Bitcoin and Ethereum laid the foundations that are fundamental to cryptocurrencies, and that now underpin the majority of projects that have since been launched. However, Bitcoin and Ethereum are not interoperable, and this posed a headache for Bitcoin users who wanted to take advantage of Ethereum’s sprawling decentralized finance (DeFi) ecosystem.

This problem was solved with the introduction of Wrapped Bitcoin (WBTC), a form of Bitcoin that’s supported by Ethereum’s architecture and lets Bitcoin holders access Ethereum’s DeFi ecosystem.

This article will look at how WBTC works and the role it has played in the DeFi and the larger crypto space.

Wrapped Bitcoin Price Analysis

Coin Name	Wrapped Bitcoin
Wrapped Bitcoin Symbol	WBTC
Wrapped Bitcoin Price	$60,827.82
Wrapped Bitcoin Price Change 24h	▼ -4.84%
Wrapped Bitcoin Price Change 7d	▼ -5.31%
Wrapped Bitcoin Market Cap	$9,451,669,983
Circulating Supply	155,384 WBTC

WBTC’s price is approximately $67,000 as of March 2024. This value is a drop from its all-time high of around $73,000 in the same month (March 2024) and a surge of over 1,900% from its all-time low of about $3,000 in February 2019.

Factors influencing Wrapped Bitcoin’s price

As it’s pegged to Bitcoin (meaning that its value is directly tied to Bitcoin), Wrapped Bitcoin price behavior will closely mirror Bitcoin’s. Also, with Bitcoin being the leading and most mainstream cryptocurrency, it makes for unique influencing factors. Here are some factors that influence the BTC and WBTC price:

• Institutional involvement: Institutional interest in Bitcoin, whether on its own or on account of Bitcoin derivatives such as ETFs, can lend it legitimacy and cause it to increase in value. At the same time, institutions – especially high-profile ones – abandoning Bitcoin can cause it to fall. This phenomenon was evident when Tesla halted BTC payments in 2021, leading the currency to tumble by 12%.
• Major network events such as the Bitcoin halving: The Bitcoin halving is a protocol change that occurs every four years and slashes the amount of mining rewards in half. The blitz of media coverage surrounding the event typically causes a bump in value for Bitcoin and Wrapped Bitcoin in the following weeks or months.
• Market sentiment: A massive shock to the entire crypto market can affect the market sentiment for BTC. An example is when Bitcoin shed by more than 14% in a single day after FTX (the popular cryptocurrency exchange) filed for bankruptcy in November 2022.

What is Wrapped Bitcoin?

Cryptocurrencies such as Bitcoin and Ethereum exist on their own blockchain and ecosystem, like islands. This creates a problem because if cryptocurrencies were compatible, it would mean better liquidity for traders and a more user-friendly, seamless experience for everyone.

That’s where Wrapped Bitcoin comes in. A version of Bitcoin, Wrapped Bitcoin coin is an ERC-20 token pegged to the value of the original Bitcoin, with the idea being to allow Bitcoin to run on Ethereum.

The Wrapped Bitcoin team envisioned an environment where users of Ethereum-based DeFi protocols, such as Compound, Yearn Finance and Uniswap, can use their Bitcoin for trading, lending, borrowing, yield farming and other DeFi activities.

How does Wrapped Bitcoin work?

The idea of wrapping Bitcoin might conjure up an image of physically wrapping Bitcoin on the blockchain, but this is not the case. So, what are WBTCs? In this context, wrapping Bitcoin refers to creating a copy of the pioneer crypto on the Ethereum blockchain as an ERC20 token – with a 1:1 ratio.Wrapping Bitcoin has several moving parts and counterparties. Here’s how it works: 

• Tokenization: A user sends their Bitcoin to a custodian, who then issues an equivalent amount of WBTC on the Ethereum blockchain. This process is managed by dozens of ‘merchants’, such as Kyber and Ren.
• Custodianship: The custodian holds the deposited Bitcoin securely and issues the corresponding amount of WBTC on Ethereum. This process ensures that each WBTC token is backed by an equivalent amount of BTC in reserve. (As of March 2024, California-based digital asset trust company BitGo is the only custodian for WBTC.)
• Redeeming: Once they’re finished using their WBTC, users can redeem their WBTC for Bitcoin by sending their WBTC back to the custodian, who then releases the equivalent amount of Bitcoin from the reserve. 

Some use cases of Wrapped Bitcoin include: 

• Provides liquidity: Wrapped Bitcoin (WBTC) increases liquidity by allowing Bitcoin holders to convert the currency into a version that can run on Ethereum, improving its liquidity in DeFi.
• Collateral: DeFi users can use WBTC as collateral in DeFi lending protocols to borrow other crypto assets against their Bitcoin without having to sell their Bitcoin.
• Cross-chain trading: As Wrapped Bitcoin can be easily exchanged with other assets supported by Ethereum, users can trade Bitcoin via Ethereum-based DEXes faster and with lower fees than using centralized exchanges (CEXes).

Bitcoin’s consensus mechanism 

Wrapped Bitcoin is an ERC-20 token – meaning that it relies on Ethereum’s proof-of-stake (PoS) consensus mechanism. In PoS, network participants who wish to be validators stake their Ethereum (ETH) to earn the right to verify transactions.For its part, Bitcoin deploys the proof-of-work (PoW) consensus mechanism, which involves miners expending a massive amount of computational power to find the next block and earn a reward for validating the transaction.

Who created Wrapped Bitcoin?

Wrapped Bitcoin was launched in January 2019 by BitGo, the decentralized exchange Kyber Network, and the DeFi platform RenProtocol. 

Wrapped Bitcoin quickly became the most popular wrapped Bitcoin token after it was adopted by major DeFi protocols such as Compound, Gnosis, Maker, DyDx, Set Protocol and Dharma. 

As of March 2024, a decentralized autonomous organization (DAO) is in charge of the project.

Wrapped Bitcoin market performance

As of March 2024, WBTC has a market capitalization (market cap) of about $10bn, which pales in comparison to Bitcoin’s original market cap of over $1tn, and to another leading crypto, Ethereum, whose market cap is around $400bn.

As WBTC is based on BTC, the two coins’ market movements are nearly neck to neck at any moment. Their difference in market cap is due to WBTC’s small total supply of 155,625. BTC’s total supply is 21 million. 

How to buy and store Wrapped Bitcoin

After answering the question of, what is WBTC, it’s importmat to know how to buy and store it. Several exchanges, including CEXes, Binance, KuCoin, ByBit, OKX, Bitget, Kraken and DEXes Balancer (ticker: BAL) and Uniswap (ticker: UNI), have listed Wrapped Bitcoin for trading. CEXes require you to sign up, unlike DEXes. 

If you don’t already have an account, follow these steps to create one and buy WBTC: 

• Step 1: Choose a reputable crypto exchange and follow its prompts to set up an account, including Know Your Customer (KYC) verification if required. 
• Step 2: Fund your account using any of the exchange’s supported methods.
• Step 3: Select WBTC from the trading section, enter the amount you want to buy, and place your order.

Crypto holders who wish to trade actively find it convenient to keep their tokens in exchange for easier access. However, if you want to store your WBTC tokens long term, consider using a self-custody wallet. 

A self-custody wallet gives you complete control over your crypto funds. Unlike an exchange wallet, which is vulnerable to hacks or being frozen if the exchange shuts down, a self-custody wallet gives you autonomy over your crypto funds.

Some examples of wallets that support WBTC include Ledger, Trezor, Electrum, Trust and MetaMask. 

Risks and challenges

Wrapped Bitcoin has opened up a whole world of possibilities for Bitcoin users who want to access Ethereum’s DeFi products. However, as is true for all cryptocurrencies, investing in WBTC is not without risks and challenges. 

One risk is centralization. To get WBTC, custodians have to hold onto your Bitcoin in exchange for WBTC. However, this means relying on a centralized system, which creates a single point of failure. If your custodian got hacked, your WBTC would lose value. This centralization also means that the custodian can choose not to honor the 1:1 backing.

This problem is what Ethereum founder Vitalik Buterin had in mind when he tweeted in 2020: “I’m worried about the trust models of some of these tokens. It would be sad if there ends up being $5b of BTC on Ethereum and the keys are held by a single institution.”

Security risks are another issue related to interacting with WBTC. As WBTC relies on smart contracts on Ethereum, hackers can target vulnerabilities in these smart contracts and steal user funds or manipulate the system one way or another.

Investing in WBTC also comes with the challenge of complexity. Wrapping Bitcoin into WBTC tokens and vice versa involves multiple steps, which can be intimidating for some users. 

How WBTC addresses security concerns 

The WBTC team had the above security risks in mind and instituted several guardrails to address them. Below are just some of them: 

• Quarterly audits: External third parties perform quarterly audits to confirm that all wrapped tokens minted (in circulation) have an equal amount of assets held by custodians. This helps to foster trust in the system.
• Transparency: The WBTC team has implemented several measures to achieve a transparent system, including having all key information about participants, such as merchants and custodians’ Ethereum addresses, and the names and details of all organizations involved.
• Community governance: The token wrapping process involves multiple parties, including custodians, merchants, developers, auditors and users. This mitigates a single point of failure to a certain degree. 

Regulatory and legal aspects of Wrapped Bitcoin

When it comes to Wrapped Bitcoin crypto, there hasn’t been much activity on the part of oversight agencies. However, if they were to regulate the token, they would first classify it as either a security or a commodity.

If classified as a security in the US, for instance, regulation for WBTC would fall under the purview of the Securities and Exchange Commission (SEC). 

On the other hand, if classified as a commodity, WBTC would fall under the regulatory scope of the Commodity Futures Trading Commission (CFTC). 

In both cases, overzealous regulation could potentially scare away users and cause decreased adoption for the token.

It could also put in jeopardy the use case for which WBTC was conceptualized: acting as a bridge between the Bitcoin and Ethereum ecosystems.

Comparing Wrapped Bitcoin to other cryptocurrencies

Wrapped Bitcoin is the most popular form of wrapped token, but there are other versions such as RenBTC by DeFi platform Ren Protocol and tBTC by blockchain privacy solution the Threshold Network. Let’s see how WBTC stacks up against them.

WBTC vs RenBTC

Both WBTC and RenBTC allow Bitcoin holders to interact with the Ethereum DeFi ecosystem. The difference between them is that WBTC is managed by institutions. 

For its part, RenBTC uses a decentralized approach by deploying a decentralized network of nodes called the Ren Virtual Machine (RenVM) to wrap tokens. 

While a decentralized system is more desirable, RenBTC has simply not caught on as much as Wrapped Bitcoin. The latter’s centralized nature, though a potential pitfall, also powers greater liquidity and ease of use for many users.

WBTC vs tBTC

tBTC is another wrapped Bitcoin solution that wants to address the centralization issue of WBTC. 

Instead of trusting a custodian, tBTC relies on cryptography and a randomly chosen group of operators on the Threshold Network to safeguard your Bitcoin. This group of operators is rotated weekly to prevent collusion for theft of holdings.

Even though this decentralized system ensures a more secure system, it hasn’t worked in tBTC’s favor in terms of gaining traction. WBTC remains the go-to wrapped Bitcoin for the vast majority of users.

FAQs

How can I convert WBTC back to Bitcoin?

To convert WBTC back to Bitcoin, send your WBTC tokens to a trusted custodian or exchange that supports exchanging WBTC for BTC. 

Who uses WBTC?

WBTC is used by Bitcoin holders who want to access Ethereum’s DeFi ecosystem to trade, borrow, participate in yield farming, or put up Bitcoin as collateral to borrow other assets against their BTC holdings.

