TRON’s TRX token has been introduced to the competing Ethereum blockchain thanks to an official effort to bridge the asset across the two networks.

TRX Is Live On Ethereum

Justin Sun, the founder and former CEO of TRON, wrote on Twitter:

“[TRON] has now expanded its reach by going live on the Ethereum blockchain … TRX is now fully accessible within the Ethereum ecosystem.”

Sun said that TRX was added to Ethereum via BitTorrent Bridge, a feature of TRON’s BitTorrent Chain (BTTC). Sun and TRON began to acquire the BitTorrent brand in 2018 and have launched numerous products under the BitTorrent banner since then.

TRX’s price has seemingly benefited from the news. The token’s value gained 10% over 24 hours on June 2 — the same day that the feature was announced. Bitcoin and the rest of the crypto market saw gains of just 1.2% over the same 24-hour period.

Though market speculation may have boosted prices, the actual use of TRX on Ethereum appears to be limited. Etherscan data indicated that just 29 addresses held the coin and that just 119 transfers took place on the first day of availability.

Ethereum Remains Dominant

TRON’s blockchain went live in 2018, about three years after Ethereum’s 2015 launch. The two chains share some features, such as support for custom tokens, support for decentralized applications, high transaction throughput, and staking support.

Though both blockchains are generally considered competitors, Ethereum (ETH) is by far the more successful project. Its token, ETH, is the second largest cryptocurrency by market cap, with a total supply valued at $228 billion.

TRON (TRX) has a considerably lower market cap of $7.5 billion but remains squarely among the top ten assets by market cap as it ranks at #7.

Ethereum (ETH) also has a higher trading volume. ETH had a $6.8 billion 24-hour trading volume on June 2, while TRON (TRX) reported a $580 million trading volume.

TRON is also highly controversial. The most recent of those controversies concerns a lawsuit from the U.S. Securities and Exchange Commission (SEC). It alleged that Sun, TRON, and related parties illegally offered securities and engaged in wash trading.

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Filed under: Bitcoin - @ June 5, 2023 5:14 pm