How to Buy TRON (TRX)
Beginner’s Guide
What Is TRON (TRX)?
TRON (TRX) is a decentralized blockchain-based operating system developed by the Tron Foundation and launched in 2017. Originally TRX tokens were ERC-20-based tokens deployed on Ethereum, but a year later they were moved to their own network. Initially, the project was created with the aim of providing full ownership rights to makers of digital content. The main goal is to help content creators (who receive only a small part of the income) and encourage them with more rewards for their work. How: invite content consumers to reward content makers directly (without intermediaries like YouTube, Facebook or Apple). The TRON software supports smart contracts, various kinds of blockchain systems, and decentralized applications aka dApps. The cryptocurrency platform uses a transaction model similar to Bitcoin (BTC), namely UTXO. Transactions take place in a public ledger, where users can track the history of operations. Therefore, the platform was built to create a decentralized Internet and serves as a tool for developers to create dApps, acting as an alternative to Ethereum. Anyone can create dApps on the TRON network, offer content, and in return receive digital assets as compensation for their efforts. The ability to create content and share it openly without hesitation regarding transaction fees is an undeniable advantage of TRON.
How to Buy TRON Summary
- Get a TRON wallet (e.g. Ledger, Trezor ,Guardia, Exodus , AtomicWallet)
- Find an exchange that sells TRON (e.g. Binance, Coinbase, Kucoin, Bitfinex , Crypo.com)
- Deposit money and make the trade
- Withdraw the TRON to your wallet
Buying TRON in 3 Simple Steps
Step 1 – Get a TRX wallet
TRON (TRX) Hardware Wallets
TRON (TRX) can be stored on hardware wallets, which are physical devices that store your private keys offline, making them much more secure than software wallets or exchanges. Some popular hardware wallets that support TRON include:
Ledger Nano S and Ledger Nano X: The Ledger Nano S and Nano X are two of the most popular hardware wallets on the market. They both support TRON and allow you to store your TRX offline in a secure manner.
Trezor Model T: The Trezor Model T is another popular hardware wallet that supports TRON. It is a bit more expensive than the Ledger Nano S and Nano X, but it offers some additional features, such as a touchscreen display.
BitBox02: The BitBox02 is a newer hardware wallet that supports TRON. It is a bit more expensive than the Ledger Nano S and Nano X, but it offers some unique features, such as a dual-chip design that adds an extra layer of security.
KeepKey: KeepKey is a popular hardware wallet that supports TRON. It has a larger screen than most other hardware wallets, making it easier to use.
When using a hardware wallet to store TRON, it is important to keep your recovery phrase (seed phrase) safe and secure, as this is what you will need to recover your wallet in case your hardware wallet is lost or damaged.
The best option for storing any cryptocurrency would be to use a hardware wallet. These are pieces of hardware that store the private key to your coins offline.
Today, there are two leading hardware manufacturers to choose from – Ledger and TREZOR. Both companies have different models of hardware wallets that will get the job done.
If you want deeper insights on specific models, you can read my Ledger Nano X review or my TREZOR Model T review.
TRON (TRX) Software Wallets
TRON (TRX) can also be stored on software wallets, which are applications that run on your computer, smartphone, or tablet. These wallets are more convenient to use than hardware wallets, but they are less secure, as your private keys are stored on your device and could be vulnerable to hackers or malware. Some popular software wallets that support TRON include:
TronLink: TronLink is a browser extension wallet that can be used with Google Chrome, Mozilla Firefox, and Brave. It allows you to send, receive, and store TRON and other TRC-10 and TRC-20 tokens.
TronWallet: TronWallet is a mobile wallet that can be used on both iOS and Android devices. It allows you to store, send, and receive TRON and other TRC-10 and TRC-20 tokens, as well as interact with decentralized applications (dApps) on the TRON network.
Atomic Wallet: Atomic Wallet is a multi-cryptocurrency desktop and mobile wallet that supports TRON and other cryptocurrencies. It allows you to store, send, and receive TRON and other tokens, as well as exchange them with other cryptocurrencies within the app.
