Recent data indicates a sharp decline in earnings for block producers in the Tron network, driven by reduced transaction costs.
Decline in Block Producers' Earnings
According to CryptoQuant data, Tron block producers' earnings fell to $5 million per day on September 7, the lowest figure seen in over a year. Before the fee cut, earnings were nearly $14 million per day.
Reasons for the Change
The revenue shift occurred after the community approved Proposal #789 in late August, which halved the cost of energy units used to calculate transaction fees from 210 sun to 100 sun, leading to an average fee reduction of about 60%.
Long-term Prospects for Tron
Proposal author GrothenDI argued that lower costs would attract more users. His projections suggested that the changes could unlock over 12 million additional transactions. Despite the drop in earnings, Tron maintains a dominant market position, accounting for over 92% of all revenue generated by layer-1 blockchains in the past week.
Despite the loss in revenue, Tron shows market resilience by attracting users with more affordable transactions, which may positively impact its long-term outlook.