Is WBTC safe to use? 

WBTC is relatively safe thanks to the guardrails that its founders have put in place, such as transparency. However, you should also consider doing your own background check before entrusting your Bitcoin to custodians.

The post Wrapped Bitcoin appeared first on Cryptonews.

These providers are developing solutions to solve problems associated with traditional finance, especially by eliminating intermediaries or central control. Their projects boost accessibility, making it easier for traders, investors and developers to collaborate and offer products and services to one another without limitations. 

Internet Computer (ICP) is a blockchain-based decentralized network designedfor users who want to build decentralized applications (dApps), develop websites, and offer web-based services without third-party control. With a goal to revolutionize how the web works, ICP has been attracting investors so far, evident in its price growth in Q1 2024. But what is ICP, and what should you know before investing in the asset? Keep reading to find out. 

Internet Computer price analysis

Coin Name	Internet Computer
Internet Computer Symbol	ICP
Internet Computer Price	$13.46
Internet Computer Price Change 24h	▼ -0.27%
Internet Computer Price Change 7d	▼ -11.72%
Internet Computer Market Cap	$6,236,817,020
Circulating Supply	463,214,823 ICP

As of March 2024, Internet Computer coin is trading at around $13.46, up over 200% compared to the March 2023 ICP price. The upward trend in ICP’s value primarily stems from the bullish trend in the broader crypto market as of Q1 2024.

During this period, the market’s “Fear and Greed Index” is over 80%, indicating extreme greed and a strong buy sentiment among investors. As a result, top cryptocurrencies such asBitcoin and Ethereum have experienced significant price growth in 2024, which extends into the last month of Q1. 

For context, between February and March 2024, Bitcoin’s price increased by over 30%, and Ethereum’s went up by over 15%. Altcoins such asICP have also experienced similar growth in value, and a further analysis of the token’s price since it began trading in 2020 shows its steady growth in value and use cases:

• 2021: Although the DFINITY Foundation released ICP as an airdrop to its network participants in 2020, it didn’t launch the ICP mainnet blockchain and token until 2021. The ICP price at launch was reported to be around $700, and it attained an all-time high value of about $750 in the same year. 
• 2022: After its impressive price trends in 2021, ICP experienced market volatility, and its price dipped to under $15 at the beginning of 2022. After further price decline during the year, ICP reached new lows of just over $3. 
• 2023: ICP started 2023 with the same downward trend from 2022. The coin dipped to an all-time low price of $2.8 in September 2023, but has steadily risen since then. As of Q4 2023, the coin was trading at around $15 per token, up over 400% between September and December 2023. 

In early 2024, ICP’s price growth continued, reaching approximately $19 per token in March 2024. Although the ICP price at the time of writing is about 97% below the token’s 2021 all-time high price of about $750, it has shown consistent price growth between Q3 2023 and Q1 2024. 

Factors influencing Internet Computer’s price

Like other cryptocurrencies, the crypto market’s volatility is a significant influencer of the price of Internet Computer crypto. As seen in its historical price movement, the 2022 bearish market took the ICP price to new lows, but the bullish sentiment in Q1 2024 has positively impacted the coin’s value. 

Other factors, including technological advancements, market competition, and adoption by developers and users, also influence ICP’s value. The Internet Computer Protocol leverages advanced technologies that enable decentralized and efficient execution of web3 applications and smart contracts.

However, it exists in an ocean of blockchain platforms, including Ethereum and Solana, solving similar decentralization issues for investors and developers. Without broader adoption among these users, ICP may struggle in the crypto market. 

Moreover, external factors such asmarket trends, investor sentiment and regulatory developments in the crypto market can considerably affect the value of ICP. For instance, a large number of investors seeking DeFi tokens can increase ICP’s demand and value. Favorable crypto regulations can equally boost investor confidence and the token’s demand. 

What is Internet Computer?

As the name implies, Internet Computer is a blockchain protocol designed to build an internet for Web3 users. The decentralized platform aims to transform how smart contracts work by executing them at a faster speed than on other blockchains. 

ICP is a cloud platform hosting decentralized applications (dApps) on a distributed network that is more secure, reliable and affordable than traditional cloud computing platforms. It allows developers to process and store data efficiently. Unlike networks such asEthereum, ICP blockchain offers direct integration with the Bitcoin network.

So, it enables smart contracts for holding, sending and receiving BTC without third-party blockchains. It is also scalable and can handle millions of transactions per second. The Internet Computer Protocol has its native utility token called ICP. So, what are ICPs used for in the Internet Computer ecosystem? The token compensates the ecosystem’s nodes, rewards participants for their engagement, and aids governance participation.

How does Internet Computer work?

Usually, centralized websites and applications are hosted on third-party servers across various data centers. For instance, big tech firms such asGoogle and Facebook host various Web2 projects and developers.

However, the tech firms’ operational systems limit developers’ control over their data. ICP aims to solve this issue.Decentralized computing blockchain ICP supports complete decentralization and allows developers to create dApps and build online services on its blockchain.

These users do not need to use traditional cloud computing services that are centralized, less secure and more expensive. Instead, they can build a smart contract software called ‘canister’ to interact with the ICP network and other blockchains without intermediaries. 

Chain key cryptography ICP uses unique chain key cryptography to facilitate the creation of public chain keys, which enable the connected devices to create public chain keys that can verify messages across their networks. For instance, the devices can verify the authenticity of the information from the Internet Computer blockchain using a single public key. 

Subnet blockchainsInternet Computer controls its network using a master subnet blockchain called the Network Nervous System (NNS) and multiple subnet blockchains to boost its scalability and transaction speed. The subnet chains are independent blockchains on the network that connect to strengthen their collective capacity. Applications on ICP can securely communicate with its subnet blockchains, making transactions more efficient.

Who created Internet Computer? 

DFINITY is the company behind the Internet Computer project. The Swiss-based company was founded by Dominic Williams in 2015 and launched ICP in 2021. DFINITY launched the ICP protocol to address the centralization issues prevalent in the traditional internet and computing ecosystem.

As a result, it created the Internet Computer Protocol to decentralize the global internet and computing system. The blockchain allows independent data centers worldwide to connect for transactions, DeFi services and web/app development. 

To achieve its goal, the Internet Computer system ditched the popular proof-of-work and proof-of-stake consensus mechanisms for its proprietary chain key system that facilitates blockchain transactions without intermediaries.

Internet Computer market performance

As of March 2024, Internet Computer crypto is trading at around $19 per ICP token, with a market capitalization of over $8bn. Due to its relatively high market cap, the ICP coin is among the top trading cryptocurrencies by market cap, sitting at position 18 as of late March 2024. 

Compared to major contenders in the DeFi space, ICP ranks lower in terms of market cap. For instance, while ICP’s market cap stood at over $8bn, Ethereum had a market cap of over $400bn as of March 2024.

Solana, a layer-1 blockchain like Internet Computer, also had a higher market cap of over $80bn during the same period. However, ICP has been attracting investors in 2024, with a 200%+ price increase compared to its March 2023 price at the time of writing. ICP’s price increase results from the network’s growing popularity as a full-stack multipurpose software. 

How to buy and store Internet Computer 

As of March 2024, the only place to buy ICP tokens is a centralized exchange. The coin is available on notable CEXs, including Binance, Coinbase and OKX. You can buy ICP on any of these exchanges by followingthe steps below:

• Step 1: Choose a reputable crypto exchange and create a new trading account. 
• Step 2: Complete identity verification (KYC) if required. 
• Step 3: Deposit funds using the supported payment methods. 
• Step 4: Search for ICP in the exchange platform’s markets and buy the desired quantity. 
• Step 5: Transfer the ICP tokens to an external crypto wallet. 

You can also stake the asset for passive income via Binance staking or the Network Nervous System (NNS) DAO controlling the ICP blockchain. However, transferring your ICP coins from an exchange wallet to a self-custodial wallet mitigates the risk of fund loss due to exchange security hacks.

You’ll find diverse hot/software crypto wallets such asMetaMask or Trust Wallet to store your ICP coins or cold/hardware wallets such asLedger and Trezor for offline asset custody. Choosing the right option depends on your preference. So, do your research and select the option that best suits your needs.

Risks and challenges 

Investors may find ICP attractive because of its ability to host any application, including dApps, smart contract applications and tokenized internet websites. The coin’s price growth may also interest investors looking to diversify their portfolios.

However, there are risks to understand before investing in ICP. First, ICP is subject to the prevalent price volatility in the crypto market. As seen in its price history above, the coin has had periods of significant gains and losses. Therefore, it’s crucial to hedge against risks by diversifying your portfolio and leveraging stop-loss orders. 

Another notable challenge of investing in ICP is its presence in a saturated market. Despite its innovative approach to blockchain computing, competitor blockchains, including Polygon, Solana and Ethereum, can implement future developments similar to Internet Computer’s offerings. Asthese blockchains are relatively more prominent in terms of popularity, such developments may hinder ICP’s broader adoption, resulting in potential loss of value. 

Regulatory and legal aspects of Internet Computer 

The crypto market’s regulatory landscape is still uncertain, and new regulations can impact market conditions positively or otherwise. As a result, the market value and potential of cryptocurrencies such asICP remain subject to some amount of uncertainty. 

For instance, in June 2023, the US Securities and Exchange Commission (SEC) released a complaint that ICP was an unregistered security and shouldn’t be listed on Coinbase. The news of the SEC allegation had a considerable effect on the cost of ICP at the time. 

Moreover, newer regulatory frameworks, including data privacy laws, cybersecurity concerns and other legal challenges, can significantly impact ICP’s price and future. Staying updated with the latest trends within the ICP ecosystem and the broader crypto is paramount to managing investment risks. 

Comparing Internet Computer to other cryptocurrencies 

ICP operates in a market with alternative blockchains and competitors. Below, we compare Internet Computer with notable DeFi blockchains to see their pros and cons. 

Internet Computer vs Ethereum 

Both Ethereum and ICP have decentralized networks for developers to run computing applications. However, while Ethereum uses smart contracts for its codes and transactions, ICP uses canisters, which are more scalable. Nonetheless, Ethereum is the leading blockchain for developers, and it hasa larger market cap of over $400bn compared to ICP’s $8bn as of March 2024. 

Internet Computer vs Solana 

Internet Computer and Solana are layer-1 blockchains built to improve network scalability on supported blockchains. However, ICP is more scalable and can execute up to a million instructions per second, whereasSolana is limited to only 65,000 transactions per second. 

Still, Solana has a more extensive ecosystem supporting meme coins, AI tokens and over 400 dApps at the time of writing. Its token value is also trading at around $190 compared to ICP’s approximately $19 as of March 2024.

Internet Computer vs Polygon 

Polygon (MATIC) and Internet Computer were created to provide decentralized services to cryptocurrency traders and developers. Both platforms support dApps and blockchain transactions.

However, ICP is used for relatively fewer transactions than Polygon due to its lower adoption among traders and developers. Nonetheless, ICP is more decentralized and trustworthy. It is also more scalable due to its unique canisters used to facilitate transactions. 

FAQs

How much is 1 ICP token worth?

As of March 2024, ICP trades at around $19 per token. The coin’s price is over 50% compared to its February 2024 price, providing investors with a low-cost alternative to popular cryptocurrencies such asBitcoin and Ethereum. 

How much will ICP be in 2025?

The Internet Computer price predictions among market analysts are optimistic due to the project’s significant price growth in 2024. In 2025, the coin is projected to reach a minimum price of around $31 and a maximum value of approximately $40. 

