Key Insights:
- Justin Sun identifies five nations for TRX legalization.
- Huobi Global experiences significant job cuts.
- China to dominate the next crypto bull run.
Justin Sun, the founder of Tron, revealed his goal for the year to his 3.4 million Twitter followers. He aims to make the TRX cryptocurrency a recognized legal currency in 5 countries by 2023.
He also stated that China is likely to accept TRX as a legal tender, given its widespread usage as a means of daily transactions among the country’s large population.
My KPI for 2023 is to get 5 countries to adopt #TRX as legal tender. 🇩🇲🇸🇽
— H.E. Justin Sun 孙宇晨 (@justinsuntron) January 29, 2023
What is Tron (TRX)?
Tron is a blockchain-based, open-source platform designed for developing and implementing decentralized applications. Established in 2017 by the Singapore-based non-profit Tron Foundation, Tron operates on a peer-to-peer network and facilitates digital content creation, storage, and distribution.
The platform has its own cryptocurrency, TRX. It aims to empower content creators by enabling them to publish, store, and retain ownership of their work without intermediaries, thereby maximizing their earnings.
St. Maarten To Consider TRX as Legal Tender
In a tweet, Justin Sun announced that a major country would soon recognize TRX as a legal currency. Sun stated that this would allow TRX tokens to be accepted as a valid payment method for goods and services by the government.
One of the major advantages of making TRX legal tender is that it will increase its legitimacy and usage. When a government recognizes a digital currency as legal tender, it gives a sense of trust and security to the general public, making it more likely to invest and use it.
— H.E. Justin Sun 孙宇晨 (@justinsuntron) January 28, 2023
According to Sun, the government’s recognition of TRX will enhance its legitimacy and usage. He added that when a government recognizes a digital currency as a legal tender, it instils confidence and security in the general public.
Sun emphasized that the official recognition of TRX will encourage more businesses and merchants to accept it as a payment option, making people more comfortable using it as a form of currency.
Sun believes accepting TRX as a legal currency could drive the global adoption of cryptocurrencies. He considers the goal “ambitious” but achievable with effort and commitment.
Justin Sun’s New Year resolution caught some crypto community off guard. Indian crypto YouTuber Ajay characterized the statement as audacious and bold and said he would revisit the tweet on 31 December 2023.
This is very aggressive and bold statement to makeWill return to this tweet on 31st December, 2023
— Ajay (everything hindi) (@EverythingAjay) January 29, 2023
However, some crypto fans consider the proposal to single out TRX as a legal tender unrealistic expectation.
Nevertheless, multiple nations’ confirmations support Sun’s vision. Last October 2022, the Commonwealth of Dominica recognized TRX and six other Tron-based cryptocurrencies (TRX, BTT, JST, NFT, USDD, USDT and TUSD) as legal currency.
💪#TRON is now the national #blockchain for Dominica🇩🇲. Historic step for both Dominica & #TRON.
🙌For the first time, a major public blockchain has partnered with a sovereign nation to develop its national blockchain infrastructure. A brand new chapter! https://t.co/5mevNNWzEN
— H.E. Justin Sun 孙宇晨 (@justinsuntron) October 12, 2022
On 24 January, a proposal to make Tron a legal form of payment in St. Maarten, an island country in the Eastern Caribbean, was introduced by a parliament member.
Another milestone for #TRON! St Maarten to adopt TRON as legal tender marks another achievement for our push on worldwide blockchain adoption.https://t.co/HXEnouj0Le
— H.E. Justin Sun 孙宇晨 (@justinsuntron) January 23, 2023
US Lags in Cryptocurrency Adoption
In a separate tweet, Sun emphasized that the US will likely be the last to adopt cryptocurrencies as legal currencies.
As we work towards the adoption of #TRX as legal tender, let's not be too US-centric. US🇺🇸 regulation is important, but we should focus on the 8 billion people on Earth. The US is just one country, and while it may be a major player in the crypto world, it's not the only one.
— H.E. Justin Sun 孙宇晨 (@justinsuntron) January 29, 2023
He advised the crypto community not to be overly centred on the US. He acknowledged the US role in the crypto industry but noted that other countries’ policies are also crucial. Sun encouraged crypto projects to educate and form global partnerships with governments and businesses.
He emphasized that making cryptocurrencies legal tender is about making transactions easier and giving people more control over their financial futures. Sun suggested the community broaden their focus beyond one country and consider the global impact of its actions.
Price History of TRON
As of writing, Tron (TRX) ranks 17th in crypto by market cap, with a value of over $5.7 billion. Its current price of $0.062 has returned to its three-month level after a dip to $0.047 following the FTX crypto-exchange collapse. However, TRX is still far from its all-time high of $0.16 in April 2021.
TRX faced challenges alongside Huobi, of which Tron founder Justin Sun is an advisor on the board. Despite initial concerns regarding Huobi’s announcement of a layoff campaign and payment in stablecoins, everything has been resolved. Tron has its own USDD algorithmic stablecoin, which lost its peg with the dollar in November, but it appears that it did not result in further devaluation.
Next Bull Run Dominated by China
The founder of Tron stated that China plans to reenter the cryptocurrency sector after a crackdown in 2021. The Chinese government has also instituted a 20% tax on cryptocurrency. Sun believes that the government’s move to tax crypto transactions indicates their acknowledgement of digital currencies as legitimate forms of money. The tax policy is expected to drive greater cryptocurrency adoption in China and provide clarity for businesses and individuals through regulations.
China 🇨🇳 has taken a big step towards cryptocurrency regulation with the implementation of a tax on crypto transactions. This signals the country's increasing embrace of cryptocurrencies.
— H.E. Justin Sun 孙宇晨 (@justinsuntron) January 30, 2023
China is predicted to lead the next crypto market surge, with Tron and Huobi Global expected to drive growth in Hong Kong. Sun is confident that TRX will gain recognition in China due to its prevalent usage among the Chinese population.
Sun also plans to form an AI research team and collaborate with leading AI companies to tap into the potential of AI and cryptocurrency integration.
#TRON expanding its A.I. strategy! #TRON is set to establish an A.I. research team and partner with big A.I. players to take advantage of the potential for A.I. and crypto to work together.
— H.E. Justin Sun 孙宇晨 (@justinsuntron) January 29, 2023
The combination of AI and crypto is a logical match, as crypto provides a natural payment mechanism and decentralized operations for AI systems.
