TRC20-USDT issuance accounts for the first total issuance of USDT TRON has established a stable currency dominant position

As one of the most important tracks in the crypto space, the total market value of stablecoins is approaching the $200 billion mark. It is the most dazzling star in the encryption field after Bitcoin and Ethereum . As a form of cryptocurrency, stable currency has a unique role and value in the digital currency market due to its features such as anchoring legal currency and stable currency value, and constitutes an important aspect of the cryptocurrency market. Paying attention to the movement of stablecoins is of great significance to the development of the crypto market.

Currently, the valuation of USDT, the largest stablecoin by market value, has exceeded the $80 billion mark, accounting for 42.78% of the total market value of stablecoins. The latest data shows that the circulation of TRON version USDT has exceeded 41.7 billion pieces, and its proportion in the total circulation of USDT has further increased. In addition, the number of accounts held by TRC20-USDT has now exceeded 11.86 million. In the face of such dazzling data, what is the unique interpretation of TRON founder Justin Sun? Golden Finance interviewed Justin Sun, founder of TRON, to see what are the reasons behind the rapid development of TRC20-USDT from his perspective?

It is worth mentioning that Justin Sun, the founder of TRON, also put forward a judgmental point of view on the next development of TRON and the trend of the encryption industry in the interview. The following is the interview transcript:

Golden Finance: According to official sources, the circulation of TRC20-USDT has exceeded 41.7 billion, accounting for the first in the total issuance of USDT. How much is it currently? What does this mean for TRON? What are the plans and goals for the further expansion of TRC20-USDT in 2022?

Justin Sun: Stablecoins are the stepping stone for most people to enter the blockchain field. At present, the volume of the global encryption market is on a steady upward trend, and stablecoins are indispensable. The TRON version of the stablecoin is undoubtedly the mainstay of the entire stablecoin market. At present, the circulation of TRC20-USDT has exceeded 41.7 billion pieces, while that of ERC20-USDT is 39.8 billion pieces. According to CoinMarketcap data, TRC20-USDT accounts for 50.9% of the total issuance of USDT, firmly holding the dominance of the stablecoin market. 

Undoubtedly, this is another milestone achieved since TRON has been fully upgraded to the world’s largest decentralized autonomous organization. It is of epoch-making significance for the development of both TRON and stablecoins. Compared with the praise from media organizations, I personally prefer the “honor” in the form of data, because this is the choice of the majority of users, and it represents the market’s trust in the TRON ecology and the underlying technology.

At the beginning of this year, we made it clear that the core of the TRON ecology in 2022 is the dual-chain drive of TRX and BTT. Whether it is the TRON protocol that is committed to becoming the bottom layer of global settlement for mankind in the future, or the Layer 2 expansion solution that focuses on undertaking applications, the TRON version of USDT will continue to play a key role.

The recent Bitcoin documentary “Aligning The Future,” in which I acted, has been released, and in it I also mentioned that the countries of the world will eventually be divided into three categories. A class of countries will continue to use traditional fiat currencies, while some countries will begin to adopt CBDCs, that is, issuing central bank digital currencies. But there is also a class of countries that may adopt cryptocurrencies such as Bitcoin as their legal tender or financial settlement currency in the future. Given the volatility in the price of most cryptocurrencies, stablecoins will remain the best use case for a financial settlement layer. Relying on the more secure, low-cost, and efficient TRON network, the TRON version of USDT has great potential, and the gap between it and other versions of USDT will further widen.

Golden Finance: What do you think are the reasons why TRC20-USDT ranks first in the total issuance of USDT? What are the advantages (features, application scenarios, etc.) of TRC20-USDT?

Justin Sun: Before talking about the specific reasons, let’s talk with numbers first. According to Tokenview data, since August 2021, Tether has issued a total of 31 billion USDT, of which 22 billion are on the TRON network and only 9 billion on the Ethereum network. The TRON version of USDT not only secures half of the total issuance of USDT, but its market value also exceeds one-fifth of the total market value of global stablecoins.

The TRON version of USDT can achieve such dazzling results, first of all, it is inseparable from the influence of the trend of the encrypted market. Affected by the global situation, Bitcoin once fell by more than 20% on the 7th at the end of February this year. Its label of “safe haven tool” and “digital gold” has begun to be questioned. Affected by panic, users’ demand for stablecoins for value preservation and risk aversion continues to rise, and the additional issuance of USDT is reasonable. The TRON version of USDT has a safe and efficient TRON network endorsement, and it is natural to make continuous breakthroughs in data.

Let’s talk about security first. When users choose stablecoins as a tool for payment, settlement, investment and wealth management, network security must be the primary consideration. Since the birth of the TRON network, there has never been a security incident, which is well-known around the world. Speaking of efficiency, I believe that many users are attracted by the silky experience of low fees and second-level transfer of USDT in the TRON version. Once they have used it, they cannot do without it.