Is ICP built on Ethereum? 

Although Internet Computer has similar features to Ethereum, including smart contracts and crypto staking, it doesn’t operate on the Ethereum network. Instead, it has its native Internet Computer Protocol for creating dApps and running decentralized computing.

The post Internet Computer appeared first on Cryptonews.

Surpassing more established meme coins such as BONK and FLOKI in terms of market capitalization, Dogwifhat embodies the ongoing trend of Shiba Inu dog-themed cryptocurrencies, which have generated significant attention within the crypto community since DOGE launched in 2013 and received mainstream crypto success with endorsements from high-profile figures such as Elon Musk. This article aims to provide a comprehensive overview of Dogwifhat, addressing everything you need to know about Dogwifhat and answering frequently asked questions.

Dogwifhat price analysis

Coin Name	Dogwifhat
Dogwifhat Symbol	WIF
Dogwifhat Price	$2.68
Dogwifhat Price Change 24h	▼ -2.63%
Dogwifhat Price Change 7d	▼ -10.81%
Dogwifhat Market Cap	$2,673,988,080
Circulating Supply	998,906,139 WIF

Below, we provide an overview of the WIF price and historical data before assessing the features and characteristics of the project. As of April 29, 2024 Dogwifhat price has decreased with a change of -2.63% in the past 24 hours, and trading at a price of $2.68.

Factors influencing Dogwifhat’s price

Cryptocurrency prices are significantly influenced by exchange listings. When major exchanges list a new coin, it generates excitement, enhances trust and reputation, and often results in increased investments. While some major exchanges such as Binance, Bitget and Kraken have chosen to list WIF, there are still other popular exchanges yet to do so, indicating potential for future growth. We have share our Dogwifhat forecast numbers in the Dogwifhat price prediction page that gets updated often.

Other than being listed on Binance, the rise in WIF’s value in early 2024 can be attributed to a broader bullish trend among crypto investors from late 2023 to early 2024. This upward trend correlates with the overall positive sentiment in the crypto market, largely driven by Bitcoin’s surge, reaching a new all-time high of over $70,000 during the same period.

As Bitcoin and other major cryptocurrencies rally leading up to the halving event, investors seeking affordable options with significant potential for growth may turn to meme coins. Significant events such as the Bitcoin halving will also influence the price of cryptocurrencies. The Bitcoin halving, which occurs every four years, typically draws a lot of spotlight on the industry, leading many retail investors to buy in and drive up prices. We’re likely to see this trend holding true for WIF in the next halving.

What is Dogwifhat? 

Launched in late November 2023, Dogwifhat quickly garnered attention within the cryptocurrency community. Dogwifhat is a meme coin that operates on the Solana blockchain. It’s known for its humorous and light-hearted concept, involving a playful and intentional misspelling of ‘dog with hat’, in reference to its logo, which features an image of a Shiba Inu dog sporting a knitted beanie. The dog behind the project itself is called Achi; a popular character on the internet since 2019.

How does Dogwifhat work?

Dogwifhat operates on the Solana blockchain, which is renowned for its rapid and cost-effective transaction capabilities. Dogwifhat utilizes Solana’s transaction validation process, which combines proof-of-history (PoH) and proof-of-stake (PoS) mechanisms. In the PoS mechanism, validators are chosen to generate blocks based on the quantity of SOL tokens they have staked on the network. PoH establishes the existence of transactions and organizes this data in a reliable sequence, thereby accelerating transaction processing. In terms of this complete decentralization, Dogwifhat differs from other meme coins.

Who created Dogwifhat?

It is difficult to identify who exactly created Dogwifhat. The anonymous creator of the project has deliberately maintained a zero wallet balance, indicating no personal stake in the coin’s future. Additionally, the Token Update Authority of the project has been set to zero, effectively preventing the minting of any additional WIF coins. Investors should note that Solana’s WIF is different from Dogwifhat built on Ethereum. The latter was launched by the Twitter user @issa, who claimed to be the original creator of the ‘dogwifhat’ meme back in 2019, but there was no connection between @issa’s coin and the original Solana coin. In fact, the Ethereum-based coin has experienced some significant controversy, facing accusations of insider trading that led to some significant price depreciation.

Dogwifhat market performance

As of March 2024, Dogwifhat’s market capitalization is in the ballpark of $2bn, which positions it as a top Solana ecosystem token. However, WIF’s market cap is relatively low compared to popular meme coins such as Dogecoin and Shiba Inu. For context, as of March 2024, Dogecoin’s market cap is around $26.6bn, and Shiba Inu’s is approximately $19bn. However, as a relatively new coin, WIF has already made an impressive entry into the crypto market with a particularly impressive run in the meme coin rally of Q1 2024.

How to buy and store Dogwifhat 

WIF is listed for trading on several major cryptocurrency exchanges. You can find the coin on centralized exchanges including Binance or KuCoin, or trade on decentralized exchanges using the steps below:

• Step 1: Choose a reputable exchange and sign up for a trading account. 
• Step 2: Complete identity verification (KYC) if required. 
• Step 3: Deposit funds using the supported payment methods. 
• Step 4: Search for WIF in the platform’s market and buy the desired quantity. 
• Step 5: Transfer the WIF tokens to an external crypto wallet. 

Transferring your coins to an external crypto wallet is a good security measure because it protects you from potential losses due to crypto exchange hacks. There are various hot and cold wallets on the market. Do your research and choose the option that best suits your needs.  As WIF runs on the Solana blockchain, investors will require a wallet that supports the network. Potential options include Solflare, Phantom, Coinbase Wallet, Atomic Wallet and Exodus.

The future of Dogwifhat 

Dogwifhat’s developers describe it as “literally a dog with a hat”, emphasizing the lack of utility and future planning for the token. There is not much in the way of an ambitious roadmap, meaning that it is likely that the meme coin’s future will rely on its community and hype.

Risks and challenges 

Dogwifhat has proven that it is a popular option for meme coin investment. With substantial recorded gains between December 2020 and March 2024, early investors have reaped returns in multiple folds.  While this might be tempting, the risks and challenges associated with WIF are worth considering.

The most common challenge of investing in any cryptocurrency is the market uncertainty. The crypto market is volatile, and price swings are inevitable. An unprecedented sharp decline in Dogwifhat’s value will lead to losses.  Also, WIF exists in a highly competitive meme coin market with other top-performing assets such as Dogecoin, Shiba Inu and Pepe. The stiff competition poses a challenge to the project’s mass adoption and growth.

Typically, investors allocate only a small percentage of any portfolio to meme coins. With this in mind, new trends and memes have the potential to steal thunder from WIF, as investors look to reallocate capital they might have allotted to meme coin investment. The lack of knowledge about WIF’s founders also makes it a higher-risk investment, especially considering that it is a meme coin with limited use cases to sustain any increase in valuation.

Its value is backed more by social media hype and less by investors’ interest or sentiment. With this in mind, before investing in meme coins such as Dogwifhat, investors should perform their due diligence and only part with capital they are willing to (potentially) lose. Due diligence can include researching a token’s price history and market sentiment.

Regulatory and legal aspects of Dogwifhat 

As it stands, no regulatory body has explicitly examined or approved WIF’s activities or trading. However, as with all crypto assets, the legislative and regulatory environment is a gray area. Potential regulatory issues could result in legal troubles for the project or an outright removal from cryptocurrency exchanges.

Similarly, the meme coin market faces various regulatory challenges because the tokens lack transparency and accountability, have undefined definitions and classifications, and need investor protection and stability. Regulatory scrutiny around the asset class is likely to negatively impact WIF’s utility, adoption and price action. 

Community and ecosystem  

Strong communities play a crucial role in sustaining and driving meme coins, which lack intrinsic value. These digital assets often serve as humorous outlets for creative expression, providing crypto enthusiasts with a rallying point. This has been evident in the case of Dogwifhat, where community members have embraced the token’s mascot by incorporating it into their profile pictures.

Moreover, the community’s collective effort to raise $650,000 for displaying the image on the Las Vegas Sphere demonstrates their enthusiasm and commitment to promoting the project. Such levels of enthusiasm and pride bode well for the future success of the initiative.

Comparing Dogwifhat to other cryptocurrencies 

WIF exists in a large pool of meme coins. Below, we compare it to its major competitors. 

Dogwifhat vs Shiba Inu 

Dogwifhat and Shiba Inu (SHIB) are two dog-themed meme coins gaining attention in the crypto market. Both coins have risen from being solely meme tokens to impressive crypto projects with a large community. While Dogwifhat uses the PoS consensus mechanism, Shiba Inu uses PoW, making WIF’s throughput faster.

That being said, SHIB remains the second-largest meme coin. It has a market cap of approximately $19bn, which is significantly higher than WIF’s as of March 2024. Relative to its competitor, WIF has a relatively small supply of tokens. This scarcity makes it valuable over the long term. However, the meme coin doesn’t have an iconic reputation attached to it, as Shiba Inu does, which might impact its sustained popularity.

Dogwifhat vs Pepecoin  

Pepecoin (PEPE) and Dogwifhat are new rivals soaring within the meme coin market. However, while WIF leverages Solana, an existing blockchain, to drive its growth, PEPE is a meme token backed by its massive social media presence and dedicated community. WIF’s strong performance as soon as it launched in the market is quite telling of its influence in the crypto arena. 

Dogwifhat vs Solana

Although WIF runs on the Solana (SOL) blockchain, they are different projects entirely. Solana is a standalone network capable of scalability and fast transactions. WIF leverages these features to operate, but it is primarily a meme coin project with limited use cases. Solana is also a better store of value, trading at around $150 per token at the time of writing (March 2024) compared to WIF’s price of approximately $0.00003. 

FAQs 

What are Dogwifhats?

Dogwifhat is a meme-inspired cryptocurrency based on the Solana blockchain, that features a Shiba Inu dog sporting a pink knitted hat. Dogwifhat was launched in November 2023 and has become a popular meme coin in 2024.

How much is one Dogwifhat to buy?

At the time of writing, Dogwifhat is trading at around $3 per unit, but cryptocurrencies are volatile and prices are prone to sudden and sharp changes. Set price alerts to keep updated about any WIF price movement.

Is Dogwifhat actually safe?

Like all cryptoassets, WIF has inherent risks. When interacting with the asset, be sure to observe best practices, such as conducting thorough research about the coin and it’s price history, securing your tokens safely in a wallet, and only investing money you can afford to lose.

The post Dogwifhat appeared first on Cryptonews.

Floki, sometimes referred to as Floki Inu, is a meme status coin built on both the Ethereum blockchain and the Binance Smart Chain (BSC). Like other dog-themed coins, Floki is a fun coin created through a viral social media moment inspired by Elon Musk’s pet dog. However, its growth has been impressive since it launched. So, what is Floki, and what should you know about the coin before investing? This guide will explore the details and explain all that you need to know.

FLOKI price analysis

Coin Name	Floki Inu
Floki Inu Symbol	FLOKI
Floki Inu Price	$0.000164
Floki Inu Price Change 24h	▼ -7.61%
Floki Inu Price Change 7d	▼ -7.60%
Floki Inu Market Cap	$1,574,762,110
Circulating Supply	9,569,569,339,806 FLOKI

What are Flokis? As an investor, it’s crucial to know the answer to this question, as detailed knowledge will help you make informed decisions when investing. However, before exploring the meme coin, let’s consider the FLOKI price and historical data. As of March 2024, FLOKI’s price is approximately $0.0003 per token, up over 700% compared to its February 2024 price. The significant increase in Floki’s value at the time stems from the generally optimistic crypto market experiencing strong bullish trends.

