Since Ethereum’s gas fees are still extremely high, many Tether users have switched to TRON. TRON has emerged as the preferred blockchain for smaller USDT transactions, while Ethereum remains the preferred blockchain for larger ones. As a result, TRON’s transaction volume increased from 900,000 to 2 million in less than a month.
Bitcoin is the most important development platform in the crypto industry. However, its inability to scale and meet demand is beginning to bite. Because of the rising fees, the TRON blockchain has grown in popularity. As a result, making it useful not only for purchasing TRX, but also for small Tether (USDT) exchanges.
USDT transactions on TRON has increased
It has risen to the point where it has surpassed Ethereum’s value for three weeks in a row.
Ethereum’s gas fees remains quite high. As a result, they’re only affordable and practical for people who need to process larger transactions. There are still a small number of users willing to pay exorbitant prices for the Ethereum network. ETH has had approximately 1.5 million weekly transactions in the last month.
Users who want to speculate in cryptocurrency in smaller amounts, on the other hand, have turned to TRON. This is evident from the project’s transaction count, which has risen from 900,000 in mid-December to nearly 2 million per week in mid-January.
The logic for this, according to Coin Metrics, is often the high cost of fees, which tend to travel as high as $19 on reach prices. The fees are currently just under $8. However, even though it is lower than the all-time high, it is still considered very high in the crypto industry, where millions of dollars can be processed for pennies.
Blockchair, another cryptocurrency data firm, reported that fees have surpassed 0.015 ETH several times in the last month. Crypto users do not want to spend their money on paying high fees, so they migrate to a cheaper network – TRON’s.
Ethereum continues to process more USDT than TRON
Implying that only those who transact in small amounts are migrating to the rival blockchain.
Tether’s CTO, Paolo Ardoino, stated that it makes sense for smaller transactors to us TRON, especially since the younger project has seen good adoption on exchanges. TRON isn’t the only option, but it appears to provide the most straightforward conditions in terms of network effects, usability, and low fees.
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