Tron Emerges as Second-Largest Stablecoin Blockchain in Q3 2023

TLDR

• Tron Network posted record $577M revenue in Q3 2023
• 74% of revenue came from staking, 26% from burning
• Tron outpaced Bitcoin and Ethereum in quarterly income
• Tron is the second-largest blockchain for stablecoins after Ethereum
• SunPump, Tron’s memecoin deployer, generated $5.4M since launch

The Tron Network has reported a record-breaking revenue of $577 million for the third quarter of 2023, surpassing major blockchain platforms like Bitcoin and Ethereum in quarterly income.

This significant milestone highlights Tron’s growing influence in the cryptocurrency space, particularly in the realms of stablecoins and memecoins.

According to data from Tronscan, confirmed by Tron founder Justin Sun, the network’s Q3 revenue reached $577.2 million.

The majority of this revenue, about 74%, came from staking activities, while the remaining 26% was generated through token burning mechanisms.

The revenue data for TRON Q3 has been released. The total revenue for Q3 is $577 million, the highest since the inception of the protocol, representing a 43% increase compared to Q2. We are confident that Q4 will see even more growth compared to Q3! https://t.co/EZR1lAvhnA pic.twitter.com/IYEaDWrhBo

— H.E. Justin Sun🌞(hiring) (@justinsuntron) October 2, 2024

Tron’s impressive financial performance can be attributed to two main factors: its increasing dominance in the stablecoin market and its recent expansion into the memecoin sector.

The network has established itself as the second-largest blockchain platform for stablecoins, trailing only behind Ethereum. Tron currently accounts for nearly 35% of the total stablecoin market cap, which stands at $172 billion.

The platform’s popularity for stablecoin transactions is particularly notable in emerging markets across South America and Africa.

In these regions, high inflation rates and concerns about domestic currency stability have led to a growing demand for more stable assets, such as the US Dollar-pegged stablecoin Tether (USDT). At present, Tether represents an overwhelming 98.3% of all stablecoin deposits and activity on the Tron network.

Tron’s venture into the memecoin market has also contributed to its revenue growth. Justin Sun’s memecoin deployer, SunPump, launched on August 9, 2023, as an imitation of the Solana-based memecoin launchpad pump.fun.

Despite its relatively recent introduction, SunPump has already generated $5.4 million in revenue, with $1 million of that amount earned within the first 11 days of its launch.

The network experienced its highest single-day revenue on August 21, 2023, bringing in over $5.4 million within 24 hours. This peak coincided with a significant injection of $1 billion in new USDT from Tether on August 20, as reported by DefiLlama.

Tron’s Q3 performance is particularly noteworthy when compared to other major blockchain networks.

Data from Token Terminal shows that Tron’s aggregate fees and revenue surpassed those of Bitcoin and Ethereum, which reported quarterly incomes of approximately $56.3 million and $256 million, respectively.