New Report Shows Justin Sun’s Tron Is A ‘Real Business’ Despite Community Backlash
It's been a rollercoaster ride on Tron blockchain’s growth to its current 1 billion dollar market capitalization. The controversies, mainnet launch, and Justin Sun’s marketing theatrics have all contributed to the blockchain’s growth.
However, there has been increasing criticism on social media questioning the legitimacy of Tron’s blockchain as it prepares for its Tron 4.0 mainnet launch soon. In light of the backlash, Flipsidecrypto researched whether Tron qualifies to be a scam in a comprehensive report released on Friday.
The controversies that rocked TRON blockchain
Tron’s is one of (if not) the most controversial token in the top 20 cryptocurrencies. The coin severally finds itself on the top coins list in interactions (bot activity suspected), battles Ethereum on the smart contract market, and Justin Sun’s marketing stunts such as the dinner with Warren Buffet have all contributed to the rise of Tron’s audience.
However, the blockchain always faces criticism with a start pointing to January 2018 when it revealed that Justin Sun had plagiarized the whitepaper of Tron.
It's been one controversial thing after another
In a plan to expand Tron’s and Tron Foundation’s reach, Justin Sun announced the acquisition of BitTorrent and a user competition worth $20 million and a Tesla. Once the contest was closed and the winners announced, Tron Foundation never delivered on the promise. While Tesla finally gifted to the winner according to a Sun’s Twitter post, the stalling didn’t sit well with the community.
Fast forward to 2020 and an acquisition of the Steemit platform, the largest dApp on STEEM blockchain, by Justin ,was blatantly rejected by the community, causing a hard fork event and creating the Hive blockchain.
While all these controversies happened off-chain, Flipsidecrypto report shows that the on-chain functionalities have been at top performance in the past 30 days.
Report: “Tron is a real business”
Looking at the image below, showing the TRX volume moves across the ecosystem shows a healthy and stable blockchain, the report reads. Institutional and retail users are all contributing heavily to the use of Tron through staking, which is to lock your TRX token to earn interest and govern the blockchain.
Moreover, the dApp and DEXes activity are still fertile on the blockchain offering a rather clear signal that TRON is a legitimate blockchain. Finally, a large concentration of the active supply is run by smaller wallets giving a strong hint of decentralization on the blockchain. The report reads,
“This is a good sign for the ecosystem because it suggests that the token supply is widely distributed and not concentrated in the hands of the foundation or top holders (wallets who own a significant portion of the active supply and whose actions could impact price.”
With over 40 blockchains analyzed, Tron is amongst a small 10% class of blockchains that have real use cases, the report concludes.