{"id":3831,"date":"2025-03-24T19:13:10","date_gmt":"2025-03-24T19:13:10","guid":{"rendered":"https:\/\/coinsvalue.net\/blog\/tron-and-bitcoin-will-a-block-reward-cut-boost-trx-price\/"},"modified":"2025-03-24T19:13:10","modified_gmt":"2025-03-24T19:13:10","slug":"tron-and-bitcoin-will-a-block-reward-cut-boost-trx-price","status":"publish","type":"post","link":"https:\/\/coinsvalue.net\/blog\/tron-and-bitcoin-will-a-block-reward-cut-boost-trx-price\/","title":{"rendered":"Tron And Bitcoin: Will A Block Reward Cut Boost TRX Price?"},"content":{"rendered":"<p>TRON founder Justin Sun has revealed that the network might reduce the TRX block rewards due to TRX\u2019s <a href=\"https:\/\/www.coingecko.com\/en\/coins\/tron\" target=\"_blank\" rel=\"noopener nofollow\">rising price<\/a>, sparking a discussion in the cryptocurrency community.<\/p>\n<p>Sun noted that this move is similar to Bitcoin\u2019s halving mechanism, capturing the attention of investors who are wondering about the plan&#8217;s possible impact on traders.<\/p>\n<h2>Tron: Reducing Block Rewards<\/h2>\n<p>Sun shared, in a post on X, his thoughts on potentially implementing a <a href=\"https:\/\/x.com\/justinsuntron\/status\/1903147656102416818?s=46\" target=\"_blank\" rel=\"noopener nofollow\">reduction<\/a> in the network\u2019s reward scheme for its TRX.<\/p>\n<p>He said that it is worth paying attention to the discussion about TRX&#8217;s upcoming reduction in block rewards.<\/p>\n<blockquote><p>\n\u201cHere are my personal thoughts. As we all know, TRX is already in a deflationary state of 1% per year, making it the only deflationary asset among major cryptocurrencies,\u201d he explained.\n<\/p><\/blockquote>\n<p>The TRON founder said that due to TRX&#8217;s rising price, \u201cthe rewards for block-producing nodes across the network have increased significantly, so a moderate reduction could be considered.\u201d<\/p>\n<blockquote class=\"twitter-tweet\">\n<p dir=\"ltr\" lang=\"en\">This discussion about TRX&#8217;s upcoming reduction in block rewards is worth paying attention to! Will TRX follow Bitcoin&#8217;s path and enter a halving cycle?<\/p>\n<p>Here are my personal thoughts. As we all know, TRX is already in a deflationary state of 1% per year, making it the only\u2026<\/p>\n<p>\u2014 H.E. Justin Sun <img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/15.0.3\/72x72\/1f34c.png\" alt=\"\ud83c\udf4c\" class=\"wp-smiley\" style=\"height: 1em;max-height: 1em\" \/> (@justinsuntron) <a href=\"https:\/\/twitter.com\/justinsuntron\/status\/1903147656102416818?ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\" target=\"_blank\">March 21, 2025<\/a><\/p>\n<\/blockquote>\n<h2>Following Bitcoin&#8217;s Path<\/h2>\n<p>In the post, Sun said that TRX might follow what happened to <a href=\"https:\/\/www.coingecko.com\/en\/coins\/bitcoin\" target=\"_blank\" rel=\"noopener nofollow\">Bitcoin<\/a>, saying, \u201cWill TRX follow Bitcoin&#8217;s path and enter a halving cycle?\u201d<\/p>\n<p>He explained that the firstborn cryptocurrency followed a similar path, saying that once the BTC network grew, investors saw a gradual decrease in its <a href=\"https:\/\/osl.com\/academy\/article\/what-is-a-block-reward\" target=\"_blank\" rel=\"noopener nofollow\">block rewards.<\/a><\/p>\n<p><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/www.tradingview.com\/x\/sZrH5I2a\/\" alt=\"\" width=\"2315\" height=\"1087\" \/><\/p>\n<p>\u201cIn the early days, higher rewards were necessary for bootstrapping the network. However, as Bitcoin&#8217;s price surged, block rewards were lowered, and the halving cycle played a crucial role in Bitcoin&#8217;s long-term sustainability\u2014aligning with <a href=\"https:\/\/osl.com\/academy\/article\/what-is-a-block-reward\" target=\"_blank\" rel=\"noopener nofollow\">Satoshi Nakamoto<\/a>&#8216;s original vision,\u201d the founder added.<\/p>\n<p>Impact Of The Reduction<\/p>\n<p>Sun also shared the possible impact of reducing TRX block rewards, giving two scenarios.<\/p>\n<blockquote><p>\n\u201cIf daily block rewards are reduced by 1 million TRX, the deflation rate would increase by 50%, reaching 1.5% per year,\u201d he said.\n<\/p><\/blockquote>\n<p>On the other hand, he believes that if TRX is reduced by 2 million, the deflation rate would increase to 2% per year, \u201ceffectively doubling the deflation rate, with an impact on TRX cycles comparable to Bitcoin\u2019s halving.\u201d<\/p>\n<blockquote><p>\n\u201cEven with a block reward reduction, the current incentives for network validators remain highly attractive. Ultimately, this decision rests with the TRX community,\u201d he added.\n<\/p><\/blockquote>\n<p>The founder revealed that the network has formally submitted on GitHub the proposed block rewards reduction.<\/p>\n<p>\u201cThe adjustment aims to create a more balanced supply-demand dynamic encouraging increased user participation in staking. This will benefit all stakeholders, ensure the TRX block rewards consistent with the maturity of the <a href=\"https:\/\/tron.network\/\" target=\"_blank\" rel=\"noopener nofollow\">TRON network<\/a>, and promote the healthy and sustainable development of the TRON ecosystem,\u201d the network stated in the proposal.<\/p>\n<p>Among the benefits that can be gained from its implementation are better deflation, increased staking incentives, strengthened network security, and improved economic alignment.<\/p>\n<blockquote><p>\n\u201cTimely adjustments to TRX block rewards can better promote the healthy and sustainable development of the TRON network and TRON ecosystem,\u201d the network added.\n<\/p><\/blockquote>\n<p><em>Featured image from Gemini Imagen, chart from TradingView<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>TRON founder Justin Sun has revealed that the network might reduce the TRX block rewards due to TRX\u2019s rising price, sparking a discussion in the cryptocurrency community. Sun noted that this move is similar to Bitcoin\u2019s halving mechanism, capturing the attention of investors who are wondering about the plan&#8217;s possible impact on traders. Tron: Reducing&hellip;<\/p>\n","protected":false},"author":1,"featured_media":3832,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[638],"tags":[94,56,2090,61,70,36,2091,2092,1002,83,178],"class_list":["post-3831","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-altcoin","tag-altcoin","tag-bitcoin","tag-block-reward","tag-btc","tag-btcusd","tag-crypto","tag-crypto-mining","tag-halving","tag-justin-sun","tag-tron","tag-trx"],"_links":{"self":[{"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/posts\/3831","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/comments?post=3831"}],"version-history":[{"count":0,"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/posts\/3831\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/media\/3832"}],"wp:attachment":[{"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/media?parent=3831"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/categories?post=3831"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/tags?post=3831"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}