TRX, the main token of the Tron network, has gotten mixed reactions. Some small business owners see it as a fast and cheap alternative to ETH for accepting payments. Others are more cautious and worried about legal issues and how the network is controlled. As more people start using TRX, the real question arises about whether it is safe for your business.
Let’s look past the hype and find out if accepting TRX is a smart move or a risky gamble.
What’s TRX?
TRX is the digital currency powering the Tron blockchain, which was initially created to decentralize content distribution. Tron emphasizes speed and affordability over decentralization. Its infrastructure allows for over 2,500 transactions per second.
Why Some Businesses Opt for TRX
It’s easy to understand why businesses decide to accept TRX:
- Transaction fees are very small.
- Settlements are nearly instant, which reduces chargeback risks and improves cash flow.
- It integrates easily with many cryptocurrency payment platforms.
- It’s popular with customers because it allows reach more customers globally.
For example, Alternative Airlines, a UK-based flight booking platform, accepts TRX as a payment method. By incorporating TRON payments, the company has expanded its payment options, catering to a broader customer base and promoting quick, cost-effective transactions.
Moreover, many e-commerce businesses are drawn to crypto not only for the cost savings but also for the growing demand from customers who prefer to pay using digital assets. Using flexible payment options like TRX can help your business stand out from the competition.
What Are the Possible Risks?
While Tron offers technical advantages like speed and low fees, there are some concerns unique to its ecosystem that businesses should be aware of.
- Tron’s claims of being decentralized have come under scrutiny. Studies show that many of its validators, called Super Representatives, are controlled by just a few groups. It raises concerns that too much power is concentrated in too few hands.
- TRX and stablecoins use the same wallet format, users sometimes send money to the wrong type of wallet by mistake. It can lead to lost funds, so businesses that accept TRX should make sure to clearly guide their customers.
- Even though TRX is listed on most major crypto exchanges, it has fewer options for converting directly to cash compared to BTC or ETH. It can complicate the process of turning TRX into fiat money for businesses.
Security: More Than Just Technology
Accepting TRX, or any other cryptocurrency, may come with risks beyond volatility.
Many smart contract-based payment systems used in Tron integrations may be vulnerable to exploits. Phishing scams targeting TRX wallet addresses are also on the rise, with some mimicking legitimate TRX payment confirmations to trick merchants into releasing goods or services prematurely.
For example, in late 2024, a vulnerability in Tron’s UpdateAccountPermission feature led to the compromise of over 14,500 wallets. Attackers exploited this flaw to hijack wallets, locking out legitimate owners and putting millions of dollars at risk.
Using a trusted cryptocurrency payment processor can reduce many of these risks by handling wallet security, fraud detection, and regulatory compliance on your behalf.
The Legal Reality of TRX
Even if you’re tech-savvy, you still need to stay compliant.
Governments treat TRX like any other cryptocurrency. If you’re doing business in the US, EU, or UK, you still need to follow KYC (Know Your Customer) and AML (Anti-Money Laundering) rules when accepting crypto payments. Also, any income you receive in TRX must be reported for taxes, using the fair value at the time you receive it.
Should You Accept TRX?
Ask yourself the following:
- Do your customers already use crypto?
- Are your profit margins being eaten by transaction fees?
- Can your business afford to handle exchange volatility?
- Do you have a reliable partner for crypto-to-fiat conversion?
If you answered “yes” to at least three, then it may be worth integrating TRX payments.
To accept TRX doesn’t mean betting your entire payment infrastructure on it. It can be a smart addition for the right business, especially those operating online or internationally.
