Steemit has entered an extensive strategic partnership with the TRON Foundation. Though TRON is not calling the change an acquisition, it seems that the result will be the same.
According to a Medium post published by TRON on Friday, Feb. 14. The company writes, “TRON and Steemit’s development teams will immediately begin working together to bring Steemit and other Steem blockchain based DApps to TRON blockchain and its community of over 20 million users, products, and services.”
Steem’s main blogging app (Steemit) and the STEEM token will move to TRON in the future. Steem-based DApps will be able to move to TRON as well. However, it is not clear whether migration is voluntary, or whether the Steem blockchain will continue to exist in its current form.
The news also marks an important shift in Steemit’s image. Steemit was created by Dan Larimer, the creator of EOS. Though EOS and Steemit were never officially related, they are closely related in public perception—and that perception may change if TRON manages to reshape Steem’s image.
Tron was supposed to acquire Steemit back in January this year, yet it worked out that Sun alluded to a deal with blockchain-based streaming platform, DLive. Outstandingly, Steemit has another video sharing site called D.Tube that will be relocating to Tron alongside a large number of different dApps.
Since its creation in 2016, Steemit has figured out how to draw in more than 1.2 mln registered users. Like with other blockchain ventures, decentralization is its principle selling point — one can make content that won’t be exposed to balance and control. It likewise compensates content makers with STEEM tokens.
Despite the fact that Steemit is an uncommon case of a fruitful crypto venture with standard appeal, it has experienced financial hardships and leadership reshuffling. Back in November 2018, it needed to lay off 70% of its staff.