Exodus Wallet: Exodus is a desktop and mobile wallet that supports TRON and other cryptocurrencies. It allows you to store, send, and receive TRON and other tokens, as well as exchange them with other cryptocurrencies within the app.
When using a software wallet to store TRON, it is important to keep your private keys safe and secure by following best practices such as using strong passwords, enabling two-factor authentication, and keeping your device and software up to date with the latest security patches.
Hardware wallets cost money, so if you’re not sure how serious you are about cryptocurrencies and just want to get a taste of what they feel like, perhaps you would be better off starting with a software wallet.
A software wallet is a free program that lets you store your coins on your computer or mobile phone.
The easiest Cosmos software wallets to get started with are undoubtedly Exodus, AtomicWallet and Guarda . All wallets are very intuitive. Exodus, Atomic Wallet and Guarda is available on desktop for Windows, Mac and Linux, as well as on mobile for both iOS and Android. If you want more information you can read my Exodus, AtomicWallet and Guarda review.
Step 2 – Find an TRON (TRX) Exchange
Buy TRON (TRX) through Binance
- Binance is a cryptocurrency exchange which is the largest exchange in the world in terms of daily trading volume of cryptocurrencies. It was founded in 2017 and is registered in the Cayman Islands. Binance was founded by Changpeng Zhao, a developer who had previously created high frequency trading software.
Buy TRON (TRX) through Coinbase
- Coinbase is a convenient and cheap way to buy Ethereum and the platform is open to 100+ countries). Coinbase will sell you LTC for a variable fee that depends on your payment method (credit cards have a higher fee than wire transfers), order size and market volatility. Here’s how you buy Ethereum on Coinbase: Open a Coinbase account Add your payment method (Credit card or bank account) Go to “Buy/Sell” and select the amount of Ethereum you desire Click “Buy Litecoin”
Buy TRON (TRX) through Kucoin
- Kucoin is a global cryptocurrency exchange for numerous digital assets and cryptocurrencies. Launched in September 2017, KuCoin has grown into one of the most popular crypto exchanges and already has over 8 million registered users from 700+ countries and regions. According to Alexa traffic ranking, KuCoin’s monthly unique ranking is in the top 5 globally. Known as the “People’s Exchange”, KuCoin operates in Seychelles, providing users with multi-language and 24/7 customer service. Meanwhile, KuCoin has established local communities all over the world in South Korea, Japan, Spain, Italy, Vietnam, Turkey, Russia, India, and other regions, providing users with the most local services. Currently, 1 out of every 4 crypto holders in the world is with KuCoin.
Buy TRON (TRX) through Bitfinex
- Bitfinex is a cryptocurrency exchange owned and operated by iFinex Inc registered in the British Virgin Islands.Their customers’ money has been stolen or lost in several incidents, and they have been unable to secure normal banking relationships.Bitfinex was founded in December 2012 as a peer-to-peer Bitcoin exchange, offering digital asset trading services to users around the world. Bitfinex initially started as a P2P margin lending platform for Bitcoin and later added support for more cryptocurrencies.
Buy TRON (TRX) through Crypto.com
- Crypto.com is a cryptocurrency exchange company based in Singapore. As of May 2022, the company reportedly had 50 million customers and 4,000 employees. The exchange issues a token, Cronos.
Step 3 – Withdraw Your TRON (TRX)
Once you decide on an exchange, open an account and buy your TRON . Make sure to withdraw the TRON from the exchange to your personal wallet.
Never leave coins on an exchange, as you risk losing them all if that exchange gets hacked or shuts down (which has happened in the past).
OVERVIEW
What Is TRON ?
TRON (TRX) is a blockchain-based decentralized platform designed to allow for the creation and sharing of digital content. It was founded in 2017 by Justin Sun, a young entrepreneur from China, and has since become one of the largest blockchain platforms in the world.
The TRON platform is built on a blockchain that uses a delegated proof-of-stake consensus mechanism, which allows for fast transaction processing and low fees. It is designed to be scalable, with the ability to handle up to 2,000 transactions per second.
