While the cryptocurrency market is dominated by a few big currencies (BTC, ETH, Ripple,) there are thousands of other currencies, often after niche uses or simply lacking the huge publicity other currencies get.
One of said currencies is the TRON (TRX) cryptocurrency. While not a huge player, the Tronix currency has had a great record so far, managing to maintain its value well above its initial market offer price in a sphere where many tokens see their price nosedive right after release.
Its price isn’t in a constant uptick – that would make it a no-brainer for investors – but it does tend to have peaks and valleys, making it ideal for a traders’ market. On top of this, its low price (at the moment one TRX costs about $0.025) makes it much more welcoming and less risky for newer investors than more expensive tokens.
Where did Tronix come from?
Tronix is the native cryptocurrency of the TRON blockchain. It was created in late 2017 after one of the most successful ICOS of all time. The blockchain itself is quite impressive, as it is one of the largest blockchain-based operating systems in the world and is known among other things for being able to handle thousands of operations per second without a problem.
TRON’s main goal as a blockchain is helping decentralize the internet. While many blockchains are quite decentralized, TRON’s plan is quite specific: Creating the ideal blockchain where decentralized entertainment systems can thrive. The most common example of what could be done with TRON is creating a worldwide video platform, like YouTube, that isn’t tied to the whims of a single corporation, and where creators get paid directly and transparently. In short, the goal is creating the perfect blockchain for entertainment-related dApps.
It’s an impressive goal, and one that might completely revolutionize the way streaming and video sharing works. It should also bring us one step closer to the goal of having a completely distributed internet, where hacking and servers going down effectively becomes a thing of the past.
In other words, it’s one of the most interesting blockchains out there. So its popularity is conveniently justified.
It’s a nice goal, but what is the cryptocurrency for?
Blockchains use cryptocurrencies as ways to pay for their own maintenance fees. Keeping a distributed network online is costly, and it would be impossible for any one entity to maintain one without having to charge for access.
In order to keep blockchains accessible for everyone and prevent corporations from taking over the space as already happens with general internet, blockchains use cryptocurrencies to help pay for operating cost. However, the cryptocurrencies aren’t straight up payments. They are rather actual currencies you can use where all transaction fees go towards helping with the blockchain’s upkeep.
Think about it this way: Every time you use your bank account in any way, a transaction fee is charged. Sometimes you’ll be the one paying it, other times, your counterpart in the transaction will, and there will always be transaction fees. Said fees go towards paying for the cost of performing the transaction plus a small cut for the bank.
It’s the same with blockchains, except that in their case, there are usually no earnings for the blockchain itself, with transaction fees going straight to helping maintain the network. That would then be the reason why Tronix exists: To help keep the TRON network running.
What can I use Tronix for?
Tronix can be used for any transactions inside the TRON network, as is common among cryptocurrencies. It can also be traded using platforms that accept fiat or convert tokens or coins.
The plan for Tronix is larger than just this, however. While the initial plan for the TRON network was to create a distributed media system via the blockchain, Tronix is thought as going further than this. Not only should you be able to use it to pay for services and transactions within the blockchain, including donating to your favorite video producers, but TRON is geared towards another, much larger segment: gaming.
Now, several blockchains have aimed for gaming with little or no success. It’s a difficult crowd to reach, particularly since developers and publishers need to get on board. But the interesting part in TRON’s plan with TRX and gaming, is precisely how unobtrusive it would be.
Instead of attempting to reinvent the wheel by adding confusing new systems and borderline absurd proposals, TRON’s plan towards gaming is easy to grasp. The current online gaming environment favors titles that are free to download and play, which keep themselves afloat via small transactions, known as microtransactions. Fortnite, arguably the most successful videogame in recent years, works like that.
The main issue these games have is the lack of a unified wallet. In most of these games you have to buy virtual currencies to then buy whatever you want, but once your funds are in, they can’t go out or be spent anywhere outside that gaming platform. So, the methodology goes thus: Instead of having to buy vbucks, gems, gold, or whatever your game’s virtual currency is, users can buy Tronix. They can then spend Tronix on any games they want without having their money stuck or completely unusable if they want out.
It’s an interesting proposal, and perhaps the best part is that it doesn’t monopolize the whole gaming market to change. Publishers are free to opt-in or stay in their preferred platform. Or, they can expand to Tron to also allow gamers to access their offering, using it in the same manner they use PayPal or their credit cards.
Is TRON currently working?
The TRON blockchain has been live for two years now, although not all of its features are fully working yet. As with any such huge endeavor, the rollout has been slow but constant.
As should be obvious, the YouTube killer app that TRON’s makers dream about isn’t yet here, but then again, such a behemoth wouldn’t appear out of the blue either. What TRON does have, however, is a small, but growing community of users and developers.
