- Tron’s daily network revenue reached an all-time of $2 million on the 20th of February.
- This was the same day Circle stopped minting its USDC stablecoin on the network.
Tron’s [TRX] daily network revenue surged to an all-time high of $2 million on the 20th of February, the same day stablecoin issuer Circle announced its decision to discontinue offering its dollar-pegged stablecoin USD Coin [USDC] on the blockchain.
Source: Tronscan
Protocol revenue on Tron is generated from the burned TRX tokens paid as transaction fees on the chain. According to data from Tronscan, on the 20th of February, 13 million TRX coins were taken out of circulation.
In a publication dated the 21st of February, AMBCrypto reported Circle’s plans to stop minting USDC on the Tron network. According to the stablecoin issuer, the move was targeted toward keeping the second-largest stablecoin “trusted, transparent and safe”.
Therefore, the spike in the protocol revenue derived from transaction fees on the 20th of February could be USDC holders scampering to remove their stablecoins from the network due to the fear of a de-pegging event.
User activity on Tron in the past few days
According to data from Tronscan, the last two days have seen an uptick in the daily count of active addresses on the Tron network.
As of the 22nd of February, 2.07 million active accounts completed at least one trade on the blockchain. This represented an 8% increase in daily active addresses on the Tron network since Circle decided to stop minting USDC.
Interestingly, during the same period, there has been a noticeable decline in new demand for the blockchain network. Information from the same data provider showed that the number of wallet and contract accounts that have transfer records since the 20th of February has dropped by 3%.
For context, three days ago, 193,000 new accounts were created on Tron. As of the 22nd of February, the network recorded only 188,000 new accounts.
Realistic or not, here’s TRX market cap in BTC‘s terms
Although new demand for the network has dwindled, the surge in daily active accounts in the past two days has resulted in a corresponding rally in daily transactions count on Tron. Since Circle exited the chain, the daily count of transactions completed on Tron has climbed by 4%.
At press time, TRX exchanged hands at $0.138, per data from CoinMarketCap. The altcoin’s value has risen by 5% in the last week and by a mere 1.47% since Circle’s announcement.