Some people are in a buzz after a ton of money was moved out of the Tron blockchain, and into Ethereum. Binance and Tether both decided to swap millions of dollars away from the Tron blockchain, learning some to speculate that the cryptocurrency and blockchain project is “in trouble.”
However, it doesn’t take a genius to see that Tron couldn’t possibly worry about something trivial like money moving away from stablecoins on the Tron blockchain. The important thing for Tron, as always, is the number of decentralized applications running on it, and how many transactions they’re generating.
A World of dApps, Not Built on Stablecoins
A brief look at DappRadar.com reveals that Tron has hundreds of dApps, and some are doing hundreds of thousands of dollars a day in volume. This, rather than other metrics like price and the amount of money invested in stablecoins on the chain, is a good way to determine the health and wealth of the Tron ecosystem. How many dApps are running, and how much money are they moving?
The interesting thing about Tron, EOS, and certain other blockchains is the ease of which you can create and execute a transaction. The way resources are divided up is different, so rather than pay a fee, you pay a fraction of a predefined amount you had set aside.
So when presented with an obviously loaded question like “Is Tron in trouble?” one should always look for the important things. Does Tron currently have dApps moving millions as a group? Yes.
Of course, things aren’t as booming as they once were, as attention has moved elsewhere, but nevertheless people are still gambling and playing games on Tron. That means the token itself, TRX, still has significant value to some people, at least while they want to play on the network. Therefore just because one token, ie USDT, leaves the network in a huge amount, it doesn’t necessarily mean the base token has to lose value.
The Tron Train
Tron has been clever in its decisions, and has made some interesting purchases including BitTorrent. It can once again grow itself into a vibrant dApp community, but I think it probably has to look into more non-gambling uses for its technology stack. To date, most of the money flowing through Tron has somehow been related to gambling. It’s just a fact of the blockchain. If not gambling, then trading on decentralized exchanges in tokens for the Tron network, many of which are related to gambling establishments.
Now, of course, I have nothing against gambling, but I think if you want to see real growth, you should find a way to incentivize the community beyond just throwing lots. Perhaps a platform like Steemit, where people can just log in with their wallet instead of a username and password, and post content and receive tips. It might be far easier to social network if all people have to use is their wallet, which is of course built into their browser.
Whatever happens, Tron isn’t going anywhere just because a bunch of money moved off the chain. That happens everyday. If it loses a bit, it will be a small bit. And it will probably later be recovered, when Justin Sun decides to make his next big move.