Two of the closest competitors in the cryptocurrency space are Ethereum (ETH) and Tron (TRX). Both are decentralized blockchain networks that operate without any third-party interference.
As Ethereum focuses on being the world computer by restoring freedom and openness to the Internet, Tron also has a similar genesis, but with a special focus on the entertainment space.
So, which one is better than the other? Do either of them have any advantages over each other?
Let’s find out.
What is Ethereum?
Launched in 2015 by Vitalik Buterin, Ethereum is a blockchain network that has a primary focus on running decentralized applications. These applications include online gaming, complex financial tools, and advanced databases. While Ethereum is the technology, Ether (ETH) is its native cryptocurrency. It is now the world’s second-largest crypto network, after Bitcoin.
What is Tron?
Founded in 2017 by Justin Son, Tron is a decentralized network that aims to create a free space for content creators. It was created to reduce the monopoly of the larger entertainment companies that interfere in the access and publishing of digital content. The objective of Tron is to create a space where content producers can directly interact with the consumers of the content. All this with zero platform fee.
Tron (TRX) is the native currency of the network. It is used by the consumers to access content or by the producers to contribute to the platform.
How is Ethereum Different From Tron?
Here is a detailed analysis of how both the currencies differ from one other:
The entire core of crypto is decentralization. Both the blockchain networks eliminate the need for intermediaries while storing and maintaining transactions. So, there is no interference from banks, trustees, or guarantors.
Despite this similarity, Ethereum has more decentralized applications and nodes on its network as compared to Tron. More nodes and applications mean better decentralization.
Before you decide to invest in any crypto, it is essential to understand its market value. This value is a measure of the size and worth of the blockchain network. That’s not all, you also need to carefully analyze the trends of the currencies.
Tron’s current market value is $ 6.31 billion. Before trading, make sure to check the latest price values and conversion rates (Tron to INR).
Ethereum’s market value is currently at $ 305.94 billion.
One must remember that the digital currency market is a volatile and sensitive space. A coin that finds itself topping the charts can soon find itself to be below the ranks.
Speed of Transactions
The transaction speed within a blockchain network depends on several factors. These include the block time, the size of the blockchain, the amount of traffic in the network, and the transaction fee. Needless to say, in financial services, the speed of transactions makes or breaks it for the service.
Right now, Tron’s network can complete 2,000 transactions per second. Ethereum, on the other hand, can complete only 30 transactions per second. However, with the release of Ethereum 2.0, the number of transactions per second is slated to go up.
Looking at these points, it can be easily said that Tron scores over Ethereum when it comes to transaction speed, scalability, and niche focus on content. Ethereum shines over Tron over factors like market capital, security, decentralized applications, and smart contracts. Check the ETH to INR rates before investing.
It’s hard to make a choice between these two digital currencies. We recommend that you create a healthier and balanced portfolio by dividing your investments between the two cryptos. Credible platforms like Coinswitch with their reliable and engaging content help make these decisions easier for you.