During the same period, Bitcoin attained a new all-time high of over $70,000, causing a surge in the presence of retail and institutional investors within the crypto market. An overview of Floki’s price history gives insights into the coin’s growth since its inception:

• 2021: When Floki launched in 2021, the coin started trading at $0.0000036 per token. It would reach a high of $0.0000747 in October and close the year at $0.0000998. 
• 2022: The FLOKI price further peaked in 2021, starting the year at $0.0001043 per token. However, due to the prevailing bear market, the upward trend was short-lived, and the price reached a low of $0.00000557 in July. 
• 2023: Floki had some good moments in 2023, especially after Binance announced the coin’s inclusion in its “Innovation Zone”. Ultimately, it closed the year at around $0.0000352. 

At a March 2024 price of about $0.0003, FLOKI has soared by over 7,000% since it started trading. The coin sits among the top rallying meme coins on the market, outperforming more prominent competitors such as Dogecoin and Shiba Inu between February and March 2024. 

Factors influencing FLOKI’s price 

The primary influencer of Floki’s price is the increased bullish sentiment in the broader crypto market. As a result, investors seek affordable cryptocurrencies to buy, especially in the meme coin market. Besides the meme coin frenzy, another possible factor for the coin’s increased interest among whales and traders is the Floki Decentralized Autonomous Organization (DAO) announcement to burn over 190 billion tokens. Removing the massive number from its circulating supply can positively impact the Floki price, which is why traders invest in their numbers. 

What is Floki?

Tagged ‘The People’s Crypto’, Floki is a community-driven meme coin inspired by Shiba Inu, another meme coin. The creators of Floki designed the dog-themed coin after Elon Musk tweeted that he would name his Shiba Inu pet dog Floki. So, just like its predecessors, Floki is a fun, satirical coin leveraging the dog-themed meme coin popularity started by Dogecoin and Shiba Inu. However, the Floki project has expanded beyond being a Musk-inspired cryptocurrency to having unique goals and ambitions.

It has an ecosystem powered by the FLOKI coin, with various features for gamers and investors seeking to stake the asset. Moreover, the FLOKI coin is a tradeable asset on major cryptocurrency exchanges. 

How does FLOKI work?

FLOKI is a meme coin that has been gaining traction ever since it launched. Here’s how the coin operates. 

Multi-chain protocol

Although it was launched on the Ethereum blockchain, Floki is one of the cryptocurrencies with the multi-chain protocol feature. The coin also operates on the Binance Smart Chain, making it a BEP-20 and ERC-20 token. Because of its interoperability, Floki holders can operate and transact across both chains effortlessly using the coin. Moreover, Floki’s 3% tax on buy or sell transactions doesn’t apply to transfers between the two blockchains. 

Proof-of-stake consensus mechanism

Floki transactions are validated using the proof-of-stake consensus mechanism. So, users can enter smart contracts by staking their assets and earn periodic rewards for validating transactions. The validation structure makes the network scalable and boosts its transaction speed.  

Burn mechanism 

As stated earlier, Floki’s DAO passed a proposal to commence the project’s burn mechanism, executed in March 2024. At the time, 190 billion FLOKI tokens worth over $47m were burned to reduce the coin’s circulating supply. This makes FLOKI a deflationary token, as the token burn can potentially increase its value over time. However, there’s no guarantee that this will happen because of the volatile nature of the crypto market. 

Broad Web3 ecosystem 

Something else that sets Floki apart from its competitors is its expansive ecosystem for Web3 enthusiasts and investors. The Floki ecosystem comprises:

• Floki Valhalla: A play-to-earn metaverse game for Floki holders. The FLOKI token powers the non-fungible token (NFT) metaverse game. 
• FlokiFi: A decentralized finance (DeFi) platform where Floki holders can access features such as liquidity pools, NFTs, fungible tokens and other DeFi utilities. 
• Floki prepaid cards: A next-generation way to generate and fund a prepaid virtual Visa or Mastercard debit card for digital payments using FLOKI tokens and other cryptocurrencies. 
• Floki Places: A decentralized NFT marketplace powered by Floki for trading merchandise and other NFT-backed digital assets.
• University of Floki: A crypto education platform for newbies to learn about cryptocurrency and blockchain technology. 

Who created Floki?

According to the project’s website, Floki was launched in 2021 by a core team championed by the lead developer Jackie Xu.  Xu is a notable figure in the crypto industry and is supported by co-contributors such as B (Da Viking), Sabre and Mr. Brown (Whale), while Lintern manages the Floki community. The project’s team developed Floki to ride on Elon Musk’s social media clout after he said that he would name his pet dog Floki. So, it’s a fun meme coin ‘for the people’.

FLOKI market performance

As of March 2024, FLOKI’s trading price is around $0.0003, with a market capitalization of over $2bn. Floki ranks among the top cryptocurrencies by market cap at the time of writing, with a similar average trading volume to Bonk Inu, another popular dog-themed meme coin. However, ranked just outside the top 50 cryptocurrencies by market cap in March 2024, Floki is situated a fair distance away top meme coins such as Shiba Inu and Dogecoin. SHIB’s market cap is approximately $19bn at the time of writing, while DOGE’s market cap is around $25bn. Nonetheless, Floki has grown impressively in the meme coin ecosystem, forging a path among the well-known dog coins. 

How to buy and store FLOKI 

Floki is a tradeable asset on major centralized and decentralized exchanges. You can find the coin on centralized exchanges such as Binance, KuCoin and OKX. Using the steps below, you can also trade on decentralized exchanges such as OKX DEX, BiSwap and Uniswap. 

• Step 1: Choose a preferred exchange and sign up for a trading account. 

• Step 2: Complete identity verification (KYC) if required. 

• Step 3: Deposit funds using the supported payment methods. 

• Step 4: Search for FLOKI on the platform and buy the desired quantity. 

• Step 5: Transfer the FLOKI tokens to a self-custodial crypto wallet. 

Transferring your coins to an external crypto wallet helps you hedge against potential losses due to exchange hacks. Many hot and cold wallets are on the market for self-asset custody. Do your research and choose the option that best suits your needs.  

The future of Floki

According to the Floki whitepaper, the development team aims to make it one of the most popular and most used cryptocurrencies. To achieve this, the project has expanded its ecosystem by partnering with Binance Pay for crypto payments, spreading into the Chinese crypto market, and introducing various ecosystem features, including FlokiFi. Future project developments include more expansions into the metaverse market through Valhalla and the tokenization market through TokenFi.

The developments will see Floki build products in both markets to improve its use cases and future demand. The Floki price predictions are also optimistic, as market analysts believe that future expansion, especially after its burn mechanism implementation, will drive the coin’s growth. The meme coin is predicted to reach $0.00039 by the end of 2024 and a yearly high of $0.00143 by 2025 due to these reasons.

Risks and challenges 

Floki’s impressive run in the market since launch makes it an attractive consideration for investors interested in meme coin investing. This being said, it is worth considering what risks and challenges exist. The most common challenge of investing in any cryptocurrency is the market uncertainty. The crypto market is volatile, and price swings are inevitable. An unprecedented sharp decline in Floki’s value will lead to losses.  Also, Floki exists in a highly competitive meme coin market with other top-performing assets such as Dogecoin, Shiba Inu and Pepe.

The stiff competition poses a challenge to Bonk’s mass adoption and growth. What’s more, the crypto market is uncertain in terms of regulation. With varying laws and gray areas surrounding crypto investing in most regions, unfavorable regulatory developments can negatively impact Floki’s value.

Secondly, meme coins such as Floki are riskier than major cryptocurrencies because their values strongly depend on social media hype rather than genuine utility. The highly competitive meme coin market also challenges Floki’s growth, as it’s struggling for a place among other top-performing tokens such as Pepe, Shiba Inu, Bonk and Dogecoin. 

Regulatory and legal aspects of Floki

The crypto market still needs legal clarity, especially in the US. As we await future decisions from governing bodies such as the US Securities and Exchange Commission (SEC), potential regulatory issues could affect the project’s future.

Also, the project’s meme coin status exposes it to regulatory scrutiny. Such tokens have undefined definitions and classifications according to the law. Potential stringent regulatory frameworks will negatively impact Floki’s value and potential. 

Community and ecosystem 

Floki is more than a meme coin – it’s a movement driven by a strong community of Web3 developers, creators and investors. The Floki DAO is composed of community members saddled with the responsibility of determining the project’s future. Outside of Floki’s immediate environment, the community champions charitable causes. It previously partnered with Binance Charity to donate to earthquake survivors in Turkey. Floki also built schools in underdeveloped countries such as Ghana, Nigeria, Laos and Guatemala, with the plan to add to the number in the future. Ultimately, as the Floki community thrives, the token will gain more popularity as it’s the utility token powering the ecosystem. 

Comparing FLOKI to other cryptocurrencies 

How does Floki compare to other popular coins in the meme coin market? 

Floki vs Shiba Inu 

Floki and Shiba Inu (SHIB) have a similar history. Both tokens are sons of Dogecoin, the first meme cryptocurrency. Their popularity is also connected to Elon Musk. However, while both tokens have grown in value over time, Shiba hasa market cap of approximately $19bn, compared to Floki’s market cap of over $2bn. Conversely, Floki has a more robust ecosystem with various centralized and decentralized finance features. 

Floki vs Dogecoin 

Floki and Dogecoin (DOGE) are similar dog-themed coins in the meme coin ecosystem. Both coins’ values are highly influenced by social media hype and have rewarded early investors. However, despite Floki’s recent strides, Dogecoin has a significantly higher market cap with the potential to reach higher values. Floki’s market cap as of March 2024 is over $2bn, compared to Dogecoin’s approximately $25bn market cap. 

Floki vs Bonk Inu 

Floki Inu and Bonk Inu (BONK) are making headlines due to their significant growth in the meme coin ecosystem. Both coins belong to the dog family, leveraging the popularity of Shiba Inu and Dogecoin. However, while Bonk Inu is the utility token of a more extensive Solana ecosystem, Floki Inu is limited to only its ecosystem. Conversely, Floki offers broader use cases with its Web3 ecosystem features for DeFi users. 

FAQs

How much is 1 FLOKI worth?

As of March 2024, Floki’s trading price is approximately $0.0003 per token. With an increase of over 700% compared to the previous month, Floki is a low-cost option for investors interested in the meme coin market.

Is Floki actually safe?

Floki is a meme coin and, thus, a speculative investment. Although the coin has rewarded early investors, it is risky due to its high price volatility. 

Where is the best place to buy FLOKI? 

Investors can buy Floki on different centralized and decentralized exchanges. The coin is listed on reputable trading platforms such as Binance, Coinbase, KuCoin and Uniswap. However, the best option depends on your needs and preferences.

The post Floki Inu appeared first on Cryptonews.

BONK is a relatively new meme coin built on the Solana blockchain. The coin was created as a fun token for the Solana community members, but it has been gaining attention because of its significant growth since it launched. So, what is BONK, and what should you know about the Bonk project before investing? Read our detailed guide to find out more about the project, the coin, and its potential in 2024.

Bonk price analysis

Coin data not available

Below, we give a quick overview of the BONK price and historical data before assessing its features and answering the question, ‘what are Bonks?’As of March 2024, BONK’s price stands at about $0.00003 per token, up by around 140% compared to its February 2024 price.

