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Is It Worth Investing in Tron?

Everything you need to know about Tron Investment

17 Min Read
Last Updated May 1st 2021

Tron was first introduced to the crypto market back in 2017 and has since grown to become one of the most profitable blockchain ideas. If you are looking to learn how to invest in Tron, we prepared this guide just for you. 

We understand that buying and investing in Tron is not as straightforward as doing so with the more established coins like Bitcoin. For this reason, we make sure to outline the process for you in an easy-to-follow manner. 

Also, if you are still not sure whether Tron will be a good addition to your portfolio, you should be able to make up your mind by the end of the guide. 

Having said that, Tron has one of the most vocal following and strong community support. This helped it seamlessly climb the charts to become one of the top cryptocurrencies in terms of market cap. 

The most interesting part is that Tron took a pretty short time to become successful. It grew so fast in its early days, with the price doubling in a number of days. For instance, in 2017, Tron surged in value by more than 33 times in about 15 days. 

The coin also had one of the most successful ICOs, raising an upward of $81 million. In fact, the ICO was so popular that it caused the Binance exchange to crash for a few hours. 

If you want to invest in TRON quickly and easily, with 0% commission, check out eToro Exchange!

But what exactly is Tron, and why is it so popular among investors? 

Let’s find out in the sections below. 

Contents:

What is TRON (TRX)?

Tron cryptocurrency

TRON is a platform that is looking to decentralize the internet by making it painless for people to create and access digital content without using a third party like Netflix. This makes Tron a bit different from the other blockchain technologies, which are more focused on digital currencies. 

The platform still uses blockchain technology and peer-to-peer sharing. However, instead of trying to decentralize currencies and put banks out of business, Tron wants to make it easy and cost-effective for content creators to share their creativity with consumers. 

This is not as easy as it sounds. The concept of a decentralized web is a complex one, and Tron developers have a monumental task to accomplish. A decentralized web is not like the mainstream internet we use today. Instead of hosting companies, the internet is ideally run by personal users. 

This requires great computing power, which is made easier by blockchain technology. 

Tron was created by Ripple co-founder and one of the most renowned figures in the finance market, Justin Sun. 

The protocol is more like Ethereum because it also allows developers to create their own dApps by utilizing smart contracts homed in Tron’s native blockchain. 

With the ability to complete 2000 transactions in a second, Tron is arguably one of the fastest cryptocurrencies today. In fact, it is now comparable to giants like PayPal in terms of transaction speeds. However, unlike PayPal, Tron doesn’t have any transaction fees.

This means that you can send millions of dollars across the world without having to pay a penny. 

But how exactly does Tron work, and why is the concept of a decentralized internet important to content creators and consumers? 

Let’s explain that in plain English below.

How Does Tron Work? 

To clearly understand what Tron is trying to achieve, let’s look at a real-life example. Something you probably do or know someone who does. 

Let’s say you work really hard to create an amazing video then upload it on YouTube. The moment you hit the Upload button, you give YouTube control over your video. 

You will still be able to make money assuming you monetize your channel. However, YouTube takes a cut of your profits and can delete your video whenever they deem fit. Now, that is some control over your content. 

But what if there was no YouTube? What if you could upload your content, have full control and take all the profits? 

Well, the most logical thing to do here would be to create your own video platform. But that is not as easy as it sounds. It would take you years, immeasurable effort and a lot of resources to be profitable or match up to YouTube.

Tron ensures you don’t go through all that hassle by providing a decentralized and distributed content storage platform. Content on Tron is not controlled by a single entity, and Tron doesn’t take a cut from creators’ earnings. 

Why? Because consumers are able to directly pay content creators to access the content. They do this by using Tron’s native cryptocurrency known as Tronix (TRX). As a result, the value of TRX keeps increasing as more people use it to pay for content on the Tron platform. 

So, how do you invest in Tron and is it a good investment? 

To answer the second part of this question, let’s quickly look at two crucial things. These are: 

  • Tron price history 
  • Tron price predictions for 2021

Later on, we will go through a step by step guide on how to easily buy, store and invest or trade Tronix.

Tron Price History 

Although Tron took a pretty short time before it became successful, it still had a humble beginning like most cryptocurrencies. When it was first released back in 2017, it was worth about $0.002. However, by the first week of January 2018, it almost reached $0.25. 

People who bought it when it was still insanely low made a lot of profits in less than a year. However, the growth wasn’t always a walk in the park. 

