As the popularity of NFTs and DeFi exponentially increases, investors have begun to keep an eye at cryptocurrencies that have the potential to provide innovative ideas and one of the most attractive projects in the space is Tron. Tron’s idea was to democratize digital content and eliminate the need for an intermediary – in this case, content hosting platforms like Netflix, Apple and NowTV. By leveraging blockchain technology to create a peer-to-peer content sharing platform, Tron created the perfect environment for digital artists without the need for a central, fee-charging platform taking a share of their profits. This in turn meant that consumers would, in theory, also get a better deal. Tronix (TRX) is the name of the native token that powers the Tron network. Consumers can apply Tronix to pay for content, with the tokens sent directly to the content creators. They can then be exchanged to other cryptocurrencies, or used to pay for other services on the Tron network. Reasons showing Why Tron Could increase Your Money are as follows:
1-Tron has a strong community of developers and supporters
Tron has one of the most active communities of any cryptocurrency. The project’s founder, Justin Sun, is himself famous to be a protege of Ali Baba mogul Jack Ma. In addition to setting up Tron, Sun is also behind the Peiwo smartphone app and has been featured in the Forbes 30 Under 30 several times. In fact, Tron poached many of Ali Baba’s top developers when it underwent a major expansion in 2019. Although the core development team was greatly expanded to help upgrade the infrastructure, the Tron Foundation also sought industry leaders from the world of music streaming, gaming, video and eSports. The team is also empowered via several strategic partnerships. For example, Peiwo and Gifto will help Tron gain ground in the picture, video and blog markets. Baofend will provide video streaming expertise and Game.com is to be Tron’s ticket into the gaming sector.
Indeed, the Tron foundation also famously acquired the BitTorrent network in 2018, bringing the development team of the world’s biggest peer-to-peer sharing platform onto its roster. Tron is an ambitious project and the strength of its development team should go a long way in reassuring potential investors that it has the capability to deliver on its promises. Then there’s the Tron community itself which is one of the most active communities of any cryptocurrency. This may not initially seem an important factor to investors – but we have seen the power of community hype with the meteoric price rise of Dogecoin in 2021.
2-The growing popularity of NFTs
Non-Fungible Tokens (NFTs) are one of the most attractive trends in the DeFi space and their popularity appears to be growing, as a spate of high-profile celebrity auctions has brought them to the world’s attention throughout the first few months of 2021. One of the biggest was Twitter CEO Jack Dorsey auctioning off an NFT of his original tweet – which incidentally, Tron CEO Justin Sun actually bid on himself, with an offer of $2 million. There was also a 10-second clip from basketball legend LeBron James, which sold for $208,000 on the NBA Top Shot site. An NFT works like proof of ownership. Jack Dorsey’s tweet, for example, is still on his account and anyone can theoretically take a screenshot. Likewise, anyone can download clips of Lebron James. However, an NFT can prove who owns the original content.
NFTs are unique crypto assets that cannot be replicated or divided. Whereas one standard crypto token, such as BTC, is effectively the same as the next, a non-fungible token is one-of-a-kind. As such, they can be used to represent anything: a tweet, a piece of digital art, a movie recording, etc. They can be used to represent just about any form of digital content and consumers are prepared to pay big money for them. Additionally, this could prove very beneficial for Tron, as the network is perfectly placed to capitalize on the NFT trend. In fact, earlier in 2021, the Tron Foundation announced that it has developed its own NFT standard – TRC-721 – to allow users to create their own tokens. Of course, there are several other platforms that are suitable for the development of NFTs – not least Ethereum – but Tron has the advantage of already being well-established with the target market, as well as having been originally set up specifically for the digital creative industries. TRC-721 will also allow users to create tokens much more cheaply on the Tron network than they could with Ethereum.
3-Tron’s Newsworthy CEO
It’s fair to say that cryptocurrencies must compete for media attention. With over 17,000 coins in existence, the more headlines a project can grab, the more its profile will be raised and the more people are likely to start using the platform or trading the token. This in turn will inevitably have a positive effect on prices. Fortunately for Tron, CEO Justin Sun is one of the most fabled characters in the crypto space. He is known to be somewhat outspoken and never one to shy away from the limelight – often engaging in heated and often controversial debate regarding the future of his (and other) blockchain project. Sun clearly understands the importance of publicity in the crypto industry and never fails to seize an opportunity to boost Tron’s profile. As we have seen, Sun was one of the names in the running to secure the Jack Dorsey tweet, which was big news at the time. In addition to this, he also spent $3m to have lunch with Warren Buffet, in what was presumably a very expensive publicity stunt and certainly boosted awareness of Tron amongst US investors. Sun was also quick to benefit from the Reddit-driven Gamestop rally, announcing that he was buying $10 million worth of the stock when the mania was at its peak. Once again, this all served to indirectly boost the notoriety of the Tron foundation. Justin Sun does his part to keep Tron in the public eye and as we have seen so far, individual personalities can do a lot to shape the cryptocurrency market – including boosting prices of specific coins.
4-The Entertainment Industry is a Huge Market
We have seen that Tron has expanded its development team to cover all the main entertainment forms: video, music, art, sports and gaming. The platform has also been quick to embrace the idea of NFTs. So, it’s fair to say that Tron has the entertainment industry firmly in its sights. The online entertainment market was valued at approximately $1.3 trillion in 2011. By the end of 2021, it was expected to have surpassed $2.2 trillion – impressive numbers, even by cryptocurrency standards. It is also expected to continue growing, reaching an estimated $2.5 trillion before 2024 is out.
But aside from the sheer size and growth rate of the entertainment industry, there is also its influence to consider.Most of us use some form of digital entertainment in our daily lives and if Tron reaches its potential, it could eventually become a household name in the way that other crypto projects, such as DEXs and other DeFi applications may not. For example, the average person probably knows what Netflix is, but might not be able to name any of the world’s major venture capital funds. If Tron can achieve its goal of decentralizing the world of digital entertainment and establish itself as a market leader, then there is no telling just how much TRX could explode in the coming years. As such, 2022 could be the ideal time to add Tron to your portfolio.
5-Many Leading Analysts are Predicting Growth for TRX
Most potential investors would agree that the reasons listed above could lead to significant gains for Tron, but it’s also worth noting that many top crypto platforms are predicting growth for tron TRX in 2022. Technical analysis by DigitalCoinPrice suggests Tron could reach $0.09 by the end of 2022. According to the platform, Tron will reach $0.13 by 2024. Elsewhere, WalletInvestor sees TRON TRX rallying towards the end of 2022 and reaching a potential high of $0.13 in December – which would mark growth of around 116.67% on today’s price.Finally, Coinpediahas looked at the price history of TRON TRX to come up with its forecast, which suggests that Tron will reach $1 before the end of 2022.