective of TRON is assisting artists to link with their clients. This is an underserved niche that could see TRON catapult to success within a very short time.
- Since TRON was launched, its value has continued to grow rapidly. Many experts are indicating that its model promises growing it in a trajectory that is better than those of other top cryptos in the market today.
- The design and architecture of TRON aim at tackling a problem that has refused to go away for many years. Many are the artists who create their works but fail to make the anticipated impact because of high fee and unreliable platforms. However, TRON is filling this gap, and it is likely to win a lot of support from creators, individual artists, and their followers.
- The network helps to promote the direct connection between creators and their target customers. Many people who fancy specific songs, videos and other content want to get a direct connection to the creators. Think of the best song that you cannot sleep without hearing the beats soothing the ears. It will be even greater if you get a direct connection to the creator using a network such as TRON.
- The TRON project is aimed at helping creators work with clients and anticipating investors to raise funds for their projects. It will, therefore, be a great channel to raise funds for top projects such as movies and songs.
- TRON allows creators to draw more motivation and continue working for better content. If you are using the conventional model, the bulk of the profits go to the middlemen (digital companies such as Spotify) and not the creators.
What Are the Risks of TRON?
Just like TRON has numerous benefits, it also has a lot of risks that investors and those interested in it should know. Note that the cryptocurrency project is being implemented in phases starting from stage one through stage six.
- The cryptocurrency is relatively new, and most of its features are still at the testing stage. While it is true that the crypto holds a lot of potential, it is not until all the features are proven to work can its stability be ascertained.
- Though it is a great idea to demonstrate how a cryptocurrency system will work, the way TRON has done it leaves the system too exposed. Because of the stiff competition that has gripped the crypto world, it is very easy for other investors and cryptographers to pick and implement the same idea.
- The danger of the looming regulations. The looming regulations in the world of cryptocurrencies have shaken even the big platforms. With almost every jurisdiction targeting to pass harsh laws to reduce cryptocurrencies usurping their powers, there is a risk that the regulations will be very harsh. Such laws could easily cripple TRON operations, reduce its profitability or even kill it altogether.
- The target niche is very small. A closer look at the success achieved by other cryptocurrencies such as Ethereum reveals that their success comes from diversity. This means that they target being key payment networks, facilitating the development of smart contracts, and deployment of Decentralized apps. However, the target of TRON is only the entertainment industry. There is a probability that this niche might be too small as other competitors emerge in future.
- While the idea that TRON is riding on is indeed noble, there is a risk that other cryptocurrencies with more advanced models are likely to emerge. This will means one thing; more people will run to the newer and more effective cryptocurrency. This could ultimately impact the value of TRX and cause huge losses.
- TRON is competing with other digital giants that do not know anything other than being at the front. Think of Google with its App Store and Apple with its iTunes. These are companies that could easily use their financial muscle to protect their empires and maintain the monopoly.
- Even with the goodwill espoused in the TRON network, it is not clear how the network will validate the content owners. Because the system is completely anonymous, there is a great risk that people could use the system to sell content from other artists. Besides, third parties might also join the platform and offer content belonging to creators.
What Happens if TRON Gets Lost?
One of the main risks that people using TRON network face every day is the possible loss of the native coins. Because TRX only resides in the native TRON network, the risk of getting hacked and losing them are very high. In other cases, TRX can be lost through sending to a wrong address. But many people have been asking what happens when TRON gets lost?
One thing to appreciate at this point is that TRX do not leave the TRON network no matter the method of loss. This means that the native coins will always be in the network. To understand what happens, we will look at TRX based on the method of loss.
- TRX lost through sending the coins to the wrong address. In This case, the TRX will still be in the TRON network but under a different user. Note that there is no method that can be used to reverse the transaction.
- TRX lost through hacking of your wallet or an exchange. When hackers siphon your crypto coins such as TRX, they simply transfer to another user. It is a transaction that has been completed and cannot be revered. The TRX simply got another user.
- TRX loss through damage or loss of your TRON wallet. Unlike the loss through hacking, those people who lose TRX through loss/ damage of their wallets still have their coins intact in the TRON network. However, the native coins are dormant and cannot be accessed or traded until the wallet is restored.
