- Ethereum: The Market Leader
- Tron: The Market Follower
- Where Ethereum (ETH) Wins and Tron (TRX) Loses?
- Where Tron Wins and Ethereum Losses?
Both Ethereum (ETH) as well as Tron (TRX) is a decentralized blockchain network that strives to remove the third-party involvement in the blockchain space. Both the networks deploy high end technology that provides fast and reliable transactions and data sharing globally. Both Ethereum as well as Tron have their own cryptocurrency tokens namely Ether (ETH) and Tron (TRX).
Due to the similarity in the goals as well as how these networks work, both of them are termed as direct competitors. On one hand Ethereum strives to become the largest blockchain network in the world providing computing power to other projects and blockchains as well, Tron strives to accomplish the same feat but with an additional focus on entertainment. Both Tron and Ethereum supports concepts like Decentralized Apps (dapps), Decentralized Finance (defi) and permissionless token creation systems (TRC20 and ERC20).
Let’s dive deep into the details to understand who is having a competitive advantage and is expected to win this race.
Ethereum: The Market Leader
Ethereum is a platform that provides the power of information sharing throughout the globe without any third party intervention leading manipulation free data sharing. Ethereum runs a programming code of decentralized application that powers the complete decentralized space.
Ethereum is the creator of a decentralized cryptocurrency known as Ether (ETH) that provides Ethereum the capability of revenue generation by charging transactional fees in terms of Ether. The Ethereum blockchain network powers and is the platform that houses various defi projects as well as defi protocols. Ethereum network strives to transfer the power into the hands of the users by providing a reliable decentralized network.
No crypto blockchain or a cryptocurrency can become valuable without certain factors and what makes ethereum so valuable is due to:
- High Volatility: Volatility was earlier frowned upon by the investors, but with the bull cycle of 2020, many believe it to be one of the best means of wealth creation if managed properly for the long run.
- High Liquidity: Ethereum being the second most valuable cryptocurrency after Bitcoin with a market cap of over $500 Billion makes it one of the most liquid cryptocurrency that can be liquidated using various decentralized exchanges within seconds. Ethereum can also be traded using the fiat currencies by paying marginal fees for the trade.
- Hedge against inflation: The Government Regulated fiat currencies at the moment are affected by the inflation, but ethereum is a decentralized cryptocurrency that provides a hedge against inflation.
Tron is an open source blockchain network platform that strives to build a trusted and secured crypto ecosystem for its users. Tron provides a direct platform for client and creators to involve in transactions without any fees making it more scalable as well as of better value to the customers than ethereum. It helps the clients to pay directly to the creators through tron network developing a secured ecosystem within the blockchain network. Tron also thrives to cut the cost of digital publishing and in providing easy access to digital artwork. The low cost and easy access to the network and blockchain technology makes tron a faster and more accessible as well as of more value for money to the customers.
With a transaction speed of 15 seconds/transaction, Tron network is far much quicker as compared to the Ethereum network that has a transactional speed of approx 6 minutes/transaction. Tron is further working on its expansion to include decentralized gaming platforms and various partnerships are in the pipeline. Tron strives to make use of the In-game NFT’s (Non-Fungible Tokens) in the blockchain gaming space that is revolutionizing the crypto industry as a whole.
As Ethereum network has grown considerably from its launch and has become a market leader, Tron has acquired the position of a market follower in a very quick interval and things are looking in favor of Tron to become more competitive with Ethereum.
Extensive Decentralization – When compared to Tron, Ethereum provides a deeper decentralization making it almost immune to hacking and third party intervention. In order to hack Ethereum blockchain, 3/4th of the complete network has to be compromised.
Higher Popularity – Being the second largest cryptocurrency by market capitalization, Ethereum is a far more popular and widely used cryptocurrency blockchain than Tron.
Better Opportunities to Offer – Ethereum has now become the backend protocol for various decentralized apps and decentralized finance projects thus, providing far better opportunities than what Tron has to offer.
Comprehensive ERC20 token standards – The ERC20 Token standards deployed by Ethereum are quite comprehensive and provide multiple functionalities. These standards also provide deployment opportunities and not only the creation opportunities for various dapps, tokens and smart contracts.
Provides Better Developing Opportunities – Ethereum has become the largest player in the DeFi space and with the inclusion of the smart contracts, Ethereum provides better opportunities for the developers to create and deploy smart contract functionality into their projects.
Where Tron Wins and Ethereum Losses?
Higher Transaction speed – Tron offers faster transaction speed when compared to Ethereum making it a better choice. Ethereum network is showing extensive transaction lags lately.
Highly Scalable and More Reliable – Tron network is far more scalable as compared to Ethereum network making it more reliable and valuable decentralized platform.
Advanced Platform – With various advanced consensus and algorithms running at the backend of the Tron network, it can be termed as a more advanced platform when compared to Ethereum.
Creator’s Empowerment – The Tron Network Platform is better suited for the digital artwork creators.
Both Ethereum and Tron are constantly evolving and striving to change the world as we know it and who will win the race is extremely difficult to predict. Though, it is for sure that whoever will provide better value to its users will be the one last standing in this extreme young age of the blockchain technology. Thus, we must keep looking for the improvements being made by both these network platforms.
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Disclaimer: The article should not be considered as any financial advice. It is advisable to conduct thorough research before investmenting.
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