USDCoin TRC20 (USDC): crypto coin review
USDC TRC20 is a variety of USDCoin issued on the TRON blockchain. Since any two blockchains are largely incompatible, you need to create a separate variety of your cryptocurrency if you want to launch it on a completely different network. That’s how standards work.
This variety has the same benefits and features as the ‘regular’ USDC, which would be the ERC20 subset. There are several standards of this one USDC token. They all have the same value and uphold the same principles. The only difference is the stamp, which regulates where a certain unit of USDC can operate.
About USDC
USDC is the second-largest stablecoin on the market. Released 4 years after USDT (2018 vs 2014), USDC brought even more acclaim to the stablecoins by being released on the Ethereum blockchain, where stablecoins weren’t a thing yet. With this one decision, the DeFi sector was boosted massively.
Like USDT, USDC is pegged in value to the American dollar. It means that, at every given moment, the two currencies are exchanged at a ratio of 1:1 (minus the transaction fees). This phenomenon is achieved by collateralizing the vast quantities of this coin with actual dollars held at a bank account somewhere, one physical dollar for each token.
There is a lot of potential and opportunity in owning such stablecoins. One of the major advantages is that you can safely utilize decentralized finance solutions with money that won’t lose value due to volatility. As a result, you can benefit from the increasingly complex financial operations hosted on the blockchain without risking your funds.
All in all, stablecoins like USDC are an excellent instrument for long-term investments.
TRC20 Explained
TRC20 is a token standard. Standard is essentially a rulebook, a set of principles that every token on a given blockchain should follow. If they don’t, they simply won’t be compatible. So, to launch a cryptocurrency on a particular blockchain, it should be adjusted to fit the standard.
TRC20 is the standard of the TRON blockchain. It indicates that the subset of some token that you’re looking at operates on TRON. The latter is a sizeable network that focuses on scalability, low fees, smart contracts, and a pleasant environment for developers of decentralized projects.
TRON Explained
TRON is a largely unique project that’s basically a digital content entertainment system that allows content creators to work without intermediaries and with a lot more comfort.
- Scalability
One of TRON's key features is scalability. The platform is designed to handle a high volume of transactions per second, ensuring that it can accommodate a growing user base and support large-scale applications. The Delegated Proof-of-Stake (DPoS) allows faster transaction confirmations, which improves scalability.
- High throughput
TRON also emphasizes high throughput, enabling efficient data transmission and reducing network congestion. Its network has demonstrated the capacity to process thousands of transactions per second, providing a seamless user experience and improving the platform's efficiency.
- Low fees
Another notable advantage of TRON is its low transaction fees. The platform's efficient design results in cost-effective interactions for users and developers. This aspect is particularly important for decentralized applications (dApps) that involve frequent transactions or micropayments.
- Energy efficiency
TRON's DPoS consensus mechanism contributes to its energy efficiency. Unlike traditional Proof-of-Work (PoW) systems, which require significant energy consumption for block production, TRON's DPoS model involves a limited number of elected delegates responsible for validating transactions. This approach reduces the environmental impact associated with blockchain operations.
- Development convenience
TRON supports multiple programming languages for smart contracts, including Solidity (used on Ethereum) and its native language, TronScript. This flexibility provides developers with various options when creating and deploying smart contracts, enhancing the platform's accessibility.
- Community drive
A distinctive feature of this blockchain is that it’s highly driven by its community. Since a big part of this network’s day-to-day life is something user-created, the community continues to exert a lot of influence on this blockchain. Therefore, many features here are created for user convenience.
USDC on TRON
USDC was ported to TRON in 2021, primarily because it remained a big network and because it was similar to USDC’s native platform, Ethereum. So, it wasn’t much effort, and the payoff was supposed to be big. This turned out true because TRON is home to a variety of decentralized finance solutions that desperately need stablecoins.
Thanks to USDC TRC20, this stablecoin can be freely used on TRON, which also means that people can pay each other for entertainment using essentially dollars while enjoying the same transparency and security measures that any other decentralized system offers.
There are plenty of wallets that allow you to exchange USDC TRC20 for USDC ERC20 or other relevant varieties of this token for no cost. It’s not like they are different currencies. They are the same currency, except with different protocols that make them incompatible. Basically, you can’t store them in one big heap.
Summary
USDC TRC20 is a useful instrument if you plan on using the TRON blockchain regularly. You can also use USDT for basically the same experience, but USDC isn’t in any way worse. It is very popular on Ethereum, meaning that you can integrate your projects on ETH and TRON easily with USDC.
Besides that, this token has plenty of other uses. It’s very popular on TRON, even though USDT was also recently launched on the same network. It’s generally useful to have at least some amount of USDC while staying on TRON.