All of these are due to the fact that TRON has always focused on user experience, and has continuously upgraded and expanded its technology, so that it can remain invincible in the stablecoin market under the attack of the new husband chain. We have noticed that the slogans of some other emerging public chain versions of USDT are also moving closer to the TRON version of USDT, but all the experience and innovation of the TRON version of USDT are based on the safety red line. The foundation of a high-quality conscience public chain cannot be called out with slogans.

Golden Finance: What is the status of the TRC20 version of USDT in the ecological development of TRON?What is the relationship with the development of TRON DApp? How to promote the development of TRON ecology?

Justin Sun: In fact, not only TRON, but also stablecoins play an indispensable role in all public chain ecosystems and even blockchain projects. Taking TRON as an example, TRC20-USDT, as the leader of the TRON stablecoin ecosystem, plays a vital role in many core tracks such as financial settlement, DeFi, GameFi, NFT, Web3, and cross-chain.

Taking Argentina, one of the most widely adopted cryptocurrencies in the world, as an example, TRON is the most used Layer 1 solution by Argentine users, and it also ranks among the top in terms of payment use cases. Among them, TRC20-USDT contributed a lot.

On the other hand, TRC20-USDT is an excellent entry for users to enter the TRON ecosystem and experience TRON DApps. On February 14 this year, the 2022 TRON Hackathon was officially launched, and the first season of the competition has ended. More than 120 outstanding works have emerged from the four major tracks of Web3, NFT, GameFi, and DeFi. It can be seen from this exciting event that TRC20-USDT provides a compliant USD stable currency channel for developers and users, which is also the fundamental guarantee for the continuous prosperity, innovation and rapid development of the TRON ecosystem.

In addition to vigorously supporting new projects, the existing leading projects in the TRON ecosystem are also being iteratively upgraded, providing a broader development space for TRC20-USDT. For example, the new integration of SUN.io and SunSwap, which deeply integrates the TRON stablecoin platform and the TRC20 token trading platform, greatly enriches the application of TRC20-USDT. For example, the BitTorrent ecosystem has launched the industry’s first heterogeneous chain cross-chain interoperability expansion protocol BTTC, which broadens the potential user base and usage scenarios for TRC20-USDT.

It can be said that TRON ecology and TRC20-USDT have achieved each other. Relying on TRON’s high-throughput, high-expansion, and high-reliability infrastructure support, TRC20-USDT has reached one milestone after another. At the same time, TRC20-USDT also endows the TRON ecology with higher liquidity, which promotes the continuous and vigorous development of the entire TRON ecology.

Golden Finance: Since last year, DeFi, NFT, and Metaverse have been surging. How do you view the current development of the crypto market? What do you think are the key words for the development in 2022? How fast will the industry develop and expand? Which tracks does TRON focus more on in 2022?Why?

Justin Sun: Since 2021, the entire crypto market has made breakthroughs in multiple tracks, showing a flourishing scene of a hundred flowers blooming. On the one hand, the entry of traditional institutions and large companies has pushed the price of Bitcoin to a record high. On the other hand, the popularity of NFT and DeFi remains unabated.This is reflected in the fact that Boring Ape quickly came out of the circle with its celebrity effect, and DeFi has become a new financial management method chosen by more people with its higher annualized income.

At the same time, the concept of GameFi, which combines NFT and DeFI, began to explode, and P2E gameplay was deeply rooted in the hearts of the people. Coming to 2022, we see DAOs starting to blossom everywhere. TRON is also actively embracing changes and has evolved into the world’s largest decentralized autonomous organization, TRON DAO.

However, in my opinion, the key word for the development of the entire industry in 2022 is cross-chain. At present, a hundred schools of thought contend in the public chain ecology. If everyone encloses the land, it will inevitably cause a lot of waste of resources. I believe that win-win cooperation will be the theme of the development of the blockchain industry this year. Together with BitTorrent, TRON launched BTTC, the optimal solution for the cross-chain track at the end of last year, and put forward the great vision of realizing the interconnection of ten thousand chains.

The interoperability between outstanding projects of different public chains will have a multiplier effect on the development of the entire industry. In order to accelerate this process, TRON and BTTC jointly held the 2022 TRON Hackathon, which aims to provide a stage for outstanding developers in the whole industry to showcase.

With the blessing of the competition, TRON will achieve more brilliant achievements in core tracks such as Web3, NFT, GameFi, and DeFi. This is also in line with TRON’s basic strategy in 2022: TRX BTT dual-chain drive, SUN JST is responsible for the DeFi ecosystem, and WIN NFT deploys GameFi and NFT. With both mature projects as the foundation and new projects promoting innovation, I believe that TRON will gain a lot in various mainstream tracks in 2022.