Let’s quickly go through some historical data in order to understand exactly where Tron has come from. 

The graph below represents how Tron has changed since 2017.

Tron price chart

From the graph above, you can see that Tron saw significant growth in early 2017and 2018. The coin was first listed on cryptocurrency exchanges around October 2017. At this time, it was trading for about $0.002. 

From there, it quickly grew and was already hitting headlines by 2018. Towards the end of 2018, between 4th and 18th December, TRX had a dramatic surge from $0.003434 to $0.043127. This set it on a monumental uptrend that saw it quickly double in value in the first week of January 2018. 

The rapid growth in 2017 and 2018 was market-wide, and most cryptocurrencies were hitting new milestones. At this time, Bitcoin was playing around $20,000 after a dramatic rise that saw it become the world’s most valuable cryptocurrency. 

Bitcoin’s success around this time paved the way for newer coins. For instance, Ripple had a 36,000% growth rate and most coins achieved new ATHs that they haven’t been able to beat since then. 

After 2018, Tron’s price stabilized for some time before facing a crash around March 2020, when the COVID-19 pandemic was at its peak. This, just like the 2017/2018 price surge, was a market-wide phenomenon. So, Tron’s price drop was not an isolated case. 

With most countries implementing lock-downs, cryptocurrency prices plummeted, and those that were underpinned by weak technologies had a hard time recovering. 

Tron’s price dropped from $0.017251 to $0.010578 between 2nd and 16th March 2020, just around the time the world was beginning to feel the full heat of the COVID-19 pandemic. 

Compared to other cryptos, this was only a slight drop. However, it showed declining investor interest and the need for Tron to quickly mitigate the situation. 

The price drop didn’t take long, and towards the end of 2020, Tron began to recover. By November 2020, Tron was trading at around $0.0363. It then fluctuated between $0.025 and $0.032 until the end of the year. 

At the start of 2021, the market-wide bull run increased in momentum and in mid-February, Tron jumped from $0.0356 to $0.0536 within 24 hours. The price kept rising quickly, and in early April 2021, it hit $0.1. 

Tron is currently trading at $0.124103, according to data from CoinDesk.

Read Also: Tron Price Prediction for 2025 and 2030

Tron Price Predictions in 2021

Like most cryptocurrencies, Tron started 2021 on a bullish note. It attained new milestones, increased its user base, and as a result, the price has quickly skyrocketed. 

Current predictions as to how Tron will live through the rest of the year are fairly positive, and if you are looking to invest, this might be the right time. 

Before we show you how to invest in Tron, let’s look at updated predictions from Long Forecast, Wallet Investor and Digital Coin Price. 

Long Forecast’s prediction for April 2021 was $0.13, which is accurate within the current price of $0.128240, according to data from CoinDesk.

The site projects a gradual increase in Tron prices starting at $0.14 in May and going up to $0.22 in August. It will then drop slightly to $0.18 before going back to $0.21 in October and November before finishing the year 2021 at $0.19. 

Digital Coin Price agrees that the price of Tron may finish 2021 at around $0.19 with slight differences throughout the year. 

Wallet Investor doesn’t sway too far, although its predictions are a bit bearish compared to the other two. 

According to Wallet Investor, Tron might trade at around $0.11 by May, which is lower than the current price. There will be little difference throughout the year, and the TRX coin might finish 2021 at about $0.13. 

This is still low considering that TRX is almost at this point, maybe in the next few weeks. 

The general outlook from most predictors is that Tron might finish 2021 at above $0.2. However, given its volatility, this price might be way higher than this or even lower.

If you plan on actively trading, you will have to closely watch the price movement to place the correct positions. Otherwise, if you plan on holding for the long term, you should buy now while the price is still low. 

If you don’t know how to buy Tron, we will be going through that below. So read on. 

Let’s quickly break down the different ways you can invest in Tron below. 

Different Ways to Invest in Tron 

Like with most cryptocurrencies, there are several ways you can invest in TRON. The most common are: 

  • HODling or investing for the long term 
  • Trading for the short term 
  • Investing in TRON startups or dApps

We will be shortly going through how to invest using each of the three methods above. However, before you can start invest, you will need to have some TRON tokens, especially if you are trading or holding. 

So, if you don’t already know how to buy TRON, we will show you how to painlessly do so on eToro.

