TRON (TRX) marginally ahead of Ethereum (ETH) for total USDT usage
- The numbers of USDT transactions on Tron have surpassed the USDT transaction volume on Ethereum.
- Ethereum still tops Tron in terms of market capitalization but Tron is closing the gap on other metrics.
- High transaction fees on ETH is driving users towards the adoption of Tron as a more feasible alternative.
Tron (TRX) is evolving as the fastest-growing blockchain for USDT issuance. According to Tron Foundation Chief Executive Officer Justin Sun, over $12.4 billion Tether (USDT) has been issued on the Tron network.
As a result, the number of transaction counts on TRC20-based USDT is now higher than transactions on ERC20-based tokens.
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The latest chart by data aggregator CoinMetrics revealed that Tron had more transactions than bother Bitcoin (BTC) and Ethereum (ETH) combined.
USDT usage on Tron rises steadily
The first-ever issued USDT on the Tron blockchain was 10 USDTR, and it was issued in April 2019. Forward to this moment, the number has increased by several multiple folds.
USDT is also issued on several other chains, including Algorand, EOS, Solana, Liquid, and Bitcoin Cash.
When it comes to market capitalization between Tron and Ethereum, the latter is still far higher. But in terms of stablecoin usage, both are pretty close to each other.
Before 2021, the minted USDT using Ethereum’s ERC20 received the highest transaction. But that has changed now, as Tron has marginally taken the lead this year.
Transation fees cut down Ethereum’s dominance
The level of Defi usage and application is increasing at an interesting rate. With Ethereum blocks are getting congested with transactions, while users are being chased away with high transaction fees.
As a result of these issues, users are increasingly considering Tron as a better and cheaper alternative.
While Ethereum is larger than Tron by an impressive margin, more users are beginning to take USDT as a more viable option for them.
More users now invest in Tron (TRX) and prefer using the network because it offers extremely low transaction fees
USDT was the first to be created when stablecoins came into existence in 2014. It has grown to become the largest stablecoin in the world. They are very attractive to certain types of investors because they are usually less volatile than other types of tokens since they are pegged against the dollar.