Justin Sun Sun, the founder of "TRON", the stablecoin transmission network with more than 20 billion US dollars in on-chain TVL and the most commonly used stablecoin transmission network by Web3 users, recently accepted an exclusive interview with Dongzhong.
Justin Sun , who is regarded as the number one person in the post-90s crypto , shared with us the latest developments of Tron in the fields of stablecoins and Bitcoin Layer 2, and jointly discussed the recent downturn in the encryption market, meme coins, one of the hot spots in the market this year, Trump proposed a series of topics such as the U.S. Bitcoin strategic reserve.
Stablecoin Internet Dominant Tron is not afraid of Ethereum L2 competition
At the beginning of the exclusive interview, we chatted with Justin Sun about Tron’s outstanding achievements in the stablecoin field this year. Last month, the issuance scale of USDT-TRC20 on the Tron chain exceeded the US$60 billion mark. Defi Llama data shows that Tron accounts for half of the USDT issuance network and continues to lead Ethereum.
Moving area : Tron has been the first choice for users with its low handling fees in the past, but as Ethereum Layer 2 solutions such as Arbitrum and Optimism can provide lower gas fees, are you worried about its future competition?
Justin Sun : I prefer to regard this situation as a manifestation of the development and prosperity of the industry. If the industry wants to apply it to a deeper level and a wider range, it needs to develop different products and services based on different scenarios and respective technical advantages. The emergence of many well-developed Ethereum L2 projects today shows that our industry is still full of opportunities and we are working hard to establish them in different places.
When it comes to specific comparisons of advantages and disadvantages, TRON's development process is earlier than these emerging platforms, and it has accumulated more than 250 million users around the world. It has been tested in terms of size, service convenience, and security.
In addition, for example, after the rise of Alipay, many payment platforms emerged one after another, but in the end Alipay was the one with the best development.
I think there are factors related to user habits, but Alipay’s strong technical strength and product quality play a greater role. I believe the same is true for TRON.
TRON will launch a “no gas fee” stablecoin transfer solution this year. How to do it?
In early July, Justin Sun announced that his team is developing a gas-free stablecoin transfer solution that allows users to perform stablecoin transfers without paying any gas fees. The cost is entirely borne by the stablecoin itself. It is expected to be launched in the fourth quarter of this year. , will be the first to support the Tron chain, and will later support Ethereum and all EVM-compatible public chains. This move is expected to further consolidate Tron's dominant position in the stablecoin issuance network.
Regarding this solution, the first thing we are curious about is how the Tron team can achieve "no gas fee" stablecoin transfer and let the stablecoin bear the gas fee?
In this regard, the Tron team expressed reservations that since this solution is still under development, it is inconvenient to disclose details now, and more detailed information will be disclosed in the future.
Moving Zone : The wool comes from the sheep, what is the incentive for stablecoins to be willing to bear the cost? Do you think gas-free will become a future blockchain payment trend?
Justin Sun : Mainly based on the large-scale application of blockchain and encryption technology, especially stablecoins, the launch of our solution will significantly lower the threshold for using encryption technology, improve user experience, and is expected to attract more large-scale Enterprises and users are involved in the blockchain field.
It can be seen that in the past two years, the entire industry has been promoting encryption technology, especially the application of stablecoin payments in real-life scenarios, which includes cooperation with some traditional companies and the launch of corresponding services. Gas-free stablecoin transfer methods will make these practical applications smoother and more convenient.
Extended reading: Justin Sun: A gas-free stablecoin transfer solution will be launched in Q4! Be the first to support TRON chain
TRON Bitcoin Layer2 has reached multiple cooperation
In addition to continuing to expand its leading edge in the field of stablecoins, Tron also announced in February this year that it will enter the increasingly competitive Bitcoin Layer 2 track, officially announcing Tron’s Bitcoin Layer 2 solution and roadmap , focusing on opening up Bitcoin. Key developments include cross-chain connections between coins and the TRON network, investment in the development of user-friendly wallets and tools, and cooperation with multiple Bitcoin second-layer protocols.
