Days after spending $140million to purchase BitTorrent, Justin Sun seems to be on a spending spree as it emerges that TRON (TRX) has set aside $50 million worth of TRX to be burnt during the Independence Day celebrations. Through the official TRON Foundation blog, the amount is equivalent to 1,000,000,000 TRX at the prevailing market rates.
The coin burn will significantly lower the available tokens in the market thus creating scarcity the will make TRX more valuable. This could market the beginning of the coin traction and a ripple effect that will culminate in price surge. TRX holders have waited for long and anything that spike prices north is welcome.
TRON popularization and Awareness campaign
The TRON (TRX) independence is a once in a life time event for the new blockchain and the amount sets a global record coin burn. The new outfit confidence seems on the rise and the expenditure is to low compared to what the vision of the platform is. According to the foundation:
“This may set the records for the most amount of money destroyed in human history in celebration of a historic moment.”
The community is getting used to Sun’s major announcements but market analysts argue that this is a marketing and awareness campaign strategy. Many investors and crypto enthusiasts now know what the shift from the Ethereum ERC20 to autonomy means and what they expect after completion of token swap to the new software.
TRON is a free spending outfit after the famous airdrop events where free tokens were shared between users for free. However, the network will still keep some tokens “locked” after the burn that will cushion any “inflation situations” in the future. This is a remedial measure to ensure that the coin value is maintained. According to their statement:
“The amount of TRX at the beginning of the MainNet launch will be reduced to 99,000,000,000,000 TRX, and the remaining 33,251,807,525 TRX held by TRON Foundation will stay locked until January 1st 2020.”
TRON MainNet Launch Breakdown
As TRON (TRX) ushers in a new era, transparency is the center focus and the transition process has been broken down in to 4 distinctive phases as outlined below:
The preparation Phase that started on the 18th will continue to June 23 and this basically entails the laying of the ground work for the real launch. However, this will also prepare for the Supper Representative elections; a key component in the launch. This will be followed by phase two which is planned for June 24 is the guardian stage and will take the entire day.
The third phase is the Genesis scheduled for June 25 and this is the most anticipated stage that will see the creation of the first block. This will also usher in a new era where a decision to bring onboard the 27 representative will be made.
The Constitutional phase will be the last and will culminate in the MainNet launching that will usher in the token migration. Simply put, it will phase out the ERC20 tokens and usher in the new TRX coins. According to the attest announcement:
“TRON will officially become a free autonomous and self-governed decentralized protocol with robust community consensus.”
Spending $50 million worth of TRON (TRX) is just one way of reflecting n the amount of research, promotion and platform infrastructure development that has been going on behind the scenes in a bit to delink the system from Ethereum.
A highlight for the series of events will be the Independence Day party in San Francisco where developers and participants are expected to meet and share their past experiences and what they expect from TRON (TRX) in the future.