- Losing TRX by forgetting your private keys. The private keys are your signature activation codes that bring to life all the TRX you hold in the wallet. When you lose the keys, it means that the coins are still in the network waiting to be activated with the right codes. You MUST get the private keys to restore the lost TRX.
When cryptocurrencies were introduced into the world in 2009, a new line of confrontation with governments was opened. Most administrations view cryptocurrencies as direct threats that target to usurp their powers. A few years after Bitcoin was launched, the United States Federal Bureau of Investigation reported that they presented a channel that could be used by criminals especially terrorists.
But it is the cryptocurrencies threat to cripple tax collection by governments that irked the administrations more. Think of it this way, when artists produce songs or videos; they take them to centralized companies that help with marketing. These companies pay a lot of taxes to the central administrations. Now, TRON is threatening to bypass both the digital companies and central administrations. This means several things;
- The producers will work directly with their customers.
- The centralized digital companies such as YouTube and Spotify are at risk of losing their grip on the entertainment industry.
- The central government will no longer get taxes it used to draw from centralized digital companies.
- The government will not be able to control the content being produced and consumed in the network.
- In the last stage of the TRON application, its tokens will become an important investment commodity. This could make the standard investment opportunities such as real estate to lose meaning.
Even with these severe connotations of disturbance that are expected from TRON and other cryptos, it is interesting that no country has established a regulation to guide TRON and other cryptocurrencies. Many governments have only indicated that they are in the process of crafting regulations to guide crypto applications.
A closer look at the law making procedures in most countries reveals a very serious situation. Many governments are caught between a rock and a hard place. This is the reason why some are only issuing restricting orders as opposed to passing laws. The following are five obstacles standing in the way of clear blockchain technologies regulations.
- Most administrations appear to be playing catch-up when it comes to blockchain technologies.
- The TRON and other cryptocurrencies have demonstrated they have the actual solution to the thorny issue of Big Data and many others.
- There is no single individual to target with specific crypto related laws because they are owned by those who use the networks across the globe.
- Most of the blockchain technologies are very diverse and keep transforming rather fast. If you regulate one today, the chances are that a new blockchain model will emerge tomorrow.
- Some governments are experimenting with their blockchain models. For example, the EU is reported to be working on its blockchain.
Is TRON Legal?
One question that people always ask when joining the TRON or other networks is whether they are legal. Is TRON legal? The answer is that they are legal, at least for now. By early 2018, no jurisdiction had passed any law to guide or ban use and application of TRON. Even those that banned operations of cryptocurrency ATMs such as Taiwan banning the use of crypto ATMs and China banning ICOs (Initial Coin Offering) did so under direct orders. To understand the TRON legal status at the global level, let us check individual countries.
- The United States.
- Despite the US being the first to note the risks that come with cryptocurrencies such as TRON, it has not established any legislation. It has become apparent that the US will be the greatest beneficiary for faster growth of cryptocurrencies. Like most tech companies such as Google and Facebook among others, the United States wants to be at the front in guiding the crypto world.
- The only mention of cryptocurrencies in the United States is by the Commodity Futures Trading Commission (CFTC) that categorized all crypto assets as commodities. Though this was done for tax purposes, it is being used as an indicator of the direction the looming regulations are headed.
- China is one jurisdiction that feels seriously threatened by the fast proliferation of cryptocurrencies. The country banned all ICOs starting from September 2017 and indicated they were out to steal from the people. It has also outlined different measured to discourage cryptocurrency mining. Despite these efforts, TRON and other cryptos remain legal because there is no associated law.
- The European Union.
- TRON is legal in the EU. Though the European Banking Authority issued a warning on risks that come with cryptocurrencies such as TRON, no legislation has been passed to guide or ban cryptos. However, the EU Parliament has indicated that it appreciates the numerous benefits that come with blockchain technologies. The parliament is even reported to be working on a EU type of blockchain to see how everything works before any legislation is passed.
- The fact that the EU does not have a clear guideline on TRON or other cryptos means that individual states are left to craft their laws. Though none has passed any related legislation, some like Switzerland are already matching ahead of others.
- Johann Schneider-Ammann, the economist minister in Switzerland, explained that they want to be a crypto-country. This demonstrates why every company working on cryptocurrencies is headed to Switzerland. Though there is no law installed to guide the operations and applications of TRON and other cryptos, the country has said it wants ICOs and cryptos to prosper. It is even working on modalities of following every blockchain based in the country to offer support.