How To Buy TRON on eToro

Here are the exact steps you should follow when buying TRON on eToro

  • Create an account on eToro, then complete your profile after verifying your email address 
  • Deposit some funds to your eToro account. The minimum amount you can deposit is $200. You can fund your account using PayPal, Skrill, Credit/Debit card, Wire Transfer, Neteller, UnionPay, or WebMoney. 
  • Buy some TRON tokens. To do this, navigate Trade Markets then choose Crypto
  • Choose TRX from the list of cryptocurrencies, then click on Buy
  • From the top-right corner, you can choose to either TRADE or ORDER. When you choose Trade, you can buy at the current best price, and when you choose Order, you specify the price at which you want to buy. If you are new to this, we recommend going with the default Trade option 
  • Enter the amount you wish to spend 

That is it! You now have some TRON tokens in your account. Now let’s explore the different ways you invest to make profits from these tokens. 

Method 1: Trade TRON

Trading is one of the most common ways to invest in TRON. It is much complicated than holding and requires some skills. However, it is profitable in the short-term and allows you to take advantage of both price fall and rise. 

You can easily trade TRON on eToro while buying your tokens. Here is how to do it. 

After entering the amount you want to spend while buying, you can simply click on Open Trade to start trading. 

However, before that, there are some optional parameters you will need to set to ensure that your trade is most effective and to also avoid risks. For instance, you can click on ‘Stop Loss” to enter the maximum amount of loss you are willing to take. So, if the price of Tron equals your Stop Loss amount, your tokens will be automatically sold. This will help you prevent further loss. 

There is also the Take Profit option. This allows you to set the price at which your TRON tokens should be automatically sold for you to make a profit. For instance, if you buy TRX at $1,500 and wish to automatically sell it when the price hits $2,000, you can set $2,000 as your take profit price. 

Another option you can choose is leverage. This is a bit risky, and we only recommend it for skilled traders. While leverage allows you to benefit from both price directions, it can also amplify your losses just as much as your profits. 

So, if you don’t want to use leverage on eToro, just set it to 1X. Anything higher will introduce more risks to your trade. 

Method 2: HODL TRON

HODLing TRON means storing it for long periods with the hopes that it will someday be highly valuable. We recommend this strategy if you are new to cryptocurrency investing and don’t understand the perks of TRX trading. 

If you decide to hodl, we recommend that you move your TRON tokens to a secure wallet. The default eToro wallet is not secure enough, and you might lose your tokens in case of a hack. 

So, if you decide to keep your tokens off the exchange, you will need to get a wallet that supports TRX. All of them do not. You can get a full list of supported wallets on Tron’s official website. 

Wallets come in different types depending on how you want to store them. For instance, there are mobile wallets that you can download and install on your mobile phone. Satowallet is a great option for Android and iOS users. 

There are also Desktop wallets for your desktop computer. Atomic and Exodus are some good desktop wallets that support Tron. 

Hardware wallets such as the Ledger Nano S offer the highest level of security. These are offline based, and we recommend them if you plan HODling your Tron tokens for a long time. 

Method 3: Invest in TRON Startups/dApps

Following the recent Exodus launch, TRON will now allow other developers to build their dApps on its native platform. Just like with Ethereum, these apps will largely rely on the success of TRON. 

As TRON becomes more successful and valuable, so will the best of these dApps. So if you don’t want to directly invest or trade TRX, you can invest in some of these decentralized applications as any mainstream investor would invest in a company. 

This kind of investing requires more market understanding and might not be a good option for novice investors. You will need to study all the dApps and choose one that you believe has the best chance at success. If you choose a weak startup, you could lose your investment. 

Is Tron A Good Investment? 

While Tron appears to be slightly late to the party, it has had one of the most promising price uptrends since late 2020. In 2021, TRX picked on a new momentum and went ahead to achieve new milestones. 

So, although the price of TRON is still low, most experts believe that Tron will be a great investment in the long run. As the demand for dApps grows, Tron will be in a good position to enjoy better mainstream adoption and make one of the most lucrative investments. 

The platform, which was build due to the shortcomings of Ethereum, has grown from being an under-the-radar ERC-20 token to one of the most promising blockchain protocols. 

Tron’s technological advantage puts it ahead of similar platforms and might see faster mainstream adoption than most other cryptocurrencies. For this reason, we believe that early investors will be able to reap huge benefits as the platform continues to grow. 

