TRON CEO confident about TRON’s potential to be Ethereum-alternative for DeFiOctober 17, 2020
There is no denying of the fact that the Ethereum network is almost synonymous to the DeFi ecosystem as most of the DeFi applications are built on the network. But, with the DeFi boom on rise lately, the Ethereum network seems to be under serious challenges these days. Ethereum has always suffered from the issue of low scalability and hence failing to handle the growing number of DeFi transactions of late. It’s leading to further problems like serious network congestion and exorbitant gas fees. This is where TRON claims to offer a smarter alternative for DeFi transactions.
Justin Sun, the CEO of TRON network, has always been very vocal about the huge potential of TRON in the world of DeFi. As per the sources, TRON is a self-proclaimed “Ethereum destroyer” and is focused on empowering the network as a solid competitor of Ethereum in the DeFi scene. In that light, TRON has already released cloned Ethereum decentralized Finance protocols, like JustSwap or JUST, the equivalent of Ethereum’s UniSwap and MakerDAO respectively.
In fact, Sun has always been open about TRON’s intentions to replicate Ethereum. In the recently concluded Los Angeles Blockchain Summit (October 6, 2020), the TRON CEO clearly stated that they are on their way to create a premium Decentralized Finance ecosystem as the Ethereum network.
TRON offers a better platform for DeFi
Per the statements of Sun, TRON DeFi protocols like JustSwap, run way better compared to the Ethereum counterparts. The major reasons behind this are surely TRON’s high scalability quotient as well as low fees- the two main pain-points of Ethereum.
Ethereum’s increasing gas fees are becoming a huge problem especially for small investors and many of them are apprehensive of signing up or continuing operations with Ethereum today. They are looking for a better, faster and more economical alternative which TRON is ready to offer. Sun stressed that international investors operating outside the US have especially benefited from TRON’s provisions, especially when it comes to DeFi.
Speaking further, the TRON CEO revealed they are currently building a conducive infrastructure on TRON to better accommodate the DeFi applications. It’s to note here DeFi applications built on blockchain smart contracts need authentic real-world data to perform at their best. But, smart contracts can’t access real-world data due to blockchain restrictions. This is where blockchain oracles come to help. Oracles source external-world data and inject them into smart contracts which further help the DeFi applications to explore their true potential in real-world use-case.
Bridge oracle is TRON’s first ever dedicated public oracle system which aims to empower smart contracts on TRON with easy access to off-chain data. Being a decentralized oracle, the Bridge oracle sources off-chain data from various sources and allows easy verification of the data injected into smart contracts operating on TRON. Put simply, the Bridge oracle assures tamper-proof authentic external-world data which help to broaden the functional scope of TRON smart contracts and DeFi applications built (or DeFi applications that would be built) on the TRON network.
un expressed that TRON is focusing on building infrastructure and continuing to bring partnerships to the platform. Additionally, Sun has been promoting the auditing of products on TRON so that they gain legitimacy and security for its users. In that sense, he advised not to invest in just one TRON-based product, but in many to avoid risks.