The TRON network has introduced a new proposal that potentially can affect the future of TRX significantly. The proposal is to reduce the block generation reward from 16 TRX to 8 TRX and decrease voting rewards for top Super Representatives and partners from 160 TRX to 128 TRX.
The voting for Proposal No. 102 started officially on June 10 and will continue to remain open until June 13 at 2:00 PM (Singapore time). When approved, this proposal would increase TRX’s yearly deflation percentage from 0.85% to 1.29%. Therefore, the creation of a new supply of TRX will decrease. This will render the current token more valuable and also favor the existing TRX holders.
Till now, 9 prominent Super Representatives and community donors have voted for it. Some of these donors are Poloniex, Abra Capital Management, BlockchainOrg, and cryptoAI. However, eighteen other key players like Binance Staking, Google Cloud, OKX Earn, and HTX.COM have not yet voted, leaving the outcome in doubt.
It may help to reduce its inflationary pressure that can support a more stable or even appreciating token price in the long term by increasing the token’s deflation rate from 0.85% to 1.29%.
Meanwhile, as of writing, Tron’s TRX price traded around $0.29 and is over 3% higher in the last 24 hours. As this price continues to rally, it will break out of the key resistance at $0.30, and then it could rise toward $0.33.
The RSI (Relative Strength Index) is at 64 now, indicating that TRX remains strong and on the rise, with no weakness in sight. But because the RSI is nearing the overbought region, the price may dip somewhat first. It may test the $0.27 price before rising again.
Also Read: Analyst Predicts Price Breakout as TRON Transactions Hit 8M