The surge in Bonk’s price in Q1 2024 stems from the bullish sentiment in the broader crypto market. This is mainly driven by Bitcoin’s massive growth, having attained a new all-time high of over $70,000 in March.A review of Bonk’s price history shows that the coin has grown significantly since its launch, and highlights some interesting price trends:

• 2022: BONK was launched as an airdrop for Solana community members in December 2022, and its price was around $0.0000001.
• 2023: The Bonk price peaked in January 2023 to reach around $0.000003. It would later surge to about $0.000024 by December 2023, but it then dropped again to close the year at around $0.000014.
• 2024: In January 2024, BONK’s value further declined to around $0.00001, but it has maintained an upward trajectory since, reaching an all-time high of around $0.000040 in March 2024.

At a price of about $0.00003 in March 2024, BONK has soared by over 27,000% since its exchange listing, making it one of the best rallying coins in the meme coin ecosystem. Comparatively, it has grown more than Dogecoin, the best known meme coin, since February 2024. 

Factors influencing Bonk’s price

The significant uptrend in Bonk’s value in early 2024 is primarily due to the increased bullish trend among crypto investors between late 2023 and early 2024. With Bitcoin, Ethereum and other major cryptocurrencies rallying as the market approaches a Bitcoin halving event, investors look to the meme coin market for affordable coins with untapped, and significant upside, potential.

Besides the massive meme coin attention and the overall bullish market sentiment, Bonk’s price pump can also be attributed to increased adoption by Solana users. For instance, as more Solana projects pay to mint non-fungible tokens (NFTs), the demand for BONK increases as it gains popularity as the ecosystem’s utility token. As the Solana ecosystem continues to gain popularity and expand, BONK thrives as a fun utility token with a strong and dedicated community.

What is Bonk?

Described as the ‘Solana dog coin for the people’, Bonk is a meme coin with a community-centric approach. Like other meme tokens, Bonk was inspired by social media hype and humor. The BONK token was launched as an airdrop coin for the Solana ecosystem. The creators developed it to compensate and encourage investors after the 2022 FTX collapse, which resulted in a massive decline in SOL’s value because of its connection to the defunct FTX founder Sam Bankman-Fried.

While investors can buy and sell BONK on cryptocurrency exchanges or stake the coin for passive income, it has since transitioned from being a niche meme coin project to serving as a utility token for payments and a social token for raffles and games within the Solana ecosystem. 

How does Bonk work?

Primarily, BONK is a light-hearted token within the Solana ecosystem. It helps the community boost liquidity through trading and staking. But how does Bonk work?

Proof of history and proof of stake 

Since it is built on Solana, Bonk combines the same proof-of-history (PoH) and proof-of-stake (PoS) consensus model that the Solana blockchain uses. As such, the network’s capacity is enhanced to boost scalability and process speedy transactions.

Similarly, Bonk relies on network validators who stake their BONK tokens using smart contracts to execute transactions. The validators earn periodic rewards on their staked assets for securing the network. 

Deflationary token 

Bonk is a deflationary token that uses the burn mechanism to maintain value and hedge against inflation. It has a maximum supply of 1 billion tokens, with over 65% permanently removed from circulation. The burn mechanism sets Bonk apart from many top cryptocurrencies. Its reduced supply can potentially result in an increase in value for holders in the future, adhering to the nature of supply and demand dynamics.

Expansive ecosystem 

Another reason for Bonk’s virality is its extensive ecosystem, with a suite of products and services for crypto trading and asset custody. The Bonk ecosystem comprises:

• BonkSwap: A decentralized exchange (DEX) for trading BONK and other assets.
• BonkDEX: A decentralized finance (DeFi) platform supporting DeFi activities such as staking, lending and borrowing within the Bonk ecosystem.
• BonkVault: An external crypto wallet for users to securely store BONK and other digital assets.
• NFT Marketplace: A decentralized platform for digital creators to mint and trade NFTs within the Bonk and Solana ecosystems. 

Who created Bonk?

Bonk Inu was created by anonymous developers as ‘compensation’ to Solana users and investors after the FTX collapse. However, asit’s a project championed by Solana, many people believe that the Solana founders, Anatoly Yakovenko and Raj Gokal, are involved with the Bonk project in some regard.

According to Bonk’s whitepaper, the project’s team wanted to eliminate the toxic ‘Alameda’ tokenomics in SOL and decided to create a fun and egalitarian meme coin that catered to everyone. The token was also created to boost liquidity in the Solana ecosystem, which had crumbled weeks before due to the FTX saga.

Bonk market performance 

As of March 2024, BONK is trading at about $0.00003 per token, with a market capitalization of nearly $2bn. The current BONK data places it among the top-ranking cryptocurrencies.Bonk’s market cap is nearly the same as that of Dogwifhat, a top Solana ecosystem token with a market cap value of almost $2bn at press time.

However, Bonk’s market cap is relatively lower compared to popular meme coins such as Dogecoin and Shiba Inu. For context, Dogecoin’s market cap is around $26.6bn, and Shiba Inu’s is approximately $19bn. However, Bonk is relatively new and has already made an impressive entry into the crypto market, with a particularly impressive rally in Q1 2024.

How to buy and store Bonk

Bonk is available for trading on major cryptocurrency exchanges. You can find the coin on centralized exchanges such asBinance and Coinbase, or trade on decentralized exchanges such asOKX DEX using the steps below:

• Step 1: Choose a reputable exchange and sign up for a trading account. 
• Step 2: Complete identity verification (KYC) if required. 
• Step 3: Deposit funds using the supported payment methods. 
• Step 4: Search for BONK in the platform’s market and buy the desired quantity. 
• Step 5: Transfer the BONK tokens to an external crypto wallet. 

Transferring your coins to an external crypto wallet is a good security measure because it protects you from potential losses due to crypto exchange hacks. There are various hot and cold wallets available on the market. Do your research and choose the option that best suits your needs.  

The future of Bonk 

There is a considerable amount in store for Bonk in terms of potential growth and future developments. Since the token transitioned from being just a meme coin for rewarding SOL users, the development team has expanded its use cases and ecosystem. With key projects such asBonkSwap, BonkBot, BuyBonk and BonkRewards, the project is likely to attract more developers and investors to itself, and to Solana, as it grows.

Similarly, Solana’s future expansions will rub off on the Bonk ecosystem. As a fast-growing Ethereum competitor, SOL is poised to become a hub for decentralized applications (dApps) and DeFi users. Ultimately, the symbiotic relationship between Solana and Bonk will positively impact each project’s future trajectory and possibilities. Regarding Bonk price predictions, market analysts are optimistic that the best is yet to come. With potential high prices of about $0.00008 in 2024 and $0.00009 in 2025, the BONK gains may not be over. 

Risks and challenges 

Over time, Bonk has demonstrated that it is a popular, short-term option for investors. With recorded gains of over 26,000% between December 2020 and March 2024, early investors have reaped returns in multiple folds.  While this might be tempting, the risks and challenges associated with Bonk are worth considering. The most common challenge of investing in any cryptocurrency is the market uncertainty.

The crypto market is volatile, and price swings are inevitable. An unprecedented sharp decline in Bonk’s value will lead to losses.  Also, Bonk exists in a highly competitive meme coin market with other top-performing assets such as Dogecoin, Shiba Inu and Pepe. The stiff competition poses a challenge to Bonk’s mass adoption and growth. 

The lack of information about Bonk’s founders also makes it risky, considering it is a meme coin with limited utility. Its value is primarily backed by social media hype and less by investors’ interest or sentiment.  Finally, technical challenges within the Solana blockchain remain a worry for Bonk investors. In early February 2024, the Solana blockchain had a downtime that lasted over four hours. The report from Solana days later showed that a bug in the blockchain’s caching code caused the outage.  

Regulatory and legal aspects of Bonk 

As it stands, no regulatory body has explicitly examined or approved Bonk’s activities or trading. But, as with all crypto assets, the legislative and regulatory environment is a gray area. Potential regulatory issues could result in legal troubles for the project or an outright removal from cryptocurrency exchanges.

Similarly, the meme coin market faces various regulatory challenges because the tokens lack transparency and accountability, have undefined definitions and classifications, and need investor protection and stability. Regulatory scrutiny around the asset class is likely to negatively impact Bonk’s utility, adoption and price action. 

Community and ecosystem 

Bonk is a community-driven asset. The coin champions a community of Web3 users, particularly those on the Solana network. The community comprises a thriving ecosystem of developers, creators and investors, intending to attract prospective users to Bonk and Solana. Bonk is striving to become ‘the community coin of Solana’, and its ecosystem users have a significant role to play in achieving the vision. 

Comparing Bonk to other cryptocurrencies

Bonk exists amongst a large collection of other meme coins. Below, we compare the dog-themed SOL coin to major competitors. 

Bonk vs Shiba Inu 

Bonk and Shiba Inu are two dog-themed meme coins gaining attention in the crypto market. Both coins have risen from being solely meme tokens to impressive crypto projects. While Bonk uses the PoS consensus mechanism, Shiba Inu uses PoW, making Bonk’s throughput faster. However, SHIB remains the second-largest meme coin. It has a market cap of approximately $19bn, which is about 10 times Bonk’s market cap as of March 2024. 

Bonk vs Pepecoin  

Pepecoin and Bonk are new rivals soaring within the meme coin market. However, while BONK leverages Solana, an existing blockchain, to drive its growth, PEPE is a meme token backed by its massive social media presence and dedicated community.

Bonk vs Solana 

Although Bonk runs on the Solana blockchain, they are different. Solana is a standalone network capable of scalability and fast transactions. Bonk leverages these features to operate, but it’s originally a meme coin project with limited use cases. Solana is also a better store of value, trading at around $150 per token at the time of writing (March 2024) compared to Bonk’s approximated $0.00003 price. 

FAQs

How much is 1 Bonk worth?

As of March 2024, one unit of Bonk Inu costs about $0.00003, meaning investors can obtain a substantial quantity of BONK for a relatively low cost.

Is Bonk a safe investment? 

Like all cryptocurrencies, Bonk is a speculative investment with inherent risks of volatility and regulatory changes. While it has rewarded early investors, buying BONK has no guarantee of profit. Crypto investors can always seek to mitigate risk by diversification between and within asset types, and storing any crypto assets securely in a suitable wallet.

Where can I buy Bonk?

Bonk is trading on various centralized and decentralized exchanges, including Binance, Coinbase and OKX DEX. You can buy, sell and invest in the meme cryptocurrency on an exchange of your choice.

The post Bonk appeared first on Cryptonews.

Smog is one of the latest additions to the meme coin market. Designed as a dragon-themed token by its developers, Smog joins other meme coins on the Solana network. Smog has been growing in price following rumors of a potential Binance exchange listing. But what is Smog, and why is it a token to watch out for? Read on to find out. 

Smog price analysis

Coin Name	Smog
Smog Price	$0.0581
Smog Price Change 24h	▼ -9.62%
Smog Price Change 7d	▼ -36.40%
Smog Market Cap	$45,295,473
Circulating Supply	778,999,968 SMOG

Before we look at Smog crypto, let’s review its historical price data for insights into how the token has performed since its inception. As of $0.0581, the Smog coin price is around April 29, 2024 per token, up over 200% compared to the February 2024 Smog prices.

The primary reason for Smog’s impressive price increase is the generally bullish sentiment among crypto traders in Q1 2024. At the time of writing, leading cryptocurrencies such asBitcoin and Ethereum are rallying. As of March 2024, BTC has grown by over 20% and Ethereum has surged by about 17% compared to February 2024, and the optimistic market conditions during that time have rubbed off on meme coins. 

