About TRON & staking TRX
Last updated
Last updated
The TRON blockchain has been around since 2017 and started out as an ERC20 token and has evolved to be the top blockchain with the highest amount of stablecoin transaction volume of all blockchains.
With the growth of stablecoin transactions, the TRON community and holders get rewarded directly and indirectly so value accrues to the token $TRX and hence its holders Before one can understand the value of $TRX tokens, one needs to understand the unique mechanisms that come with the underlying TRON blockchain.
The TRON blockchain consensus mechanism is Delegated Proof of Stake (DPoS). That means token holders can vote a Super Representative (SR) that runs nodes that validates transactions for the network and contribute to network security. In TRON ,there are 27 Super Respresentatives.
Staking on a DPoS blockchain involves token holders delegating the power of their tokens by voting for delegates/SRs.
TRON users can choose to stake TRX and receive 1 of 2 types of resources (energy or bandwidth) plus "TRON Power" (voting power/rights).
Users lock up their TRX and receive voting power to elect SRs and earn rewards. Typically , it is distributed as a share of the block rewards earned by the SRs, enabling users to earn passive income while ensuring the network remains secure and efficient.
Voting rewards can be claimed every 24 hours and can be done on tronscan , an official website by TRON DAO.
Alternatively , Tronpower has an management system part of the "Automated Energy Selling" system that can automate daily claiming for users.
Read more about it in "Enable Automated Selling"
Currently the yield or interest on staking TRX token roughly around 4%
Stake Vote Get native yield (APY).
Head to the next section to learn more about TRON's resource model
Energy + Tronpower (voting rights)
Bandwidth + Tronpower (voting rights)
