TRON Network Sees Unusual Spike of 1.3 Million New Accounts in Q4 2022

The “State of TRON Q4 2022” report from Messari reveals important insights into the performance and progress of the TRON blockchain network during the last quarter of 2022.

James Trautman, the Research Analyst at Messari who wrote this report, says that TRON is a public open-sourced blockchain network that utilizes a Delegated-Proof-of-Stake (DPoS) mechanism and the Practical Byzantine Fault Tolerance (PBFT) consensus algorithm. The TRON Virtual Machine (TVM) is EVM-compatible and enables the execution of affordable smart contracts by utilizing “Energy & Bandwidth” instead of gas, like Ethereum’s EVM.

The report highlights that Q4 witnessed a significant influx of new users and network activity on TRON. Daily active accounts continued their steady climb, while daily activated (new) accounts experienced a course reversal, culminating in an unusual spike of 1.3 million new accounts on 10 December 2022.

The report indicates that 90% of the total transactions on the network during Q4 were from smart contract execution and TRX transfers.

Trautman wrote:

“The spike in account activity highlighted earlier can be tied to USDT contract calls and TRX transfers. On December 10, there were 10 million USDT contract calls and TRX transfers combined, up 28% compared to the previous day. The spike contributed to the 52% QoQ increase in USDT contract calls and the 22% QoQ increase in TRX transfers.“

Due to the heightened user activity, a substantial amount of TRX was burned compared to what was generated during the quarter. TRON also maintained its position in the stablecoin space, ranking second to Ethereum in terms of the market cap of stablecoins.

The report notes that despite the macroeconomic forces that sparked a bear market in January, which was perpetuated by the collapse of LUNA and UST in Spring 2022, and the failure of FTX in Q4 2022, TRON continued to progress and attract new users. The network saw several upgrades to improve functionality, integrations, and user access. At the same time, community-building efforts were also prevalent, with the Grand Hackathon Season 3 and TRON joining the Enterprise Ethereum Alliance.

TRON’s strength in the stablecoin space remained substantial. Its position in the field was strengthened as the Commonwealth of Dominica declared TRON its official national blockchain infrastructure protocol. The island nation also confirmed the statutory status of TRON native assets, including USDT and USDD. The TRON DAO Ecosystem Fund aims to expand the use of USDD, diversify DeFi, and expand the TRON ecosystem into other sectors with the support of TRON DAO Ventures.

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