What happened
On a day when many cryptocurrencies are rising moderately, Tronix (TRX -0.30%) is shooting sharply higher. Tronix is the official cryptocurrency of the TRON network, a blockchain-based operating system trying to establish a decentralized internet and infrastructure. Justin Sun, the founder of TRON, announced today the launch of a new stablecoin, USDD (Decentralized USD) on the TRON blockchain.
As of 10:31 a.m. ET, the Tronix is up 16% over the past 24 hours.
So what
Independent of centralized institutions for redemption, management, and storage, USDD will be pegged to Tronix and will be issued in a decentralized manner. According to the press release announcing the launch of the new stablecoin, "the USDD protocol will keep USDD stable at 1:1 against the US dollar via proper algorithms in a decentralized manner."
Image source: Getty Images.
In the four years since its inception, TRON has achieved significant growth; its ecosystem includes 87 million on-chain users and 3 billion transactions. In late 2021, the TRON network achieved full decentralization and was restructured into the TRON DAO, which those who manage the network proclaim makes it the world's largest decentralized autonomous organization (DAO).
Now what
A stable penny cryptocurrency, Tronix is a token to keep any eye on for those who are looking for alternatives to more common crypto names. Investors today are surely recognizing the launch of USDD as further validation of the TRON network, believing that it may achieve further adoption among users and help it to soar higher in value.
