BitTorrent is selling For $140M To Cryptocurrency TRON

In the centralized computer network, BitTorrent is the largest ever platform created. It does not have any servers of its own and only uses the people present on it to store the data. Using this, it eliminates all the server cost which the company has to face. In any Decentralized network (P2P), the people using the system acts as the server. In such a way, every people will have a small piece of data which makes the entire system. Recently, the huge decentralized network of BitTorrent was sold to Justin Sun, CEO of Tron, a blockchain startup. They acquired BitTorrent for a whopping $144 million.

Deal Between BitTorrent & Tron

The deal was going on from past one month. Both the companies were negotiating on the terms without revealing a price to the outside world. Variety reported that the deal was closed between the two companies at a price agreed by both. BitTorrent has been looking out for a buyer for a long time. Sources say that there are still disputed in the terms but it is highly unlikely that the deal will be dropped. Tron has sent a $140 million paperwork to BitTorrent naming the terms and conditions.

BitTorrent

BitTorrent was founded by Ashwin Navin and Bram Cohen in 2004. They wanted to create a P2P network for storing and sharing files between the users. More the users less will be the load on every person’s system and more will be the speed. Any P2P network works without having any servers of their own and uses the system of people for directly storing and sharing the files. One of the main reason the service succeeded was that it is more secure. There is no central repository and hence hackers cannot hack into the system. Hence, BitTorrent became the most common platform for users to share their files. Most of the pirated files are shared using their network as there is no one who can be blamed.

Recently, BitTorrent announced that it has reached 170 million active users. They also claim that 40% of the traffic on the internet traffic is generated through their network. The claim makes them the largest decentralized network officially of the world.

Tron – Blockchain Startup

Tron is one of the emerging startups in blockchain technology. Tron was founded by Justin Sun (ex-worker of Ripple – a cryptocurrency). Tron is aiming to create its own decentralized network and structure. They have launched their cryptocurrency – TRX. TRX is a cryptocurrency which is created for the entertainment industry. Also, Tron has plans to use TRX as a payment for the content available on their network. The company is using TRX as a simple trading option too. TRX has a market cap of $4 billion with each TRX priced at $0.045. But, they have not revealed any plans of how they are going to use the decentralized network for their own purposes.

Verdict

While the BitTorrent was famous and used by millions of people, it was not able to generate any revenue from 2008. It resulted in a lot of changes in the management systems. Interestingly, both the CEO of BitTorrent is working on their own cryptocurrencies. Tron has not revealed the plan yet but it will boost their idea of making the decentralized internet live sooner.

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