Overall, we recommend that you do your own research and device if TRX is a good addition to your portfolio. Whether or not Tron is a good investment will depend on your investment goals and preferences. 

So, if you believe that Tron’s technology can easily be assimilated into people’s daily lives, then this would be a great time to start investing. 

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Why Should I Invest in Tron?

Aside from the fact that it has strong community support, visionary CEO, and a line-up of high-end partnerships, there are several other reasons that you might want to consider investing in Tron. 

First of all, Tron is built to scale. This means that it will easily grow as demand and its user base grows. The platform has one of the fast fastest transaction speeds making it an easy choice for people looking for more efficiency. Tron can currently process more than 1000 transactions per second and promises to do even more in the coming years. 

This is way faster than Ethereum and other competing platforms. The transactions fees are also highly negligible. Essentially, Tron has no transaction fees. 

A single Transaction requires about 0.00001 TRX, which is too low to even be noticeable. This means that all transactions that will ever be conducted on Tron can cost as low as a single TRX token. 

On the other hand, Ethereum fees have been growing over time and now averages about $0.4 t0 $0.6 per transaction. In fact, in January 2021, during Ethereum’s parabolic growth, the fees went as high as $4.15 per transaction!

Tron also has higher liquidity compared to Ethereum. While Ethereum does not limit the maximum supply of ETH, TRX tokens are capped at 100 billion coin supply. This will afford TRX more ubiquitous exposure as the Tron platform grows bigger. 

Also, the fact that Tron has its own blockchain will enable TRX to expand its utility use and subsequently increase in value, making it a worthy investment. The recent Exodus launch will enable TRON to host more token projects, which means TRX will have more use of the blockchain.

TRON, no doubt, offers many reasons as to why it is a good investment. So far, the platform has shown signs of a quickly growing venture and huge future returns for its investors. As more users join the platform, its value will keep rising, and soon the price will shoot. 

So, if you want to hop in while the price is still low, this might be the right time.

Conclusion: So, Should I Invest in Tron?

It is no doubt that Tron is on a path to becoming one of the top cryptocurrencies. This can be attributed to the lively CEO, supportive community, and concept that can seamlessly be blended into real-life situations. 

The recent launch of the DeFi platform has strengthened Tron’s infrastructure and made it one of the most sought-after digital assets for investment. On top of that, the entertainment industry is growing quickly. Soon, as people look for more cost-effective and easy-to-access content, TRON will be at the forefront of the entertainment market. 

And to ensure that it does not only build a reliable entertainment and DeFi platform for its users but also make it a worthy investment, Tron has partnered with some big companies that will no doubt catalyze quicker growth. 

So, yes, this could be the right time to invest in TRON. However, keep in mind that this is still a cryptocurrency and a highly volatile one in that matter. If you are risk-averse and would rather not risk your money, this might not be the right investment for you. 

Otherwise, if you are ready to ride with the biggest blockchain advancement in the entertainment industry, you should definitely consider investing in TRON.

eToro – Best Platform to Buy TRON

eToro have proven themselves trustworthy within the crypto industry over many years – we recommend you try them out.

Virtual currencies are highly volatile. Your capital is at risk.

Read More:

Is Tron a Good Investment?

Why TRX Is So Cheap?

Tron Forecast: Will TRX reach $5?

What Will TRON Be Worth In 10 Years?

Is TRON A Good Buy?

FAQs 

Below are some common questions we get about Tron investment. 

Will Tron Reach $1? 

Yes, Tron will reach $1 someday. However, the general expectation is that this might not happen in the next five years. The most bullish predictions we have seen believe Tron will be at most $0.8  by 2025. So, we can expect TRX to reach $1 in the next seven or ten years. 

How Much Will Tron be Worth in Five Years?

As we mentioned, Tron might not reach $1 in the next five years. Wallet Investor believes that Tron might trade at around $0.4077 by the end of 2026. On the other hand, Long Forecast is a bit bearish and predicts that Tron will fall below the current price to around $0.07 by May 2025. 

Could Tron Overtake Ethereum? 

Both platforms have a dedicated community with their own Pros and Cons. The idea behind Tron is also different from that of Ethereum. So, this question is more about price and market caps which is a bit hard to tell. Ethereum is currently far ahead of Tron, and even if Tron were to overtake it, it would take a lot of years with significant growth. 

Ultimately, it will depend on which crypto sees faster mainstream adoption and an increased user base. 

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