As of April 2019, about 10 new dapps were registered in the TRON blockchain each week, with the current number of dapps (July 2019) above 500. An average of $102 in TRX were spent daily on the blockchain, which gives it a stable, yet small, economy.
It’s not bad, particularly considering that gaming is a big part of TRON’s goals and blockchain gaming just hasn’t found its way to the mainstream yet. More importantly, its community is growing, with over a million accounts registered on the blockchain.
Is TRON guaranteed to succeed?
Nothing ever is.
However, since TRON has been making waves recently and the blockchain is backed by several known names in tech, mainly by Justin Sun who is also the current CEO of BitTorrent. The token, which is a good measure of the health of a blockchain, has held its price, which sends a good sign across to investors. TRX isn’t supposed to be a token you stash while waiting for price hikes (although it’s perfectly possible to do that thanks to its low value,) so maintaining its value under $1 USD is quite good.
Out of the current media-geared blockchains, TRON certainly stands out. It hasn’t found the support for gaming that corresponds to what Ethereum can boast of as an ICO enabler, but it’s slowly getting there.
As with all blockchain-related investments, TRX investment can be risky. The truth is -all investments are surely risky. You have to choose what you are persuaded about.
Where can I buy the TRON cryptocurrency?
If you are keen to know how to buy Tron, this is for you.
While initially only a few crypto exchanges listed TRX among their offerings, as the blockchain and its cryptocurrency have gained users, more and more exchanges have added the token to their lists. As of July 2019, over fifty exchanges trade the currency – a notoriously higher amount than on release, yet still small when considering the size of the crypto market.
As such, the most common place to buy TRX these days is still Binance, the biggest crypto exchange on earth and one of TRON’s open backers. Binance is known for being secure and legit, giving customers peace of mind along with relatively simple steps to obtain the crypto of their choice through buying or swapping.
Binance: The safest bet
While Binance is the safest bet when it comes to trading Tronix or about any other cryptocurrencies, it isn’t the easiest method to use. This is because Binance is, at heart, a crypto-for-crypto exchange – that is, an exchange where trading fiat currency for cryptocurrencies and back isn’t a thing.
That doesn’t mean you can’t use your fiat to buy Tronix on Binance, though. It just means you need to take a couple extra steps if you plan on using fiat.
The trick is, while Binance doesn’t take fiat for general transactions, it recently added an exception: You can buy Bitcoin and Ethereum using a credit card. So, here is how to buy TRX on Binance:
- Register using an email
- Buy ETH/BTC using your credit card.
- Exchange those ETH or BTC for TRX.
- Put the TRX on your own wallet or leave them parked on Binance.
It’s a simple process, with the only extra step being having to buy another crypto to then change it for the one you want. Still, it’s not a complex one and, once again, Binance is the safest place for this. If you already own crypto and want to buy TRX with it, then the process is even simpler since you just have to transfer your other crypto from your own wallet to Binance, then proceed with the exchange.
Alternately, in learning how to buy Tron coin, another option is to get BTC, Ether, or any other cryptocurrency that Binance supports in a different exchange, then move it to Binance (or any exchanges that support TRX) to get your Tronix. This is the same route to take if you want to know how to buy Tron with Coinbase as it does not support Tron trading.
What if I want to buy it directly with fiat?
It used to be that, due to its reliance on Binance, TRX could only be purchased by trading other cryptocurrencies. However, that has since changed – Tronix has seen its support grow and, with it, the amount of ways in which you can buy it. While fiat support to buy TRX is still minimal, at least two exchanges with some popularity accept it, specifically Bittrex and Bitfinex.
It is true that Bittrex or Bitfinex is the answer if you are looking for where to buy Tron coin with USD. However, they do not allow credit cards – deposits and withdrawals on both exchanges are via bank account only.
Are there any exchanges that let me buy TRX using credit card or PayPal?
Once again, your best bet is going through Binance’s dual conversion for credit cards. While several exchanges that allow credit card purchasing also trade TRX, the vast majority of them only allow credit card purchases for select cryptocurrencies – usually BTC, ETH, and a few altcoins.
The truth is that most cryptocurrencies can only be traded with other cryptocurrencies, and that’s largely the case with Tronix. If TRON’s plans flourish we’ll likely see an exchange accept credit cards for it soon enough, but since for now the market for TRX is relatively slow, that’s sadly not the case.
As for PayPal, it’s the same case, if not even worse. Since PayPal transactions are subject to reversals and still easily manipulated, most exchanges shy away from it. The few that accept it stick to US and select European countries, Canadian and Australian residents only.
Which crypto wallets can hold TRX?