Although the Smog price stands at about $0.2 at the time of writing, the meme coin’s price has increased by over 300% since it started trading in February 2024. It is one of the top emerging cryptocurrencies in the meme coin market, outperforming notable competitors such as Dogecoin, Shiba Inu and Bonk Inu between February and March 2024.

Factors influencing Smog’s price

Smog’s price action is majorly influenced by the bullish sentiment in the broader crypto market. The optimistic sentiment, championed by Bitcoin’s dominance, motivates investors to diversify their portfolios with high-performing meme coins such as Smog.

Moreover, meme coins thrive during bullish periods, and investors opt for them as they anticipate the 2024 Bitcoin halving. Another reason for the increase in Smog’s value is its meme coin status. Having joined the meme coin ecosystem when meme coins were rallying, investors are locking in the Smog token because of its impressive run within a short period. 

Moreover, SMOG crypto belongs to the rapidly growing Solana ecosystem, and the new meme token benefits from investors’ interest in the blockchain and its associated coins. For instance, Bonk, another meme coin on Solana, has experienced sensational growth of over 20,000% since 2022. 

Meme coins are also driven by social media hype, and Smog is no exception. Prominent crypto YouTubers such as Gerhard – Bitcoin Strategy and Matthew Perry have discussed the token, contributing to the widespread mainstream attention. Furthermore, an upcoming centralized exchange (CEX) listing on platforms such as Binance is rumored to be in the works for Smog, causing a bullish sentiment among investors because of the potential growth after a CEX listing. 

What is Smog?

Smog is a new Solana-based meme coin. Like Bonk, the Smog Coin project was launched as an airdrop to reward Solana network users. Community members can buy and hold $SMOG tokens to earn airdrop points to qualify and receive rewards in Solana’s airdrop bounty competitions.  Despite its limited utility, Smog’s community has grown due to its impressive marketing campaign, especially after partnering with Zealy (a social media engagement platform) for airdrops.

Smog’s partnership with Zealy further strives to drive community engagement through daily and weekly contests. Users can accumulate airdrop points through these competitions and enjoy a gamified user experience. The effective marketing has rubbed off on the project’s community, which is composed of 19,000+ Telegram community members between February and March 2024. The large community continues to drive the project. 

Another exciting aspect of Smog is its multi-chain compatibility. After launching on Solana, the $SMOG token expanded to the Ethereum blockchain for a wider reach. Its website also suggests that the dragon coin may be spreading to more chains in the future. 

How does Smog work?

We’ve established that Smog is a new meme coin for the Solana community. Now, let’s explore how the coin works. 

Multi-chain functionality Smog strives to create a wider reach with its multi-chain protocol. The token is primarily built on Solana, but has expanded to Ethereum, causing additional interest among traders. Its operation across multiple blockchain networks has positively impacted holders, who find it more accessible to purchase and invest in the token. 

Proof-of-stake consensus mechanism Staking is one of the core features of the Smog project. Smog holders who stake the coin long term can enjoy staking rewards of up to a 42% annual percentage yield (APY). These investors achieve this by providing liquidity to the staking pool and entering smart contracts for transaction validation. The validation model makes the network scalable and boosts transaction throughput. 

Airdrop campaigns Smog organizes bounty airdrop contests for its community members. The extensive airdrop campaigns foster community growth and improved token distribution. For context, 35% of Smog’s total supply is dedicated to the platform’s airdrop campaigns. As a result, Smog has been attracting investors and has become one of Solana’s top meme coins in 2024.

Gamified rewards The Smog reward system is unconventional. With daily gamified contests through its partnership with Zealy, users can enjoy an immersive experience that is more engaging and community-driven. 

DEX listing As of March 2024, SMOG is only trading on Solana DEXs, including Raydium and Jupiter, to strengthen its fair launch process and enhance transparent trading. However, there are conversations taking placewithin the crypto arena about a potential Binance listing as the project continues to expand. 

Who created Smog?

There’s no information available about Smog’s founding team on the project’s website. Market analysts believe that they wish to remainanonymous.According to the Smog website, the token’s creators developed it as a reward system for members of the Solana and Ethereum networks. Its characteristic as a reward token makes it possible for users to collect airdrop points for a shot at winning from the grand airdrop activity. 

Smog market performance 

As of March 2024, Smog is trading for about $0.2 per token, with a market capitalization of just over $150m. Smog’s low market cap places it among the least-traded coins in the broader crypto market. However, the coin has performed decently, considering that it is still in its early stages. 

As of March 2024, price data indicates that Smog is far away from popular meme coins such as Shina Inu, Dogecoin and Bonk (another Solana-based token) in terms of market cap. Dogecoin hasthe largest market cap in the meme coin market, with a value of over $22bn. Shiba Inu follows with a market cap of over $15bn. Bonk’s market cap of over $1bn is currently nearly seven times that of Smog. However, Smog hasn’t been around for long, so its fast growth in the meme coin ecosystem has been impressive. 

How to buy and store Smog 

As stated earlier, Smog is only trading on Solana DEXs as of March 2024. You can find the coin on exchanges such asRaydium and Jupiter. These Solana-based cryptocurrency exchanges require no KYC, and you can trade Smog by following the steps listed below:

• Step 1: Choose a preferred exchange and sign up for a trading account. 
• Step 2: Deposit SOL, USDT or BONK using the supported payment methods. 
• Step 3: Connect your Phantom or another Solana wallet. 
• Step 4: Search for $SMOG on the platform and buy the desired quantity. 
• Step 5: Transfer the $SMOG tokens to a self-custodial crypto wallet. 

After purchase, transferring your Smog tokens to an external crypto wallet is a proactive security approach to hedge against potential losses due to exchange hacks. Many self-custodial hot and cold wallets are available on the market to choose from. Do your research and select the option that best suits your needs.  

The future of Smog

The Smog development team is aiming to foster a strong community with ongoing rewards, especially airdrops. Phases two and three of the project’s roadmap will see the recruitment of a combined 110,000+ Loyal Chosen (community members), more airdrop launches and potential coin-burning opportunities.

Smog price predictions are also optimistic because market analysts believe that Smog’s appeal will continue to grow as community members drive the project. With 50% of its total token supply dedicated to marketing efforts and the project’s commitment to social dominance, they predict a broader market presence in the long run. Also, a CEX listing on a global exchange such as Binance is likely to significantly impact Smog’s value and potential in the long term.

This is because of the opportunity of the token being available to millions of traders on such cryptocurrency exchanges. The listing will also boost the project’s legitimacy and potentially result in upward price growth. For instance, BOME token increased by about 250% hours after getting listed on Binance. Regarding its potential value, Smog is projected to fall to $0.15 by the end of 2024 due to market correction. However, the coin is expected to ascend to a high price of $0.7 by 2030 due to the potential exchange listing and the project’s long-term potential.

Risks and challenges 

Considering its impressive market run and the considerable attention it has received from meme coin investors, investing in Smog may be enticing. However, while its significant growth and past market trends seem appealing, there are risks and challenges that investors must know about the coin. First, investing in cryptocurrencies is risky because of their volatile nature.

Meme coins such as Smog are considered even riskier because their values are easily impacted by social media hype and external market forces. Also, the meme coin space is saturated with tokens. As projects such as Shiba Inu, Dogecoin and Bonk continue to grow, it will become harder for Smog to dominate the market. 

Regulatory and legal aspects of Smog 

The crypto market remains largely unregulated, and the need for better legal clarity remains a top consideration for Smog investors. With governing bodies such asthe US Securities and Exchange Commission (SEC) striving for clear regulatory frameworks, regulatory issues may arise and negatively impact Smog. Moreover, Smog is a meme coin, and tokens in its category face regulatory challenges. This is because the SEC has notdefined and classified meme coins. Smog’s price and popularity may take a hit if the SEC continues to develop stringent regulatory frameworks. 

Community and ecosystem 

Smog’s community is arguably the project’s biggest asset. The coin is solely a community-driven asset that users in the Solana and Ethereum ecosystems champion. The project’s strong community support is valuable for driving wider adoption as it evolves. Through its unique airdrop campaign and gamified quests championed by its partnership with Zealy, Smog will push an innovative community engagement system to encourage long-term participation for holders. 

Comparing Smog to other cryptocurrencies 

How does Smog stand when compared with notable competitors in the meme coin market?

Smog vs Dogecoin 

Smog and Dogecoin are similar in structure. Both are meme coins with a history of rewarding earlier investors. However, while Dogecoin is a pioneer meme coin, Smog is relatively new. Moreover, Dogecoin has a market cap of over $22bn, compared to Smog’s market cap of over$150m as of March 2024. However,Smog has had an impressive performance since the previous month. 

Smog vs Shiba Inu 

Smog and Shiba Inu are two humorous tokens leveraging social media hype. Both coins have performed well in the meme coin market. However, Shiba Inu has a more robust ecosystem and a larger market cap of over $15bn. Conversely, Smog is still a budding crypto project, leveraging only members within the Solana and Ethereum community to drive its growth. Its market cap is also over $150m at the time of writing. 

Smog vs Bonk 

Smog and Bonk are similar in their operational mechanism. Both coins belong to the Solana ecosystem and serve as reward tokens for community members. However, while Bonk is the ecosystem’s utility token with a core use case, Smog is a relatively new token in its infancy stage.  

FAQs

How much is 1 $SMOG worth?

As of March 2024, Smog is trading at approximately $0.2 per token, which is more than a 200% increase compared to the previous month. With its low trading price, $SMOG is an affordable investment option for investors seeking opportunities in the meme coin market. 

Is Smog legit? 

On its website and whitepaper, Smog presents itself as a genuine token made for entertainment. The coin is trading on Solana-based exchanges and is rumored to be going live on CEXs soon. However, storing your Smog tokens in exchange wallets can be risky due to possible hacks. Consider transferring them to external wallets to mitigate such a risk.

Can I buy Smog on Binance?

At the time of writing (March 2024), Smog has yet to be traded on the Binance exchange. The meme token is only available on Solana-based cryptocurrency exchanges such asJupiter and Raydium.

The post Smog appeared first on Cryptonews.

What is Pepe?

Pepe (PEPE) is a deflationary meme coin built on the Ethereum network. The ERC-20 token was inspired by the ‘Pepe the Frog’ meme that Matt Furie created in his cartoon titled Boy’s Club. So, what’s a PEPE? PEPE is the utility coin that governs the Pepe ecosystem. It acts as the project’s means of exchange and governance. The token went viral in 2023 after high-volume purchases attracted many investors on the internet, especially within the crypto community on X (formerly Twitter). Pepe’s humor and virality facilitated the expansion of token’s community, which significantly drove its price up and the project experienced a huge price surge just weeks after its launch.

Use cases and applications of Pepe

Since it began trading, PEPE has rivaled its meme coin predecessors in terms of profit, including Dogecoin (DOGE) and Shiba Inu (SHIB) in profits, returning over 1,000% gains within a year. On its own website, Pepe introduces itself as “the most memeable memecoin in existence”, referencing their competitors with the follow up phrase “The dogs have had their day, it’s time for Pepe to take reign”. However, as is the nature of most meme coins, Pepe has lesser intrinsic value and is more limited in utility than other altcoins on the market. Its value is typically derived from social media hype and community engagement, which can be difficult to maintain over a prolonged period of time. This limited real-world use potential is confirmed by Pepe itself, which states that the project offers no utility based on its meme coin status. Despite this, PEPE can serve a few purposes, including:

• Trading and investing on cryptocurrency exchanges.
• Digital payments.

How does Pepe work?

