Everyone knows Bitcoin is king — nobody is going to dethrone it. The days of talking about Bitcoin competitors are over. In this decade, we can say that Ethereum has nestled itself as number two after Bitcoin. Yet, Ethereum has met with resistance as last October, Tron won the race.
ETHEREUM VS. TRON: THE BATTLE HAS BEGUN
Ethereum and Tron couldn’t be more different. Tron aims to build a free, global digital system for content entertainment. Ethereum wants to change how the internet works by giving more tools to developers. Even its founders are day and night. The extroverted marketing genius Justin Sun versus the introverted IT genius Vitalik Buterin.
That does not mean they are not competing against each other.
According to DappRadar, reality gives Tron a temporary victory. The Tron Network (TRX) produced $280 million in transaction volume in October. The Ethereum Network processed only $159 million.
Tron also won another battle last October. When contrasted to September volumes, Tron increased its volume by 83% while Ethereum registered in at 79%. Throughout 2020 Tron was lagging behind Ethereum until October.
People were waiting for Tron to catch up — that event is out of the question. The real question is what did Tron do to come closer. And the answer is simple: TRONCHAIN and TRON2GET.
HOW TRON GOT THE UPPER HAND
TRONCHAIN is a decentralized community support fund, while TRON2GET is an investment platform. Of course, both of them are based on TRX blockchain and smart contract technology. They are as safe and legit as possible. These two are responsible for Tron transaction volume growth. They gave a little victory to Tron over Ethereum.
Nonetheless, you may be wondering what it means or how it affects the cryptocurrency world we know so far. First of all, this means that Tron finally caught up with Ethereum. Second, it means that Ethereum now has to face a challenger.
There is also another possible reason why the Ethereum transaction volume fell behind. The recent announcement of Ethereum 2.0 may have encouraged investors to hold their ETH.
THE PROBLEM FOR TRON
Of course, Justin Sun is doing everything he can to catch more users. He is encouraging users to migrate from Ethereum’s platform to Tron’s platform.
Yet, not everything is that easy for Tron. According to DappRadar, both TRONCHAIN and TRON2GET are high risk.
Likewise, this small victory does not state a trend change. Next month’s report may suggest that Ethereum volume grew – or it may not. Also, keep in mind that this does not make one asset better than another. Fundamentally, Ethereum and Tron serve different purposes.
To sum everything up, October was a significant month for Tron and Ethereum. Their daily active wallets increased by 248% and 10%. This caused the transaction volume to close with a difference of $121 million.
People tend to be alarmed over what is going to happen next. These events make people question whether their assets are on a safe platform or not.
The best thing one can do is to wait for the next report. Crypto is a volatile space. One day you could be up, but the next day they could be down. Let’s see if Tron stays the course surpassing Ethereum or if Ethereum gets to recover from this situation.