One of the main goals of TRON is to decentralize the internet and empower content creators by eliminating middlemen and allowing them to directly monetize their content. The TRON platform provides a variety of tools and resources for content creators, including the ability to issue and trade tokens, create decentralized applications (dApps), and interact with a large community of users.
TRON also has its own native cryptocurrency, TRX, which is used to pay for transactions on the network and incentivize users to contribute to the platform. TRX can be traded on many cryptocurrency exchanges and stored in various wallets, including hardware and software wallets.
Overall, TRON aims to disrupt the traditional entertainment industry by providing a decentralized and more equitable platform for content creation and distribution.
Network principles:
The data hosted on the TRON network is free with no central authority. Content creators receive TRX tokens – a reward for their intellectual labour;
TRON supports the creation of coins by content makers, which can be used in their own developed applications;
TRON also carries out decentralized games on the network, players can encourage and reward creators with digital assets directly.
The ecosystem is based on three levels, which ensure the smooth and powerful operation of TRON. The architecture is as follows:
- Storage Layer, where network data, blockchain state and history data are securely stored. In general, its purpose is to segment all kinds of ecosystem data;
- Application Layer, where developers are key figures and where TRX is utilized to develop applications and create wallets;
- Core Layer, where various instructions are processed (which can be written only in two programming languages – Solidity and Java). Principle of operation: the core layer computes instructions, processes them, and sends them to the Tron Virtual Machine, where the logic happens, and dApps are executed.
The main network protection tool, as well as one of the special features, is a delegated Proof-of-Stake (dPoS) system, an alternative to the Proof-of-Stake and Proof-of-Work consensus algorithms. This is a competitive advantage of TRON, because it means that the network is far more energy-efficient. Furthermore, due to its layered architecture, TRON processes more transactions at once than Proof-of-Work (PoW) systems. According to the development team, TRON has the higher throughput and is able to process up to 2000 operations per second without fees, thus, transactions on the network are feeless.
TRON is a blockchain-based operating system that aims to ensure this technology is suitable for daily use. Whereas Bitcoin can handle up to six transactions per second, and Ethereum up to 25, TRON claims that its network has capacity for 2,000 TPS.
To learn more about this project, check out our deep dive of Tron.
This project is best described as a decentralized platform focused on content sharing and entertainment — and to this end, one of its biggest acquisitions was the file sharing service BitTorrent back in 2018.
Overall, TRON has divided its goals into six phases. These include delivering simple distributed file sharing, driving content creation through financial rewards, allowing content creators to launch their own personal tokens and decentralizing the gaming industry.
TRON is also one of the most popular blockchains for building DApps.
USDD Stablecoin
In April 2022, the CEO of Tron, Justin Sun, announced plans to launch an algorithmic stablecoin, dubbed Decentralized USD or USDD. It requires an automated balancing technique that burns $1 worth of TRX to mint 1 USDD. Tron DAO Reserve is responsible for managing USDD and ensuring that its value is stable relative to the value of its underlying collateral. Also, it sets the APY offered to users staking USDD. At the time of writing, users earn a 30% yield on staked USDD.
While USDD has been criticized for borrowing heavily from the design of UST — Terra’s algorithmic stablecoin which set off what was essentially a bank run and crash of the Terra ecosystem — certain elements set it apart. Perhaps the most notable is the decision to opt for a guaranteed over-collateralized framework, in contrast to the undercollateralized model of UST. The cryptocurrencies used as collateral on the USDD protocol include Tron, Bitcoin, USDC and Tether.
The minimum collateral ratio of USDD has been set at 130%. Hence, the value of collateral deposited in the protocol’s cryptocurrency reserves would, in practice, be higher than the value of USDD in circulation. With this, the possibility of a sustained depeg of USDD could be perceived as low. Despite its 130% minimum collateral ratio, USDD is at the time of writing backed by collateral reserves collectively worth over thrice the value of USDD in circulation. For the Tron DAO Reserve, the goal is to build a $10 billion treasury to back the value of USDD.