Pepe is built on the Ethereum network. This means that its transaction validation model is similar to that of Ethereum’s. To approach Pepe with a better understanding, consider exactly how the project operates.

Proof-of-stake consensus mechanism

Pepe validates transactions using the proof-of-stake (PoS) consensus mechanism, which means that smart contracts are used to verify and complete transactions on the network. Similarly, it means that investors can stake their tokens to become validators and earn PEPE tokens for contributing to the network’s stability and security.

Deflationary (burn) mechanism

As PEPE is a deflationary token, it has a fixed supply of 420.69 trillion tokens. To control the number of coins in circulation, the project uses a burn mechanism that removes some tokens from the circulating supply with each transaction. This was intended to create scarcity, resulting in the value of PEPE increasing over time in line with supply and demand dynamics.

No-blockchain-tax policy

Another unique feature of Pepe is a no-blockchain-tax policy. By being “tax-free”, Pepe investors can execute transactions on the blockchain without paying fees. In other words, making buying and selling PEPE cheaper than competitors, such as Dogecoin. Investors should note that this no-tax policy only applies internally within the Pepe community, and that any earnings made from trading or investing in PEPE are taxable according to the Internal Revenue Service regulations.

Who created Pepe?

Typical of the meme coin ecosystem, the creators of Pepe are unknown. Unlike major cryptocurrencies that provide information about their development teams, developers of meme coins such as Pepe often remain anonymous. Although the coin is named after the ‘Pepe the Frog’ cartoon character created by the cartoonist, Matt Furie, the Pepe Coin website states that the project has no affiliation with the artist.

Pepe price analysis

As a relatively new project, Pepe is still in its market infancy. With less than a year’s worth of market data to analyze, it is difficult to pull from either fundamental or technical analysis to make well-informed price predictions for the future. Investors looking to make price predictions will likely be asking whether the project will rediscover a strong market form after announcing a new advisory team in late 2023.That being said, Pepe’s price trajectory since launch has been impressive. As of early February 2024, Pepe trades at around $0.0000009 per token. The Pepe price is up by over 1,560% compared to its April 2023 launch price of $0.000000001. However, it remains considerably down from its May 2023 all-time high (ATH) price of around $0.000003.

Factors influencing Pepe’s price

Consider some of the factors that might influence the PEPE price today:

• Community: Pepe’s strong community significantly contributes to its market value. The community’s strength and proliferation on social media was a major influence on the price of PEPE when it launched in 2023. As the community grew, it fostered a bullish trend for Pepe, resulting in increased demand and price rises. Mirroring this sentiment, investors should expect a price decline if the community loses faith or interest in the project, and sell inclination increases.
• Major exchange listing: Another contributing factor in Pepe’s strong market performance has been its listing on major exchanges, so soon after launch. As of February 2024, the meme coin was trading on popular centralized exchanges such as OKX, Binance, Huobi and KuCoin. Pepe’s presence on such exchanges makes it accessible, and perhaps seem more credible, to many investors.
• State of crypto regulation: The cryptocurrency landscape faces legal and regulatory ambiguity. The ever-evolving crypto regulatory landscape can impact both the utility and price of PEPE.
• Competition from other meme coins: Just as PEPE took wind from Dogecoin and Shiba Inu, new meme coins that emerge and gain popularity, or capture trend-led attention (such as Floki (FLOKI)), might erode or dilute PEPE’s investor base, as investors limit their exposure to meme coins. With this, Pepe might lose market value.

Pepe market performance

Early PEPE investors earned over a 1,000% increase on their investments after the coin surged in 2023. However, considering Pepe’s market performance at any given time can help you determine if investing in the coin is a good decision. As of early February 2024, PEPE was trading at around $0.0000009 per token, with a market capitalization of over $376m. The coin’s market share at the time placed it outside the top 100 cryptocurrencies, according to CoinMarketCap rankings. This positions Pepe with a significantly lower market cap compared to Dogecoin and Ethereum, with market caps of around $11.1bn and $275.6bn, respectively. However, Pepe has performed better than another popular meme coin, Shiba Inu, despite launching a few years later.

How to buy and store PEPE

If you want to invest in Pepe Coin, the first step is to buy the PEPE token on centralized or decentralized exchanges. You can buy PEPE by following the steps below:

• Step 1: Choose a reputable centralized cryptocurrency exchange and create a trading account on the website or mobile app.
• Step 2: Complete the trading platform’s identity verification/KYC process by submitting proof of identity and address.
• Step 3: Access the deposit section to add funds to your account using the supported payment methods. These include cryptocurrencies and fiat money such as the USD and GBP.
• Step 4: Search for Pepe on the trading platform using its ticker symbol and buy the coin.
• Step 5: Transfer the PEPE tokens to an external wallet.

Safe wallet storage

Cryptocurrency exchanges are vulnerable to hacks and cyberattacks, so leaving your coins in their custody can expose you to risk. The best way to store your coin for a long period of time is in a hardware wallet. Hardware wallets, known as cold wallets, are not connected to the internet and are considered the most safe and secure wallet. A hot wallet, on the other hand, is connected to the internet, but it does offer faster and easier access for active traders. Ensure that you research the wallet types to find the best option for your needs.

Risks and challenges of investing in Pepe

As with any cryptocurrency, it is important to consider the potential risks and challenges associated with investing in Pepe:

• Price volatility: The most common challenge of investing in any cryptocurrency is the market uncertainty. The crypto market is highly volatile, and coins always experience price fluctuations. PEPE’s price is extremely volatile and has recorded extreme price swings both up and down. The low price per token is also a concern for some investors, as even throughout periods of impressive price growth, PEPE’s price has never reached $1. Investors can purchase millions of PEPE tokens with very limited capital, so at scale, losses could be extremely large.
• Limited utility: PEPE has limited utility outside of its community and lacks real-world applications. Pepe’s value is backed by hype and virality, rather than strong utility or investor conviction.
• Security concerns: Concerns regarding the security of the project have existed within the Pepe community since August 2023, when three of the project’s former development team members reportedly accessed the token’s multi-signature wallet and illicitly transferred 16 trillion PEPE tokens (worth about $15m) to various decentralized exchanges. This resulted in the Pepe price fall experienced since the latter part of 2023. Despite this security breach, however, the project’s lead developer has promised to continue moving the project toward full decentralization.

Regulatory and legal aspects of PEPE

The legal and regulatory landscape for cryptocurrencies such as PEPE is dynamic and varies across jurisdictions. Changes in broader cryptocurrency regulations can influence PEPE’s price, with favorable changes to regulations and guidelines potentially benefiting its future, and vice versa with unfavorable changes. While transparency issues can make meme coins particularly vulnerable to regulatory challenges, strong community resistance and continued support in the face of legal challenges can help meme coins like Pepe withstand adversity.

Comparing Pepe with other cryptocurrencies

Comparative analysis can help investors make well-informed decisions about their portfolios. Below, we look at how Pepe compares to Ethereum, Dogecoin and Shiba Inu.

Pepe vs Ethereum

Pepe developers built the project on the Ethereum blockchain, so they both validate transactions using the PoS consensus mechanism. However, while Ethereum offers real-world utility such as support for decentralized apps (dApps), Pepe is a meme coin with no actual use case beyond trading.

Pepe vs Dogecoin

Like Pepe, Dogecoin relies on its community for popularity, with Elon Musk’s influence contributing to its draw. Low transaction fees and infinite circulation are also unique features that can appeal. Dogecoin has a larger market capitalization than Pepe as of January 2024. This, combined with a higher token value, emphasizes DOGE’s current dominance in the market. DOGE was also the first meme coin, so it rivals Pepe in terms of notoriety. Despite lesser market maturity, Pepe has returned massive gains to early investors within just a few months, leading some investors to believe that PEPE will start to rival DOGE as the next big meme coin.

Pepe vs Shiba Inu

Both Pepe and Shiba Inu are major meme coins, with Shiba Inu entering the market before Pepe, akin to Dogecoin. Both SHIB and PEPE lack real-world utility, relying instead on community hype to derive value, and therefore presenting uncertainty about their long-term potential. Shiba Inu has a more established blockchain than Pepe, and features several developed projects, fostering an innovative ecosystem with an engaged user community. Despite this, however, Pepe has surpassed SHIB in market cap, indicating investor demand and potentially attracting former SHIB or meme coin investors.

FAQs

How much is 1 Pepe Coin?

As of early February 2024, one unit of PEPE was trading at around $0.0000009.

Is PEPE a good investment?

PEPE has returned over 1,000% gains to its early investors. It is also a highly volatile coin, making it a good investment for active traders. However, with no intrinsic value, PEPE is a high-risk investment.

Is PEPE actually safe?

The safety of your PEPE depends on how you store it. Refer to the ‘How to Buy and Store PEPE’ section above to find out the best way to keep your PEPE safe.

The post PEPE appeared first on Cryptonews.

Dogecoin (DOGE) is best known as a joke cryptocurrency that was born out of an internet meme and launched into a serious player that is among the top ten cryptos by market cap. It started out as a joke project that would still retain all the functionalities of its more serious counterparts within the cryptocurrency space. Nowadays, it is best known for the endorsements it has received from various billionaires who often tout its “strong community” as its biggest advantage.

If you have not heard about Dogecoin before it reached its all-time high in May 2021, then you were bound to hear about it at that point; as its price shot up, so did its popularity far beyond the crypto space. For many, it serves as a reminder that technology is more powerful than many admit, but also that not everything has to be completely serious in order to have a strong use case.

This comprehensive guide will dive into the live charts, news, and crucial information about Dogecoin, keeping you in the loop on its price movements and market updates.

What Is Dogecoin?

Dogecoin is a cryptocurrency that was originally created as a playful and meme-inspired digital asset. Launched in December 2013, Dogecoin quickly gained popularity for its lighthearted Shiba Inu dog logo from the “Doge” internet meme.

Initially created as a parody of more serious cryptocurrencies, Dogecoin has since evolved into a genuine and widely traded digital currency. It has even gained a massive following of loyal fans who want to see Doge go “to the moon.”

What sets Dogecoin apart is its approachability and community-driven ethos. Dogecoin has a large and enthusiastic community, often engaging in charitable endeavors and online tipping. Unlike many other crypto communities, Doge still carries a lighthearted feel and a friendly and inclusive nature. On top of that, low transaction fees are another massive bonus.

Dogecoin Price Analysis

Looking at Dogecoin’s historical price trends will give you insights into its performance. The historical trajectory of the price can help provide context for its current movements, from its early days marked by nominal value to potential price surges driven by market sentiment.

Dogecoin’s value is shaped by many factors, including market demand, community opinion, celebrity endorsements, and broader trends in the cryptocurrency sphere. For example, the famous Doge appeared on a NASCAR in 2014, boosting the price of the meme-coin.

Understanding these influences is crucial for anyone tracking Dogecoin’s price dynamics. Stay tuned for updates on Dogecoin’s journey in the crypto market.

How Does Dogecoin Work?

Dogecoin operates on a blockchain, a decentralized and distributed ledger that records all transactions across a network of computers. It uses a proof-of-work consensus mechanism, similar to Bitcoin (BTC), where miners solve complex mathematical puzzles to validate transactions and add blocks to the blockchain. This process ensures security and transparency within the Dogecoin network.

 

Dogecoin has grown beyond its meme origins to find practical applications. Due to its low transaction fees, it now serves as a medium of exchange for online tipping, donations, and small transactions.

The Dogecoin community has engaged in philanthropic efforts, raising funds for various charitable causes. They often sponsor sports, and the famous Doge has even appeared in NASCAR too.