- As other countries ponder the best way forward in regulating cryptos, Japan has decided to lead the way. In January of 2017, Japan's Financial Services Agency passed a new law that authorized the use of digital currencies as a means of payment. The new Virtual Currency Act clarifies the definition of digital currencies that include Bitcoin, TRX, Ether, and Ripple among others, to be considered as a means of payment. However, they are not legal tenders.
- The law is believed to have been informed by the need to give insights on how cryptocurrencies should be treated to avoid losing on taxes. The law also strongly insists that every cryptocurrency exchange must strictly implement KYC (know your customer) policies. By January of 2018, Japan had issued more than eleven licenses to cryptocurrency exchanges.
- Russia, unlike Japan, Switzerland and The US, has no kind words for cryptocurrencies. The Russian Finance Minister was categorical that even though TRON and other digital cryptos were legal, using them as a means of payment could be illegal. After the Russian president called for speedy rules to nip cryptocurrencies around October of 2017, the finance minister says that the rules are waiting to be unveiled in the early months of 2018. He even shed some light on the rules indicating that they will guide the use of ICOs (Initial Coin Offering), mining, trading, and release of new platforms.
Though there are no TRON regulations established by the start of 2018, one thing remains clear; that the regulations will finally arrive. From China to Argentina and the EU, every jurisdiction indicates that it is working on regulating cryptos. Therefore, make sure to invest with an eye on the regulations to avoid making a lot of losses when the laws finally come.
TRON and Taxes
One common thought shared by many people in the cryptocurrency niche is that they can enjoy tax-free lifestyle. Because cryptocurrencies such as TRON are anonymous, most users have a feeling that they are away from authorities and can hide their investments and enjoy all the profits without paying tax deductions to respective tax authorities. But wait a moment!
Though it is true that operating in the TRON network helps one to remain anonymous, this status can only be enjoyed for a short while. Tax experts strongly believe that new technologies that can help to unmask users will be available in the coming years. This means that even your current anonymous status could be uncovered in future.
The best thing is treating any income from trading TRON as taxable revenue. When Bitcoin was launched in 2009, its cryptography was considered watertight. Now, it is very easy to unmask those people using the Bitcoin network. One example is the case of Wannacry criminals who struck companies in Europe around May of 2017 and insisted on being paid in Bitcoin. By then, Bitcoin was thought to be completely anonymous. However, new technology was discovered and the criminals established that they were at risk of being discovered if they moved their Bitcoins. Even by early 2018, the criminals were yet to move the Bitcoins because they will be napped.
How to use TRON without going against the tax regulations
Can one enjoy all the benefits of TRON and remain tax compliant? The answer is yes. You simply need to look at every income from TRON as taxable revenue and make appropriate tax deductions. This does not mean providing personal details of your operations in the network. However, you can capture the details and store them appropriately in case clarifications are required in future. Here are some considerations to follow to remain on the positive side of the law on taxes when using TRON.
- Take revenue from TRON to be taxable.
- Capture the details of every transaction especially those related to trading with TRON.
- Ensure to match the trading particulars with respective fiat currencies at the time of various transactions.
- Do not hesitate to seek the help of a tax expert regarding cryptocurrencies.
- Consider working with cryptocurrencies that are pro-administrations such as TRON to avoid serious aftershocks when regulations finally come into place.
Does TRON Have a Consumer Protection?
When cryptocurrencies entered into the globe, one major characteristic depicted by all networks is the limited responsibility for consumer protection. The fact that TRON operates as an open-source cryptocurrency means that the responsibility of the network is bestowed to those operating as nodes. This means that there is no customer protection in TRON.
The closest that TRON comes to forming a clear form of customer protection is the TRON foundation. This is the non-profit organization headed by the founder, Justin Sun, with the intention of making the network one of the best. Notably, the TRON foundation and TRON operate as two separate entities. This means that you if you send cash to the wrong address in the TRON network, you cannot complain about it to the TRON foundation. But it is even worse because cryptocurrencies are not regulated. This implies that you cannot take a case to the court of law.
If you are operating or want to enter the TRON network, ensure to take every precaution safely to stay safe. You need to employ every effort to stay safe in the network. You need to triple check every client’s address before sending payments and never share the private keys. However, it is too early to say conclusively that TRON will not embrace customer protection. The entire six phase of TRON application is very long and, Sun might opt to do things differently.
