Tron’s methodology is the same methodology used by successful cryptocurrencies, such as bitcoin. Tron aims to decentralize digital media sharing. This article does not explain what cryptocurrency or blockchain technology is but shows how the exchange rate is affected when transactions in that currency. If you’re interested in knowing why bitcoin dominance is falling, click here to learn more.
In many articles about bitcoin, it is said that there will be a time when the mining reward of bitcoin will fall to 0, and it is expected that by this time, more and more companies will use their equipment to mine bitcoins.
This article discusses how a single polygon can be used in bitcoin mining without affecting blockchain.
5 major impacts on bitcoin due to polygon
1 – Transaction fees are paid to the miners as an incentive for them to include transactions in the blockchain. However, since bitcoin is decentralized, it will be difficult to control the fees of bitcoin transactions.
Even if someone controls 51% of the entire network, they can still not control market conditions. As a result, people may pay more or less than the average market fee.
2 – The same impact is that if someone controls 51% of the entire network, they still cannot control market conditions, and people may pay more or less than the average market fee. A new transaction must now only contain a higher transaction fee than the previous one to re-confirm transactions.
3 – As a result, it becomes more difficult to double spend the transactions because there are no confirmations, and every time a new transaction is made, the transaction fee increases.
4 – This gives merchants a greater degree of certainty that they will be paid if their products or services are consumed and the transaction is set to take place.
5 – The more time it takes for a transaction to be confirmed, the higher the chance that it will be executed again because if you spend some money, you may need this capital in the future, so you try to reuse it even if after three days have passed or more or maybe less.
6 reasons bitcoin is better than polygon
1 – The bitcoin blockchain size is already more than 100 GB, which must be downloaded for people who want to use cryptocurrency.
2 – Bitcoin has a limited number of coins, meaning that if demand increases and supply stays the same or vice versa, demand decreases and supply remains the same. Polygon has an infinite maximum supply meaning that if demand increases and supply lasts the same or vice versa, demand decreases and supply remains the same, leading to no change in price.
3 – Bitcoin is the original decentralized cryptocurrency. In contrast, the polygon is a centralized cryptocurrency which means that it is controlled by a central authority and has more to do with fiat money than cryptocurrency.
4 – Bitcoin has been around for a long time and has a greater public interest which means that it is more likely to be adopted by the masses. Whereas Tron is relatively new, there is no public sentiment towards its use.
5 – The bitcoin network hash rate is very high. Therefore, it would be complicated to take over 51% of the network because it has enormous computing power. However, Tron’s hashing rate is low.
This means that someone could take more control with more computing power than the entire Tron network combined.
6 – However, if someone controls 51% of the entire bitcoin network, they still cannot control market conditions.
As a result, people may pay more or less than the average market fee. Whereas if someone controls 51% of the entire Tron network, they could easily control transactions by allowing anyone to perform transactions without requiring fees at all, thereby increasing activity on the web.
Conclusion:
On the other hand, Bitcoin is advantageous because of its limited number of coins, decentralized nature, and public interest. This forms a positive feedback loop which leads to an increase in price, whereas polygon has no public sentiment towards use, meaning that their prices will never go up or down drastically, if at all. Also, Tron’s infinite maximum supply means that there is no limit to the amount of Tron which can be mined or spent.