One thing to notice is that not all crypto wallets can handle just any currency. While most will have support for the biggest cryptocurrencies (BTC, ETH, Ripple…) that’s not the case for other, less common tokens. As such, one of the things you must be aware of is choosing a crypto wallet that supports your token. Luckily, there are enough TRON-compatible crypto wallets that you can choose among them. Apart from the commonly mentioned Exodus and Trezor, other wallets are also earning the plaudits and they are:
VenaPi is often touted as the best wallet for crypto beginners looking to trade TRX. Unlike other crypto wallets, this one is specific for TRON, making it somewhat easier to manage and more difficult for newcomers to make mistakes with it.
One of the reasons VenaPi is so highly recommended is that it doesn’t only work as a crypto wallet, but as a gateway to the whole of the TRON ecosystem. Its included browser for dApps that use the TRON blockchain makes it an all-in-one stop for newcomers who aren’t only interested in the token, but in the whole proposal TRON brings.
The very first TRON wallet many people will come across is TronLink. It enjoys the support of TRON Foundation and it is openly recommended by TRON blockchain developers.
This wallet exists for Chrome, iOS, and Android, making it perfect for pretty much any crypto trades. It doesn’t only support TRX, but all tokens issued within the TRON ecosystem, making it possible for users to go deeper into the blockchain’s offerings. Just like VenaPi, TronLink lets you browse TRON-based dApps, serving as a gateway into the blockchain itself and its many services.
Another TRON-backed wallet, TronBlocks boasts both being recommended by the blockchain developers and having a focus on security.
While TronBlocks only allows you to keep tokens from the TRON blockchain, if you’re aiming to trading only within it, you’ll be set – and if you’re planning on parking your crypto it’s even better. This is as TronBlocks comes with included support for cold (or offline) storage. One of their most particular offerings is allowing you to turn an old phone into a unit for cold crypto storage, doing away with the need to buy physical crypto wallets.
A mobile wallet, Cobo offers support not only for TRON-based cryptocurrencies, but for most of the major players in the market. This will allow you to easily trade other tokens without needing to look for another wallet to hold them, keeping all your crypto within the same storage.
It’s not the most recommended wallet out there, since it’s still relatively new, but it’s among the best options if you’re planning on trading a wide array of cryptocurrencies.
Keeping crypto in your exchange’s wallet
Every crypto exchange you use has its own wallet, where your cryptocurrencies are stored while you have them deposited. Some of them will only allow you to park crypto there, while others will let you use your crypto while also having it with them.
Keeping your crypto in your exchange can be a good move or a bad one. If you intend on actually using your crypto for transactions, your own private wallet is better – as transactions done from an exchange’s wallets aren’t private. In some cases, exchanges will close wallets belonging to their customers if they disagree with their transactions on legal or moral grounds – Coinbase in particular is known for doing this.
However, if you aren’t planning on using your crypto and you’re parking it or using it as an investment, keeping it in the exchange’s wallet can be a great move, since you’ll always be able to trade it immediately and you’ll get to save transaction fees when depositing and withdrawing.
That said, do keep your exchange’s security rating in mind before leaving any crypto lying around. While most of the bigger exchanges (like Binance) are known for insuring their customers’ crypto and reimbursing in case of a hack, not all exchanges do this. Before you leave your crypto lying around, do your homework and look into what to expect if your particular exchange gets hacked. More importantly, look into how secure the exchange itself is – particularly whether it has any insurance and if funds are kept in cold storage at all.
TRON: The crypto of the future?
As noted above, TRON as a blockchain, comes packing a punch and is very open in its attempt to overhaul the way media and entertainment work on the internet. As such, it has the potential to make it big, although it will likely run into several hurdles – particularly in the form of opposition from media corporations and studios that might be keen to prevent a market disruption like most oligopolies do.
What this means is: Don’t expect to have Marvel movies available on any TRON services in the near future. Right now, you should treat TRON in the same way you would have treated YouTube back when it launched in 2005. It’s a great idea, and it already has its uses, but it’s not yet big. There’s a chance it might never be big. Yet if it does, we all know it will be for the better of web-based entertainment.
Something else to keep in mind before buying Tronix is the market itself for the token. While the goal is to have it eventually become one of the main currencies in entertainment, right now, you can only spend Tronix on a handful of smaller projects available – many of which have little attraction. Investing in TRX is great, as long as you’re aware you’ll mostly be helping a great idea become mainstream and you might not find great uses for your crypto in the short term.
That said, using Tronix as an investment might pay off. The token increased its value by a factor of 30 back in December 2017, during the Bitcoin craze, making it one of the largest increases at the time – to the point where having invested in TRX in early December 2017 would have been more profitable than doing so on Bitcoin, Ethereum, or any of the Top Five crypto.
While another bull market is not unlikely, TRX has mostly maintained its value over time, barring the inevitable loss of value when the BTC bubble burst in early 2018. It’s one of the more stable crypto tokens at the moment, and one of the few tokens that seem to have an actual plan for specific uses.
As such, TRON is currently one of the most promising blockchains out there, one that exists with a set goal, and at the very least, a project you should watch out for.