Golden Finance: What do you think of the current status and role of USDT stablecoins in the crypto market?What do you think of the crisis of confidence that USDT has encountered before? What are the risk control measures?

Justin Sun: Stablecoins play a role in bridging the encrypted world and the real society because of their features such as anchoring to fiat currency and stable currency value. As the leader of the stable currency market, USDT is obviously the largest and most critical traffic entry in the entire industry. Regarding the crisis of trust in USDT, there will be discussions every once in a while.

In fact, the so-called crisis is not limited to USDT alone. We can see that Facebook, VISA and other companies have also launched stable currency plans. The concerns at the regulatory level are actually for all stable currency markets.TRON’s strategic layout in the stablecoin market fully considers the potential risks at the market and regulatory levels, creating a super-strong pattern of the four major stablecoins, and fully avoiding the risk of exposure under a single stablecoin.

In addition to cooperating with Tether to issue USDT, we also have Tron version TUSD issued in cooperation with TrueUSD, Tron version USDC issued in cooperation with Circle, and USDJ issued through decentralized contracts on the TRON network. The rich stablecoin formats provide TRON users with more stable and compliant stablecoin options.

Since the beginning of this year, the maximum circulation of TRC20-USDC has exceeded 620 million, and the supply of USDJ has also reached 278 million US dollars. The TRON stablecoin is undoubtedly the most secure and competitive in the industry.

Golden Finance: At present, the official level of attention to stable currency supervision has increased significantly. What impact do you think this will bring? How do you view the regulatory situation of stablecoins?

Justin Sun: Not just stablecoins, but compliance is crucial to our entire cryptocurrency industry. At present, countries around the world are conducting research on whether and how stablecoins need to be regulated, and the United States is particularly aggressive. In fact, TRON has always taken security compliance as its own responsibility since its inception, and we actively embrace regulation, because both regulators and us regard the security of users’ assets as the first priority.

In addition to Valkyrie Investments recently obtained the first bitcoin ETF listing license in the United States. We have also launched TRON-listed ETNs that can be traded compliantly in the 14 EU countries and the US TRON trust fund.These are strong proofs that TRON is actively exploring in the field of compliance.

TRON is committed to becoming the bottom layer of global settlement for mankind in the future, and the role of TRON stablecoins is self-evident. Actively cooperating with regulation is the key to realizing this great vision. As before, TRON will continue to focus on compliance and communicate with financial regulatory authorities related to crypto finance in various countries.

Our relationship with regulation is not an antagonistic relationship, but a relationship of mutual need. As the Permanent Representative of Grenada to the WTO and Ambassador Extraordinary and Plenipotentiary, it is my responsibility and mission to build a bridge between the cryptocurrency industry and the governments of various countries, and to help countries in the world realize the large-scale popularization of cryptocurrency.

I believe that the regulation of stablecoins is the general trend, but regulation is not about restrictions and prohibitions, but rather to encourage innovation while protecting the safety of personal property. On this point, we coincide.

Golden Finance: How do you expect the global stablecoin market to develop in 2022? What are the potential risks? How does TRON grasp the opportunities and avoid the risk factors?

Justin Sun: In 2021, the size of the stablecoin market will increase from $29 billion at the beginning of the year to $140 billion at the end of the year, an increase of nearly 400%. Many analysts, including domestic and foreign, believe that by the end of 2022, the market size of stablecoins will exceed $500 billion. I myself am optimistic about this.

The main factor behind the continued rise of data is the booming development of DeFi applications, through which everyone can obtain higher yields than traditional bank accounts. However, people generally still measure assets in US dollars, which makes the use of stablecoins in DeFI only increase.

The potential risks in the stablecoin market are mainly policy risks from regulators and verification and audit risks of stablecoin entities. We need to see that competition among stablecoins is also intensifying, and this healthy competition can also help reduce the risk borne by users.

While Tether remains by far the highest market cap in the stablecoin market, the growth of other stablecoins should not be underestimated. Thanks to more open communication with U.S. regulators, USDC has quickly climbed to become one of the most trusted stablecoins in the market. On July 1 last year, Circle and TRON reached a cooperation, USDC was issued on the TRON chain, and the circulation exceeded 100 million that day.

In the future, TRON will further enrich the stablecoin ecosystem and cooperate with new forces in the stablecoin market. The stablecoin market is the trump card track that TRON has been working hard to cultivate. Through bulls and bears, the market demand for stablecoins has always been consistent. I will work with the community to continuously optimize the underlying technology, promote technological innovation, and bring a more prosperous ecosystem and better experience to developers and users.

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/trc20-usdt-issuance-accounts-for-the-first-total-issuance-of-usdt-tron-has-established-a-stable-currency-dominant-position/
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