Question: Why is TRON so often used for USDT (TRC-20)?

Answer: Because fees are low and transfers are fast. That is why TRC-20 USDT has become a popular format for moving stablecoins between exchanges and wallets.

Question: What are the main risks of TRON/TRX?

Answer: Regulatory and reputational risks around the ecosystem, plus centralisation risk (DPoS and a limited number of validators).

Question: Can USDT be frozen on the TRON network?

Answer: Yes. The freezing applies to USDT (the issuer, Tether, can block addresses); this is not a “TRON feature”, but due to USDT’s popularity the ecosystem is exposed to that reality.

Question: What is TRX staking and what are rewards paid for?

Answer: It is usually participation in voting for validators (Super Representatives). Rewards depend on network rules and the chosen validator/pool and are not guaranteed.

What is TRON (TRX)

Tron is a public blockchain for dApps and transfers, where fees are often low and confirmations are fast. The TRX token is used to pay for transactions, for staking, and for voting for validators.

Launch 25.06.2018 TRON

Who created it

Justin Sun (founder/initiator of the TRON project) TRON Foundation (early organisation for ecosystem development) TRON DAO (transition to DAO governance; community and on-chain governance)

Why it was created

Tron was created to provide a cheap and fast infrastructure for transferring digital assets and running dApps — primarily for mass payments/transfers and a “content economy” (creators → users) without intermediaries, with high throughput and low fees.

How it’s used

Transfers of TRX and TRC-20 tokens (including stablecoins)
Paying for operations via Bandwidth (simple transactions) and Energy (smart-contract calls)
Staking TRX to obtain resources (Bandwidth/Energy)
Voting with stake for Super Representatives (governance/validation in the DPoS model)
Launching and using dApps: DeFi, NFTs/gaming, payment/transfer services
Deploying and executing smart contracts within the ecosystem

Risks

Regulatory risk: the SEC filed a lawsuit against Justin Sun and related entities, including allegations of an unregistered offering and market manipulation.
Reputational risk: SEC materials include allegations of inflated trading volumes and paid promotion without proper disclosure; even without a verdict, this can undermine trust.
Governance/validator centralisation risk: the DPoS model with 27 Super Representatives increases the risk of influence concentration and “governance capture” by large holders/voting pools.
Stablecoin freezing/blocking risk: Tether can technically freeze USDT (including on TRON) in response to sanctions/requests — this is a risk for USDT holders, but it indirectly affects the ecosystem. On 12 January 2026, Tether froze a large amount of USDT on wallets on the TRON network (an example that “freezing” is technically real).

FAQ

Question: Why is TRON so often used for USDT (TRC-20)?: Answer: Because fees are low and transfers are fast. That is why TRC-20 USDT has become a popular format for moving stablecoins between exchanges and wallets.
Question: What are the main risks of TRON/TRX?: Answer: Regulatory and reputational risks around the ecosystem, plus centralisation risk (DPoS and a limited number of validators).
Question: Can USDT be frozen on the TRON network?: Answer: Yes. The freezing applies to USDT (the issuer, Tether, can block addresses); this is not a “TRON feature”, but due to USDT’s popularity the ecosystem is exposed to that reality.
Question: What is TRX staking and what are rewards paid for?: Answer: It is usually participation in voting for validators (Super Representatives). Rewards depend on network rules and the chosen validator/pool and are not guaranteed.