There are always interesting developments to take note of in the world of cryptocurrency. At the same time, one has to acknowledge not all of these developments will be perceived as positive. It seems the decision by the TRON team to move away from the ERC20 token to a native blockchain and currency is meeting a fair bit of criticism. Especially when it comes to the upcoming token swap, there are some major concerns.
The TRON Migration Concerns
Various cryptocurrencies have one intriguing technical aspect in common. TRON, as well as a ton of other altcoins, are tokens issued on top of the Ethereum protocol. While there is nothing wrong with being an ERC20 token, TRON’s team wants to migrate to a native blockchain in the coming weeks.
But that is not the aspect people have a lot of problems with. What does concern users is the upcoming token swap which will accompany this particular change. As TRON moves away from the Ethereum protocol itself, it is evident the existing tokens will need to be transferred along with it. To do so, users will have to undergo a specific process which is not necessarily to the liking of a lot of people.
More specifically, the TRON migration will force users to move money from the wallet they currently use to an exchange. While that is not uncommon in the world of cryptocurrencies, some users are disappointed they cannot convert the current TRX to the new TRX through existing hardware and software clients.
Plenty of people currently store their ERC20-based TRX on the MyEtherWallet platform, either directly or through a hardware wallet. Moving the money from that solution to an exchange to have the tokens converted to the native blockchain is the only current way to partake in this swap. Once the TRON mainnet launches, the ERC20-based tokens will no longer be valid for any transactions.
It is evident this upgrade process will require the help of various cryptocurrency exchanges. It is now up to these trading platforms to migrate to the new TRX blockchain as soon as possible. Which platforms will do so in time remains to be seen. With the upgrade not occurring until June 21, there’s still plenty of time for exchanges to make the switch.
Whether or not the TRON community will like this way of transitioning to a brand-new blockchain remains to be determined. Although it is a sign of maturing for the TRON ecosystem as a whole, the new blockchain will mean that neither MyEtherWallet nor any existing hardware wallets will support the new TRX. Then again, a lot can happen between now and June 21. A new method of swapping these tokens may be introduced in the future, but for now, only this one has been announced.