Another core element that is key to the stability of USDD is the operation of Super Representatives, which are Tron’s institutional partners. The super representatives are incentivized entities that influence either side of the trade to absorb the potential volatility of the price of USDD. For instance, when the price of USDD falls below $1, the super representatives burn part of their USDD holding to mint TRX. This will, in turn, bring the value of USDD to the target price.
However, all these stability mechanisms have not stopped USDD from facing its fair share of volatility as the stablecoin. In June 2022, it experienced a 9% fall in its price relative to the value of 1 USD. In response, Tron DAO Reserve infused $650 million worth of USDC into USDD’s collateral reserve.
Who Are the Founders of TRON?
TRON was founded by Justin Sun, who now serves as CEO. Educated at Peking University and the University of Pennsylvania, he was recognized by Forbes Asia in its 30 Under 30 series for entrepreneurs.
Born in 1990, he was also associated with Ripple in the past — serving as its chief representative in the Greater China area.
What Makes TRON Unique?
TRON (TRX) is unique in several ways:
Decentralized content sharing: TRON’s goal is to create a decentralized internet that allows content creators to share their work directly with consumers, without intermediaries like Google or Facebook taking a cut.
High transaction speed and low fees: TRON’s blockchain is designed to handle up to 2,000 transactions per second, making it one of the fastest blockchains in the world. Additionally, transaction fees are very low, making it accessible to a wide range of users.
Variety of tools and resources for content creators: TRON provides a variety of tools and resources to help content creators monetize their work, including the ability to issue and trade tokens, create decentralized applications (dApps), and interact with a large community of users.
Active development and partnerships: TRON has a large and active development team, constantly working to improve the platform and add new features. Additionally, the platform has formed partnerships with a variety of companies and organizations in the entertainment and technology industries, further expanding its reach and potential.
Founder and community: TRON was founded by Justin Sun, a young entrepreneur with a strong track record in the tech industry. The platform also has a large and active community of users and supporters, further driving its growth and development.
Overall, TRON’s unique combination of decentralization, high speed and low fees, resources for content creators, partnerships, and strong founder and community make it a promising platform for the future of decentralized content sharing and entertainment.
How Many TRON (TRX) Coins Are There in Circulation?
TRON has a total supply of just over 100 billion tokens — and at the time of writing, about 71.6 billion of these are in circulation.
When a token sale was held in 2017, 15.75 billion TRX was allocated to private investors, while an additional 40 billion were earmarked for initial coin offering participants. The Tron Foundation was given 34 billion, and a company owned by Justin Sun got 10 billion.
All in all, this meant that 45% of TRX supply went to the founder and the project itself, while 55% was distributed among investors. Critics argue that this is a much higher ratio than what has been seen with other cryptocurrency projects.
How Is the TRON Network Secured?
TRON uses a consensus mechanism that is known as delegated proof-of-stake.
TRX owners can freeze their cryptocurrency in order to get Tron Power, which means that they can vote for “super representatives” who serve as block producers.
These block producers receive TRX rewards in exchange for verifying transactions, and these rewards are then distributed among the people who voted for them.
According to TRON, this approach helps its blockchain to achieve higher levels of throughput.
Where Can You Buy TRON ?
TRON (TRX) can be bought and sold on a variety of cryptocurrency exchanges, both centralized and decentralized. Some of the most popular exchanges that support TRX include:
- Binance
- Huobi
- OKEx
- Bitfinex
- Coinbase Pro
- Bittrex
- Kraken
To buy TRX, you will need to create an account on one of these exchanges, complete the verification process, and deposit funds into your account. Once you have deposited funds, you can place a buy order for TRX using the exchange’s trading interface. The TRX tokens will then be credited to your account once the transaction is complete.
It is important to note that the price of TRX can fluctuate rapidly, and buying cryptocurrency is inherently risky. Therefore, it is important to do your own research and only invest what you can afford to lose.
Additionally, TRX can be exchanged with other cryptocurrencies, such as Bitcoin or Ethereum, on various exchanges. This means that if you already own another cryptocurrency, you can trade it for TRX without having to deposit fiat currency.