What is TRON (TRX)?

By July 21, 2020August 18th, 2020No Comments
What is TRON (TRX)?

Ethereum first introduced the ‘distributed web’ idea in 2013. The idea took shape with an official release in 2015. The core development team introduced Ethereum as the ‘world’s first programmable blockchain’. But in late 2017, another platform showed up with the very same objective. It was TRON.

According to the official whitepaper, TRON wants to establish a ‘truly decentralized Internet and its infrastructure’.

Since its release, TRON has become one of the most valuable cryptocurrency projects in the industry. It has a strong, thriving community of supporters and investors who swear by the platform’s potential.

Although TRON has garnered quite the attention, confusion regarding its design, the native crypto token – TRX, and overall architecture persist.

And since, it is a widely popular project, it makes sense to look at TRON in detail.

What is TRON?

Similar to Ethereum, TRON is a blockchain-based platform that allows the creation of decentralized applications using smart contracts.

Justin Sun, an ex-chief representative of Ripple in the Greater China area is TRON’s creator and is a double recipient of the Forbes ’30 under 30′ award in Asia.

He opened the TRON Foundation in Singapore in 2017, to spearhead the rapid development of the platform.

Although TRON is based on Ethereum, the project distinguishes itself from the public blockchain by claiming to be a ‘high-throughput’ platform that supports ‘high-scalability’ and ‘high-availability’.

The TRON team wants to open doors to widespread adoption by eliminating inefficiencies like high transaction fees, and low transaction throughput times that plague the Bitcoin and Ethereum networks.

History

After the TRON Foundation, the project’s open-source protocol saw the daylight of reality in December 2017. This happened after a hugely successful ICO that raised $70 million in September.

March 2018 marked the release of the test net, blockchain explorer, and the web wallet. The mainnet launch happened in May of that year.

However, the most significant development for TRON was its migration from Ethereum and the creation of the Genesis Block. Also, the TRON Foundation acquired BitTorrent in July 2018.

In October 2018, TRON launched the TRON Virtual Machine (TVM), the platform’s complete developers’ toolset, and a 360-degree support system.

As per the developer team, TRON launched Project Atlas, the world’s biggest decentralized application last year. The team also released the BitTorrent cryptocurrency token (BTT) in 2019.

This was a landmark event as a new crypto asset found its way to millions of existing users.

The TRON Timeline, Source: TRON Whitepaper

How Does TRON Work?

3-Layer Model

Akin to Ethereum’s 3-tier system, TRON’s architecture also consists of 3 layers – the Storage Layer, the Core Layer, and the Application Layer.

  • Core Layer – This layer handles smart contracts, account management, and consensus mechanism execution. Ethreum’s Solidity is the default language for programming smart contracts.
  • Storage Layer – This layer stores TRON’s network data. Blockchain Storage stores all blockchain data. State Storage stores all information about offshoots/forked chains.
  • Application Layer – This is the layer that developers use to create TRON based decentralized applications/dApps and wallets.

Apart from this the TRON protocol follows Google Protocol Buffers that helps arrange data for use in communication protocols, data storage, etc.

TRON 3-layer Architecture, Source: TRON Whitepaper

Consensus Protocol: Delegated Proof-of-Stake

Similar to EOS, TRON leverages the Delegated Proof-of-Stake governance protocol to achieve consensus on the blockchain.

The consensus process takes place between a group of 27 Super Representatives (SR). Also, all these representatives are chosen/elected by Tronix (TRX) holders to validate transactions and produce blocks.

TRX is TRON’s native cryptocurrency token. SRs are readjusted every 6 hours based on the votes received from TRX holders.

This is how a Delegated Proof-of-Stake blockchain consensus protocol works, Source: ICT Express, KICS

The network produces one block every three seconds, with each SR receiving 32 TRX for the same. In all, SRs get to make 336,384,000 TRX annually through block rewards.

An SR upon finishing block production receives the rewards in a sub-account situated in the super-ledger.SRs can check, but not directly make use of these TRX tokens.

A withdrawal can be made by each SR once every 24 hours, transferring the rewards from the sub-account to the specified SR account. The TRON network employs three different types of nodes – Witness Nodes, Full Nodes, and Solidity Nodes.

Witness nodes are set up by SRs and are mainly responsible for block production and proposal creation/voting. Full nodes provide APIs and broadcast transactions and blocks.

Solidity nodes sync blocks from other Full Nodes and also provide indexable APIs.

TRX Staking

For electing Super Representatives, users need to lock their stake in TRX in exchange for ‘TRON Power’. TRX holders receive 1 Tron Power for every 1 TRX they chose to “lock” in. TRX exchanged for voting rights is untradeable.

What are the applications of TRX? How and Where to Buy TRON’s coin?

Apart from obtaining voting rights to elect super representatives, TRX also functions as the primary currency for accessing numerous dApps. TRON dApps use TRC-10 and TRC-20 tokens. These tokens can be exchanged with TRX.

Users also need to be TRX holders to purchase other tokens that may be issued on TRON. To avail of all the above facilities, one would have to start by buying TRX first.

WazirX provides a seamless TRX buying experience in India. Check out the below video to know more:

Also you can download the app and Start Trading Now!

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