...
...
Haider Jamal

Jan 08, 2024

Tron Gets To Work As USDT Dominance Continues

The Tron blockchain encountered a minor dip in Stablecoin Total Value Locked (TVL) during the initial part of the latter half of 2023 but eventually surged to achieve unprecedented highs, reaching approximately $48 billion, as disclosed in a recent Reflexivity report. The report highlighted that roughly 94% of this cumulative value was associated with USDT.

Prioritizing USDT

Reflexivity Research indicated that Tron has upheld its position as the foremost blockchain for USDT, surpassing the Ethereum mainnet by approximately 8% in terms of TVL. Tether, an early fiat-backed stablecoin in the crypto market, first launched on the Bitcoin Omni chain, expanded to Ethereum, and currently predominantly resides on Tron and Ethereum.

A notable distinction lies in the composition of stablecoins on Ethereum, showcasing a more even mix of USDT and USDC on-chain. In contrast, the Tron ecosystem is overwhelmingly dominated by USDT. This dominance is particularly evident in Tron contracts, where the USDT Token contract utilizes the majority of on-chain energy, making up roughly 95.6% of all contracts. This implies that Tron is primarily utilized for USDT transactions with limited diversification.

Navigating Challenges

Despite a moderate increase in USDT volume in 2023, a noteworthy trend is the 130% growth in the number of USDT holders during the same period, according to TronScan data. The Tron ecosystem also faced consecutive exploits, with the Poloniex exchange, acquired by Justin Sun, being hacked in November of the previous year, resulting in the theft of nearly $125 million.

Subsequently, crypto exchange HTX and blockchain protocol Heco Chain were also compromised, leading to a cumulative loss of $97 million in various digital assets. Despite these incidents, the decentralized finance sector for Tron managed to remain stable.

 

Top News


cw-icon Just now
Read more latest news

Press Releases

...
Terra
Do Kwon Trial Begins Despite The Founder

8 months ago Mar 26, 2024

The civil fraud trial involving Ter... Read more

...
Goldman
Goldman Sachs Clients Look To Get Back

8 months ago Mar 25, 2024

Institutional clients served by the... Read more

...
Payments
New Payment Limit For Crypto Wallets Scrapped

8 months ago Mar 25, 2024

The recent Anti-Money Laundering re... Read more

...
Bitcoin
Bitcoin Undergoes Price Correction As International Economies

8 months ago Mar 24, 2024

A significant portion of the crypto... Read more

Join Our Newsletter

Get the latest trends and updates on our crypto community.