Illegal Activities with TRON
Since Justin Sun founded Sun in 2017, no illegal activity has been reported with its native coin. While many criminals have been looking at cryptocurrencies as a special path for defrauding their targets, the modern networks such as TRON have proven too difficult to use for PONZI schemes and scams. Though the TRON crypto is still in very early stages, the focus on implementing checks and balances are bearing fruits. It will be interesting to see how TRON will navigate the murky waters of users who target using cryptocurrencies.
Is TRON Secure?
For many people joining the cryptocurrency industry, the first line of thought is about security. They want to be associated with a highly secure network that can guarantee utmost security for their investments. TRON provides this security assurance in four main ways.
- Advanced cryptography for all transactions.
- Using a double-layered transaction confirmation method for extra scrutiny.
- Employing delegated system to select the most trusted nodes for confirming transactions. This reduces the chances of nodes colluding to harm the network.
- A tech and a highly committed team that focuses on progressive improvement of the network security.
Even though TRON is in infancy, it has demonstrated the commitment to provide utmost security to its users. However, it is still very early to conclude or compare it with other networks before all the security features are effected. This means that you need to take security personally and make transactions with a lot of care. For example, all TRX should be kept in cold storage, and the exchanges should be selected with a lot of care. You should also invest only what you can afford to lose.
Is TRON Anonymous?
In an industry that strongly relies on the ability to facilitate anonymous transactions, the success of new networks can only be achieved by guaranteeing utmost privacy. This is what TRON has committed to provide to its users. Though it is still in the early stages, the network is applying advanced cryptography to ensure that none of your details can be unmasked third parties including miners.
Every transaction is encrypted before getting flagged into the TRON network for confirmation. But it is the vibrant TRON development team led by Justin Sun that is keeping the community hoping for more. Though they have indicated the commitment to improve anonymity progressively, they are yet to demonstrate the method or technologies to be employed by early 2018.
Has TRON Ever Been Hacked?
Many are the times when reports of hacked crypto networks, exchanges, and even wallets hit the headlines and leave people wondering whether they are any safer. In the cryptocurrency world, the risk of getting hacked is never far. Despite this imminent risk, TRON has never been hacked. However, it is still in the early stages of its 6-phase operation cycle. This means that its stability can only be ascertained after being in operations for a couple of years.
However, Justin Sun appears committed to making TRON as big as possible by working with top brains in the computing sector. It is, however, crucial to appreciate that the security of your TRON is largely dependent on personal initiatives. Simply keep the private keys secure, avoid using risky crypto exchanges, and store the coins offline.
How Can I Restore TRON?
One question that keeps coming up when people talk about TRON security is about recovery. With the risk of loss looming at all levels of TRON operations, is there a way to restore the native coins. The correct answer is yes and no.
It is possible to restore TRON if what was lost is only the wallet or the private keys. However, it is impossible to restore TRON if the tokens were lost by sending to the wrong address or hacking.
How to restore TRON
There are only three scenarios of TRON loss that can be rectified. If you lost TRON through loss of private keys, you need to generate the keys gain using the 24-seed phrase generated by the wallet the first time it was used. You can also use the private keys seed phrase on the same wallet or another TRON compatible wallet.
If TRX were lost through loss of the cryptocurrency wallet, restoring them can be done in two ways. One, you can restore the wallet from the backup. This will only need updating in line with the latest TRON blockchain before you can continue using it. You can also get another TRON compatible wallet and use the recovery seed phrase to restore TRX.
The secret to success in restoring TRON is dependent on how prepared you were before the loss. The moment you get a TRON wallet, make sure to carefully store the seed phrase, maintain a backup, and only use markets with no hacking history.
Why Do People Trust TRON?
Though the cryptocurrency industry has been expanding rapidly, investors are very careful with where they put cash. The crypto community and investors have a keen eye on the cryptos' architecture, the lead team, vision, and targeted niche. When these and other factors are weighed, people are able to decide the right crypto to trust. TRON appears to have won this trust because of the fast-growing demand, positive feedback from the community, and rising value. Here are the main reasons why people are having a lot of trust in TRON.