Moving Zone : What is the current progress of Tron’s Bitcoin Layer 2 solution? To what stage of the roadmap can 2024 progress?
Justin Sun : It is currently progressing steadily, and we have reached cooperation with some projects in the Bitcoin L2 ecosystem to help us achieve the goals set in the roadmap faster.
This year is mainly the exploratory stage, including the realization of seamless interoperability and interoperability between the TRON network and the Bitcoin network.
Bitcoin has already been connected to the TRON network through cross-chain connections. Next, TRON tokens will be integrated into the Bitcoin network with the help of the heterogeneous chain cross-chain interoperability expansion protocol BTTC.
Dynamic Zone : The roadmap mentions that TRON will cooperate with multiple Bitcoin Layer2 protocols to ultimately achieve the integration of TRON, BTTC and Bitcoin Layer2. What list does TRON have of potential partners, or what are the criteria for selecting Bitcoin Layer 2 partners? Are there any current Bitcoin L2 projects that particularly catch your eye?
Justin Sun : We have reached a strategic cooperation with the Bitcoin L2 solution Merlin Chain, and we are committed to expanding the interoperability, practicality and financial accessibility of Bitcoin. Next, we will also form cooperation with more similar projects and platforms. relation. The technical features we are interested in include usability, scalability, etc. Of course, security is also very important.
The solution for Bitcoin L2 is later than that of Ethereum, but the development of Ethereum L2 has accumulated a lot of experience for the industry, including some highly application-oriented tracks. Our purpose is to expand the capacity of the Bitcoin network and improve the network's performance. Ease of use. These attempts include side chains, cross-chains, Rollups, Bitcoin virtual machines, payment channels and Lightning Network, etc.
The TRON Bitcoin L2 solution in the α segment is to achieve cross-chain connection with the Bitcoin network. If classified, it would belong to EVM L2, and many current L2 solutions for Bitcoin are also in this field.
In the beta phase, we will introduce a Bitcoin-compatible protocol that maintains the speed and low fees of the PoS system while ensuring the security of PoW and UTXO when combined with BTC L2. After all, UTXO’s focus on payment security is also a very important aspect. So the exploration of these two aspects is integral to Bitcoin’s scalability.
Tron aims to become the “connection center of the Bitcoin L2 ecosystem”
Dynamic Zone : After integrating TRON, BTTC and Bitcoin Layer 2, what are your expectations and imagination for this new ecosystem?
Justin Sun :
This integration means that TRON has become the connectivity center of the Bitcoin L2 ecosystem . The periphery of this center includes the Bitcoin network and multiple Bitcoin L2 solution platforms, allowing us to combine our own ecological assets and network performance advantages. Help assets in the Bitcoin network achieve cross-chain flow.
This will be very helpful in unleashing the potential of Bitcoin and the TRON network, and can also connect different blockchain networks.
In addition, the current market value of Bitcoin exceeds 1 trillion US dollars, which is a huge "sleeping capital pool". As long as part of it is leveraged, such as 10% to 20%, a new multi-billion dollar market will be formed.
The connection between the crypto market and the traditional financial market is deepening, and the influence of macro factors is increasing.
Then, the topic turned to the broader cryptocurrency market. We asked that the global venture capital market has encountered headwinds recently, and the market is worried that the U.S. economic recession may really come true. Bitcoin once plummeted from 70,000 to 50,000, and is now in the range of 60,000 US dollars. Shock.
Moving Zone : Which stage of the bull market do you think we are currently in? Will the second phase of the bull market start this year? The market believes that the copycat season will not come this cycle. What do you think?
Justin Sun : Since the Bitcoin spot ETF was approved at the end of last year, we have been in a bull market. After the Ethereum spot ETF was launched in the United States, we should have received better market feedback, but due to the overall economic level Waves, we have experienced a wave of volatility recently, but this is not a factor in the crypto market itself.
Another meaning of the altcoin season that will not come is that the capital flow of this round of bull market is Bitcoin and Ethereum. This is caused by the traditional financial market beginning to recognize the two mainstream assets in cryptocurrency, so the market The situation can also be said to be one in which there are more external factors than internal conditions.
