What is TRON cryptocurrency and how does TRX work?
TRON is a smart-contract blockchain whose native coin TRX pays for operations and staking. Justin Sun founded it in 2017, and it left Ethereum in 2018.
Vahe HakobyanEditor-in-chief
Updated Oct 5, 20262 min readFact-checked
On this page
- TRON is a smart-contract blockchain, and TRX is its native coin.
- People use TRON for USDT transfers, DApps and smart contracts.
- Elected Super Representatives produce blocks under delegated proof-of-stake.
- Justin Sun founded TRON in 2017; the SEC charged him in March 2023.
TRON is a blockchain network, and TRX is its native cryptocurrency. TRX pays for operations on the network and is used for staking.
What is TRON used for?
People use TRON for USDT transfers, decentralized apps and smart contracts. USDT on TRON is a stablecoin issued on the network, not the same asset as TRX.
- Send USDT and other TRC-20 tokens.
- Run decentralized apps.
- Execute smart contracts.
- Stake TRX to vote for Super Representatives.
How does TRON work?
TRON runs on delegated proof-of-stake. Token holders vote for 27 block producers called Super Representatives. Those elected representatives confirm transactions and keep the network running. Bandwidth and energy share computing resources among TRX holders.
Who created TRON?
Justin Sun founded TRON in 2017. The TRON Foundation was established in Singapore in July 2017. TRON began as an ERC-20 token on Ethereum and moved to its own blockchain in 2018. The mainnet launched in May 2018, and the network became independent in June 2018.
How is TRON different?
TRON is compatible with the Ethereum Virtual Machine, so developers can move Ethereum applications to it. Its main focus is stablecoin transfers and decentralized apps.
What risks and legal issues?
In March 2023, the SEC charged Justin Sun, the TRON Foundation and BitTorrent with fraud and unregistered securities offerings. The charges are allegations, not proven facts.
Frequently asked questions
No. TRON uses delegated proof-of-stake, so elected Super Representatives produce blocks instead of miners.
No. TRX is the native cryptocurrency of TRON, while USDT on TRON is a stablecoin issued on the network as a TRC-20 token.
Many software and hardware wallets support TRON and TRC-20 tokens. Check the wallet's network list before you send anything.