- It targets the highly vibrant entertainment industry. By targeting the entertainment industry, Justin Sun was interested in its vibrancy. Most people in the gaming and video industry will stop at nothing in joining a network that promises value.
- The cryptocurrency value has been growing rapidly between inception and early 2018. Because of the great ideology envisaged in the TRON system, everyone who hears about it wants to be associated with its operations. This has been the main driver of the fast-growing value of TRON in the market.
- TRON is led by a very enthusiastic and energetic team. When investors target a specific niche, they want to know about the leaders. At TRON, Justin Sun and his entire team at TRON foundation are the best brains that people can anticipate in the cryptocurrency industry. This inspires hope and special connection, especially from the millennials.
- The crypto has the backing of Chinese community and top companies such as Alibaba. When a cryptocurrency is supported by a large multinational, people tend to develop a lot of trust in it. The large companies have the financial muscle to gauge the effectiveness of such enterprises. Therefore, when they join, people also develop a lot of trust.
- The target niche is not exploited. While most cryptocurrencies have been targeting to replace banks with new payment methods, the core objective of TRON is assisting creators' link with their customers. Though the entertainment industry is a major generator of Big Data, very few cryptocurrencies have targeted it.
History of TRON
The idea of TRON came about from Justin Sun when he was attending an Entrepreneur program in China founded by Jack Ma, the chairman of Alibaba e-commerce store. Sun indicated that Ma is his role model and they are working together to help build the blockchain.
In Mid 2017, Sun founded the TRON Foundation that operates as a non-profit organization. It is based is based in Singapore and licensed under the approval of the Accounting and Corporate Regulatory Authority in line with the Singapore Company Laws.
After announcing the cryptocurrency, the company became an instant sensation with big incorporations joining it to support and partner the new venture. In December of 2017, Alibaba joined TRON which signaled the start of rapid growth of the TRX value in December and January of 2018. Immediately after Alibaba, oBike also announced its partnership with TRON. Other partnerships announced in January of 2018 include association with Baofeng. Baofeng has more than 200 million users in its video portal and is considered by many people as the Chinese Netflix.
In mid-December of 2017, Sun announced that TRON foundation locked $34.2 billion tokens which will be released in January of 2020. This will help to reduce inflation and raise the value of TRX in the market.
On 3rd January of 2018, TRON affiliated app, PEIWO got recognition from the Chinese authorities. The recognition of PEIWO, which is part of the TRON Union that is owned and run by Justin Sun, is an indication that the cryptocurrency is winning a special place in the Chinese administration.
It is important to appreciate that the operationalization of the TRON protocol will be done in stages. By early 2018, the cryptocurrency was in its first phase referred as exodus. Other phases include Odyssey, The great voyage, The Apollo, The Star Trek and Eternity.
Who Created TRON?
TRON was founded by Justin Sun who is also serving as the current CEO of the TRON Foundation. By early 2018, Sun was only 27 years. Despite his tender age Sun has already achieved so much. He graduated from Peking University where he got his bachelor’s degree and continued to receive a master’s degree from the University of Pennsylvania.
Sun became an ardent follower of the Chinese tycoon, Jack Ma who is the Chairman of the Alibaba Group. Sun pointed out that he has managed to put together TRON with the help of other top minds in the TRON Foundation. In his Twitter account in January of 2018, Sun claimed that he had about 100 employees in the foundation.
TRON Videos and Tutorials
Tron TRX Explained in 5 Minutes
What is Tron TRX?
Tron TRX to moon?
Tron TRX News: Justin Sun announces partnerships with Trip.io, BitGuild
What is happening to TRON? Analyzing Github
- Bitcoin | Ethereum | Ripple | Bitcoin Cash | Litecoin
- Cardano | NEO | Stellar | EOS | NEM | VeChain Thor
- Monero | Dash | IOTA | TRON | Tether | OmiseGO
- Bitcoin Gold | Ethereum Classic | Nano | Lisk | ICON
- Qtum | Zcash | Populous | Steem | Ontology | Waves
- DigixDAO | Bytecoin | Bitcoin Diamond | Binance Coin
- Bytom | Verge | Crypto Humor
- Cryptocurrency Dictionary | List of Cryptocurrencies | CEX.io
- Binance | Coinbase | Changelly | Coinmama | Bitpanda
- LocalBitcoins | Kraken | Paxful | Ledger Nano S | TREZOR