China indicates TRON as the world's second best cryptocurrency. Here are the reasons for this success.
A Chinese government agency has evaluated TRON as the world's second best cryptographic resource behind EOS. An evidently positive assessment, which the Center for the Development of Information and Industry (CCID), dependent on the Chinese Ministry of Industry and Information, carried out on the basis of the analysis of several categories, including the applicability and technology.
In particular, while TRON guaranteed 96,8 points of technology and 24,6 points of applicability, Ethereum, the most valuable smart contracts protocol in the global market, was less than 73,8 points of technology and 29 points of applicability.
But why did TRON receive such high marks?
From October 2018 to today, the daily transaction volume of the TRON blockchain network has gone from 130.000 transactions per day to 1,7 million transactions: a boom of over ten times that does not seem to have put a strain on the blockchain network, which was able to maintain a large transaction capacity due to the structure of the network, able to rely on a group of nodes called Super Representatives, which play a key role in the DFC (Delegated Proof of Stake) consensus mechanism of TRON.
Unlike Ethereum or Bitcoin, which are based on the consensus algorithm Proof of Work (PoW) which requires ai miners to verify transactions using electricity, blockchain networks such as TRON and EOS are more dependent on a certain group of network "representative" nodes.
There is therefore a compromise between decentralization and scalability in the development of the blockchain; for a blockchain network to reach high transaction capacities in a short period of time without second-level scalability solutions, it must compromise on the level of decentralization on its network.
Having said that, the positive aspect of operating on a blockchain network focused on scalability is the ability to attract DApps and developers with favorable data processing environments. According to Justin Sun, founder and CEO of TRON, the blockchain network has recently surpassed both Ethereum and EOS in the total number of new users to over 164.000 units, confirming all the good assumptions mentioned above.
As previously reported by Dapp.com, TRON aggressively promoted its Dapp ecosystem with a high budget to host developers and projects. In a 2018 report, for example, Dapp.com researchers had previously revealed that the project spent $ 100 million on TronArcade and launched a $ 2 billion initiative called Project Genesis to grow its Dapp market.
The Chinese Ministry of Industry and CCID have shown their preference for blockchain projects focused on scalability in recent months. TRON's active user base, large transaction capacity and rapidly growing number of Dapps are likely to have appealed to the government.
In the coming months, TRON CEO Justin Sun said in an interview with Huoxing that he believes the crypto market has reached a minimum and could lead to an increase in the adoption of the blockchain by Lightning Network users and BitTorrent.
