TRON CEO Justin Sun Explains Why BitTorrent Speed Is Powered by BTT and Not TRX

Siamak Masnavi

Recently, TRON Founder and CEO Justin Sun spoke about BitTorrent and the BTT token, and among the questions he answered was why BitTorrent Speed is powered by BTT and not TRX.

On February 25th, Binance announced via Twitter that it would be organizing in the "Binance English" Telegram group an "Ask Me Anything" (AMA) session on February 27th hosted by Justin Sun so that he could answer questions about TRON, BitTorrent, TRX, and BTT. This was the tweet it sent out:

Justin was "named 2017 Forbes 30 under 30 Asia and Forbes 30 under 30 China from 2015 to 2017," and is "the only millennial graduate from Hupan University established by Jack Ma, Chairman of the Alibaba Group." 

TRON acquired BitTorrent on 24 July 2018, and launched the BTT token on Binance Launchpad on January 28th, i.e. one month before this AMA session. In the few weeks that have gone by since the public sale of BTT tokens took place, TRON has rewarded TRX holders with BTT in one of the largest ever airdrops, as well as managed to get BTT listed "on major exchanges and wallets to make BTT available to most people."

Justin started by explaining that he was not worried about the long term popularity of BitTorrent and BTT:

"BitTorrent has a great user base with close to 100 million active users around the world, and this number has not changed much or dropped in the past 16 years from 2003 until now... Therefore, I am not worried about its popularity. BTT is very different from some overly hyped projects on the Internet which were just a flash in the pan.”

Next, he explained why BTT will be airdropped to TRX holders during the next six years:

“This is a program to give our users early access to our product, and to encourage them to stick with us for the long term. We are not only airdropping to TRX holders, but also giving the BTT token to BitTorrent users through the clients. We expect over 100M active users will get to know about cryptocurrency and the first one they will experience will be BTT."

Justin believes that BitTorrent's 100 million users, who will be receiving BTT tokens via BitTorrent clients, are an ideal target audience to introduce to cryptocurrency, and that they could with mass adoption, which in turn could help us to get to a bull market once again:

“We will provide BTT as an early access mechanism to the 100 million active users and most of them are not cryptocurrency users. However, the 100 million users are the targeted users, and they share a lot of similarities with crypto users. Firstly, they are interested in decentralized technologies and are using peer-to-peer technology. Secondly, the majority of BitTorrent users are males between 25 and 35 years old, which is also a group very interested in cryptocurrency. Therefore, when the 100 million users receive BTT airdrops, they will start to wonder what BTT is, and what cryptocurrency is, and start to investigate.”

Perhaps, the most interesting question that Justin was asked was why BitTorrent Speed was powered by BTT and not TRX, something that many TRX fans have wondered about:

“The BitTorrent user base is huge (~100M MAU), so we can’t provide enough TRX to them bootstrap the economy without diluting the value of TRX. TRX is used as a utility token within the TRON blockchain (for powering smart contracts, electing SRs, etc.) BTT is a utility token used to mediate the exchange of resources (bandwidth, storage, etc.) between users’ systems. Since BTT is a TRC-10 token, TRX and BTT are like a razor and a blade. It’s really important for me to give access to BTT to the TRON community and reward the TRX holders so we decided to create a 6 years long program to airdrop 10% of the total circulating supply which is pretty unique within the crypto space. The more successful BTT is, the more successful TRX will be.”

And finally, another very interesting question that Justin was asked was whether he could see millennials becoming big adopters of crypto in general and TRON in particular in the next few years:

“I think millennials will become one of the largest crypto communities. Crypto is the native currency of the internet. Millennials grew up with the internet, so they have been exposed to technology and the internet from the cradle. Older generations are still becoming comfortable with the internet and are used to fiat currency. Eventually, millennials and later generations will start to think of fiat currency as strange and cryptocurrency as normal. TRON is focused on entertainment, which is a very important category for millennials and for mass adoption generally, and we are also focused on user experience and ease of use, to make things accessible for a mass audience.”

 

Featured Image Courtesy of TRON Foundation

Binance ‘Unknowingly’ Earns $775K via Staking, Set to Launch Huge XLM Giveaway

On Thursday (July 18), Binance, the world's largest cryptoasset exchange (by adjusted trading volume), made a rather interesting announcement: it had "unknowingly" earned 9.5 million Stellar Lumen (XLM) tokens through staking rewards, and it is going to give all of it away to all Binance users who maintain XLM balances between July 20 and September 1.

Binance explained via a blog post that in August 2018 the Binance team followed the advice of the Stellar Development Foundation "to change some parameters on both cold and hot wallets," which resulted in the exchange "unknowingly" earning staking rewards for its XLM holdings since 31 August 2018.

Then, this week, while the Binance team was considering the idea of adding support for XLM staking, it found out that Binance had earned around 9.5 million XLM tokens (each of which was worth approximately $0.08157 at the time). Binance notes that all "weekly staking rewards between then and now are documented on the blockchain." 

So, the team made two decisions:

  • add support for XLM staking to Binance.com; and
  • give away the aforementioned staking rewards to the Binance community (i.e. Binance users).

This is not the first time that Binance has added staking support to Binance.com. The exchange already "distributes NeoGas for NEO holders, Ontology Gas for Ontology holders, VTHO for VeChain holders, and BitTorrent tokens for TRON tokens."

Here is how this 9.5 million XLM giveaway is going to happen.

From July 20, Binance will support XLM staking. Between this date and September 1, Binance will take "daily snapshots" of XLM balances in Binance user accounts.

Then, on September 1, Binance will "tally average user XLM balances based on these snapshots," and process the distribution of staking rewards to these user accounts (that maintained XLM balances during the staking period). Furthermore, the roughly 9.5 million XLM tokens that Binance has unknowingly earned to date will be distributed as a bonus payment to all Binance users who jave maintained non-zero XLM balances since July 20. 

Binance says in its blog post that it estimates this "one-time distribution of 9,500,000 XLM shared proportionately among Binance users" to be worth "10 to 12 months of typical monthly rewards."

According to a support article published on July 18, here are the details of Binance's "Monthly XLM Staking Airdrop Program":

  • Binance will start these daily XLM balance snapshots at 00:00 (UTC) on 20 July 2019.
  • This is how Binance will calculate the XLM staking distribution:

XLM generated by each user = Total XLM staking rewards received by Binance * User XLM holdings ratio. User XLM holdings ratio = User XLM holdings / Total XLM staked by Binance.

  •  In order to qualify for XLM staking rewards, Binance users must have a balance of at least 10 XLM.
  • This initial distribution of XLM staking rewards will be calculated until 1 September 2019, "with the total amount distributed equal to the staking rewards accrued on holdings during the 43 day period."
  • These XLM staking rewards are calculated on a daily basis and are distributed monthly. 
  • XLM distrubutions will be "completed before the 5th of each month."

In other Binance news, another support article explained that Binance's Margin Trading platform has added support for two margin assets (EOS and LINK), three borrowable assets (BNB, EOS, and LINK), and three margin pairs (EOS/USDT, EOS/BTC, LINK/USDT, LINKBTC).

Binance's announcement about its 9.5 million XLM giveaway may have helped the XLM price. According to CryptoCompare, XLM is currently trading at $0.08914, up 7.96% in the past 24-hour period:

XLM-USD 24-Hour Chart on 18 July 2019.png

Featured Image Courtesy of Binance