We can see that after the two cryptoassets gained mainstream financial recognition, the two markets became more closely connected. This means that the crypto market will be amplified by the impact of macro factors. Although we have not seen copycats explode with the market, everyone has seen the popularity of MemeCoin.
Justin Sun: MemeCoin is the CyberPunk of the crypto world
Meme coins have exploded this year, and the development momentum of Solana and Base chains on Memecoins has attracted attention. At the end of last year, Brother Sun initiated a vote to ask the community whether the "Coconut Chicken" meme coin should be issued on the Tron chain. .
Note: It is worth noting that shortly after the interview, the DeFi platform SUN.io on the TRON chain put forward a proposal to expand the Meme market function , and Justin Sun also publicly stated that "Tron will increase its focus on the Meme currency track."
Moving Zone : What are your thoughts on meme coins? Do you buy meme coins privately? Is Tron currently exploring the meme coin market?
Justin Sun :
I think MemeCoin is just a symbol of the decentralized community culture in the crypto industry. It represents an open environment that everyone can participate in, and it is also a means of connecting the crypto cultural circle with other groups.
If we like, we can also say that it is the CyberPunk of the crypto world . By expressing specific events or emotions in the form of MemeCoin, it reflects the views and attitudes of the crypto community towards certain matters.
TRON has always attached great importance to the demands of the crypto community . The DeFi platform SUN.io in our ecosystem will add a Meme asset area and formulate a marketing plan for MemeCoin , which will greatly facilitate user participation and help incubate a real community driven by The promoted Meme project allows users to easily enjoy the charm of the Meme ecosystem.
Moving Zone : Vitalik expressed his dissatisfaction with the craze of celebrities issuing meme coins this year, believing that these coins are just to make celebrities and early users rich and have no practical use. As a result, Vitalik had some beef with Australian rapper Iggy Azalea on the community. What do you think? What do you think about celebrities issuing meme coins? Would anyone personally want to distribute meme coins?
Justin Sun : Vitalik paid attention to some shortcomings in celebrity Meme. This is indeed the case. Similar situations can be seen in other tracks. This is also in line with the objective reality of the development of the industry.
As far as I'm concerned, celebrity memes obviously let more people know about the encryption industry, and they are potential encryption users and even potential builders in our ecosystem. Compared with the general group, the fan effect of celebrities can often generate greater incentives. Invisibly, our industry has been exposed to some people who may not pay much attention to it themselves, and transformed into a part of us.
I think this is also a process that must be experienced. After all, we want to include everyone in the world into this world. With or without celebrities or celebrity memes, this is the way to go.
Trump attempts to create a “new Bretton Woods system” for Bitcoin reserves
Action zone : Trump shouted at the Bitcoin conference that "if he is elected, he will never sell Bitcoin owned by the US government and will establish a national strategic Bitcoin reserve ." If it comes true, do you think this will be good for Bitcoin? Is it a good or bad thing for the overall cryptocurrency market? Does this contradict Bitcoin’s core values of freedom and independence and deepen the concerns of centralization?
Justin Sun : This is of course a good thing. It means that politicians are pushing for cryptocurrency to be recognized at the national level . Of course, Trump and the United States are not the first to try this. In Central America, El Salvador started to reserve Bitcoin very early. At the same time, in Dominica, TRON's seven cryptocurrencies have obtained the same status as legal tender.
It can be said that this is a trend. But "Never sell government-held Bitcoin" and "National Strategic Bitcoin Reserve" sound familiar?
This will remind people of Bretton Woods in New Hampshire, USA in 1944. The current situation will be like establishing a "New Bretton Woods System" for Bitcoin reserves .
By the 1970s, this system collapsed, indicating that Bitcoin would not be completely controlled, but would still flow freely in the market. This situation would not bring about the so-called centralization concerns, which were determined by the industry.
But as I said before, this industry and market are becoming more and more closely connected with the traditional world, and we will be more influenced by the macro, so we also need to explore how to deal with this new situation.
Extended reading: 50th Anniversary of the Bretton Woods System｜Bloomberg Mike McGlone: Bitcoin is on the road to “replacing gold”