Dogecoin History

Internet meme culture has always had its recognizable meme templates; some of them quickly became mainstream, others were quite obscure and only used by certain groups of online users, while others still lost their initial meaning once they were taken out of the original context. One of the best known memes—in part due to the cryptocurrency it would subsequently influence—was Doge, a picture of a Shiba Inu dog captioned with inner monologues in a Comic Sans font. Although the picture that was used in the meme was first posted online in 2010, the meme itself took off a couple years later.

The Dogecoin cryptocurrency was born in December of 2013, when software engineer Jackson Palmer realized he had two tabs in his browser opened side by side: one was crypto data aggregator CoinMarketCap, and the other was a news article about the Doge meme that was all the rage online at that point. This side by side view gave him the idea to put the two together, which led to the birth of the Dogecoin cryptocurrency. He introduced the project on the BitcoinTalk forum as a satire of Bitcoin itself, titling it, “Dogecoin – very currency – many coin – wow – v1.1 Released” in the style of the meme.

Palmer worked with IBM developer Billy Markus on launching the cryptocurrency. Markus had been looking for a way to create a cryptocurrency that would be “truly open to the masses,” as opposed to Bitcoin which had an anonymous creator and only attracted a small, niche group of miners at the time. He found what he was looking for when he met Palmer, who purchased the dogecoin.com domain and set the plan into motion.

Dogecoin officially launched on December 6th, 2013. The first hack it suffered happened on December 25th, 2013, when a number of Dogecoin wallets were hacked and drained. However, the community came together and refunded the affected users.

The Dogecoin community makes up a big part of its success. The coin was consistently used as a way to tip internet users, most notably on Reddit and Twitter. This was largely due to its price, which was often between USD 0.002 and USD 0.003 until 2021. However, the community has also participated in many charitable initiatives, like sponsoring the Jamaican bobsled team in 2014 to allow them to compete in the Sochi Winter Olympics, as well as sponsoring NASCAR driver Josh Wise who sported the icon on his car and jacket at the 2014 Talladega All-Star race. Another notable project was Doge4Water which successfully funded the creation of a clean water well in Kenya.

While Dogecoin’s community, which believes in the coin’s potential to become a global currency, has driven its value and adoption up consistently throughout the years, one notable figure to help with that has been billionaire Elon Musk. In early 2021, he said in an interview that, “Dogecoin was made as a joke to make fun of cryptocurrencies, but fate loves irony. The most ironic outcome would be that Dogecoin becomes the currency of Earth in the future.”

This comment was followed by several tweets of endorsement that sent the price of Dogecoin soaring to an all-time high of USD 0.73 in May 2021. In the wake of this popularity, an increasing number of online merchants started accepting DOGE as a payment method. Additionally, many cryptocurrency exchanges made DOGE the first “joke” cryptocurrency that they listed, paving the way for many other meme-inspired tokens that appeared in its wake.

Aside from Musk, another big fan of Dogecoin and, more importantly, its community is fellow billionaire Mark Cuban, who is also the owner of the professional US basketball club the Dallas Mavericks. The club started accepting cryptocurrency payments for their merch, with special discounts for users paying in DOGE, as of 2021. Cuban added that the DOGE community is “the strongest when it comes to using it as a medium of exchange,” with Musk agreeing with him on Twitter.

All of this means that as far as the community goes, Dogecoin has very strong backing from various public figures who appreciate its different use cases.

Dogecoin Team

As we mentioned in the previous section, the two main people behind the Dogecoin project are Jackson Palmer and Billy Markus. However, Palmer left the project in 2015 due to what he called a “toxic community” and is now one of the most outspoken critics of the cryptocurrency industry as a whole. He is still involved in cryptocurrencies, but does not partake in anything related to Dogecoin. Markus, on the other hand, is still part of the project, but claims only to own the DOGE that other people have given him.

The force behind many of the project’s charitable contributions, both within its own ecosystem and outside of it, was the Dogecoin Foundation. It was formed in 2014 and touts the motto “Do Only Good Everyday,” which is a backronym of DOGE. The foundation’s board is made up of three Dogecoin developers, a community advocate, and a legal counsel. There are also four Board Advisors: Jared Birchall, who represents Elon Musk; Max Keller, Dogecoin Core developer and technical advisor; Billy Markus (known as Shibetoshi Nakamoto in a nod to the pseudonymous Bitcoin creator); and Vitalik Buterin, Ethereum (ETH) founder who acts as a blockchain and crypto advisor.

The team states in their Dogecoin Manifesto that, as they’re creating a currency for the people, they value the following things:

• “Being useful, we value utility over technical brilliance.
• Being personable, we value individuals and interactions over profit-driven economics.
• Being welcoming, we value collaboration and trust over competition and exclusivity.
• Being reliable, we value working solutions over speed of delivery.”

The Board Advisors are heavily involved in various projects in the cryptocurrency space aside from Dogecoin itself.

Dogecoin Market Performance

As of the latest available data, Dogecoin (DOGE) has a market capitalization of $11.016B. This is reflective of its massive presence in the cryptocurrency market. The market capitalization provides insight into the total value of all Dogecoin in circulation.

The trading volume of Dogecoin, indicating the total number of DOGE coins traded within a specific period, is another interesting metric to look at. High trading volumes can signify increased liquidity and interest among investors and traders. At the time of writing, the DOGE trading volume sits at $547.89M

How to Buy and Store Dogecoin

To buy Dogecoin, you can explore various cryptocurrency exchanges that support DOGE trading. Popular platforms such as Binance, Coinbase, and Kraken typically offer Dogecoin trading, allowing users to buy DOGE using fiat currencies like USD or other cryptocurrencies.

It’s important to thoroughly research the different trading platforms before choosing one to use when buying DOGE. Since DOGE is incredibly popular, most platforms will have this currency available for trading.

In terms of securing your Dogecoin, you can choose between different types of wallets, including hardware wallets, software wallets, and mobile wallets. Each has its own set of security features to keep your investments safe.

• Hardware wallets, like Ledger or Trezor, offer offline storage and are considered highly secure.
• Software wallets like Exodus or Atomic Wallet are convenient for regular transactions but may be more susceptible to online threats.

It’s crucial to follow best practices for wallet security, including enabling two-factor authentication and keeping private keys secure.

Here are the steps to buying and storing DOGE:

1. Open an account on a crypto exchange.
2. Verify your account by submitting the required details and documents.
3. Transfer money into your crypto account using one of the deposit methods available.
4. Purchase DOGE on the exchange.
5. Store your DOGE in your secure wallet.

You can sell your DOGE for fiat currency or another crypto if you want to convert it.

The Future of Dogecoin

Dogecoin’s future is always questioned. For a currency that was initially created as a joke, it’s come a long way. That proves how difficult it can be to predict what will happen in the crypto market. However, if you would like to see what kind of price prediction we have for Dogecoin, we have a page dedicated to just that.

However, the development team often releases updates and improvements focusing on maintaining the coin’s utility for both transactions and community engagement. The updates typically include technical upgrades, security enhancements, and potential collaborations that contribute to the overall growth of Dogecoin.

Experts in cryptocurrency have varying opinions on the future of Dogecoin. While some view it as a lighthearted and community-driven digital asset with long-term potential, others emphasize the importance of staying informed about market dynamics and monitoring its price fluctuations.

As with any cryptocurrency, factors such as market sentiment, regulatory developments, and technological advancements can significantly impact Dogecoin’s future. Staying updated on the latest news and expert analyses can provide valuable insights for you on the coin’s future.

Risks and Challenges

Investing in Dogecoin, like any other cryptocurrency, comes with its set of risks and challenges. One of the main considerations is market volatility. The value of Dogecoin can fluctuate massively, impacting your portfolio at any given time.

Additionally, the cryptocurrency market is influenced by external factors such as regulatory developments, macroeconomic trends, and technological advancements. If you see a DOGE publicity stunt, the coin could increase in price.

Investors should know the inherent unpredictability and be prepared for potential market downturns.

Then there’s security and scams. Security is a huge concern in cryptocurrency, and Dogecoin is no exception. While the blockchain technology used in Dogecoin is designed to be secure, you must be cautious to protect their assets.

Risks include potential vulnerabilities in wallets, phishing scams, and external threats. Dogecoin developers continually work on improving security measures, but you can enhance your safety by using secure wallets, staying vigilant against scams, and following best practices for safeguarding your digital assets.

Regulatory and Legal Aspects of Dogecoin

All cryptocurrencies operate under strict regulations and jurisdictions. Dogecoin is no different. The legality of Dogecoin can range from fully accepted to restricted or even banned in certain areas. Understanding the regulatory environment in a specific area to ensure compliance with local laws.

Note: Cryptocurrency regulations are subject to change, and you should seek up-to-date information from reliable sources or legal professionals.

Community and Ecosystem

Dogecoin has always had a vibrant and enthusiastic community that sets it apart in cryptocurrency.

The community branches out into tons of different channels, from a flourishing subreddit to a bustling discord server. In Dogecoin’s ecosystem, there’s a sense of community and philanthropy, often seen through community-driven initiatives.

The Dogecoin community plays a pivotal role in the ongoing development and growth of the cryptocurrency. From initiating network upgrades to collaborations on projects, community-driven efforts contribute to the continuous evolution of Dogecoin.

The communal spirit of DOGE is a driving force, shaping the trajectory sending to “to the moon.”

Make sure to explore Dogecoin’s community channels, forums, and social media platforms to connect with DOGE fanatics all over the world and stay informed about the latest news and developments.

Comparing Dogecoin to Other Cryptocurrencies

Dogecoin vs. Litecoin

Both Dogecoin and Litecoin share a common origin, as Dogecoin was initially forked from Litecoin. They employ the Scrypt hashing algorithm and share a commitment to fast transaction processing.

Dogecoin distinguishes itself with a more vibrant and community-oriented image, often engaging in charitable initiatives. Litecoin, on the other hand, positions itself as the “silver to Bitcoin’s gold” with a focus on secure and efficient transactions.

Dogecoin vs. Ethereum

Both Dogecoin and Ethereum have active and engaged communities. Ethereum, like Dogecoin, is transitioning to a more energy-efficient consensus mechanism — something that might appeal to a different audience.

While Ethereum is known for its smart contract capabilities and decentralized applications, Dogecoin traditionally emphasizes simplicity and ease of transaction use. Ethereum has a more complex blockchain, facilitating a broader range of functionalities.

Dogecoin vs. Bitcoin

Dogecoin shares its proof-of-work consensus mechanism with Bitcoin, both relying on miners to validate transactions.

Dogecoin stands out with its higher maximum supply (inflationary nature) and faster block generation time. As the pioneer, Bitcoin is characterized by its fixed supply and store of value narrative.

Dogecoin comes with its advantages and disadvantages, just like every other cryptocurrency. Understanding these factors may influence your decision on whether to buy DOGE or not.

Advantages:

• Dogecoin’s strong and resilient community has consistently driven its adoption and development.
• The light-hearted and approachable image of Dogecoin has made it more accessible to a wider audience and created a loyal following.
• Unlike Bitcoin and Litecoin, Dogecoin has a modest annual supply increase, which makes it inflationary.

Disadvantages:

• Compared to some experts, Dogecoin may be perceived as having fewer technological advancements or unique features compared to other cryptocurrencies.
• As with any cryptocurrency, security concerns remain, and vigilance is important to address potential vulnerabilities.

Dogecoin Offshoots and Wannabes

In 2021, as Dogecoin reached its peak of popularity and spawned many similar projects that either played on its name or its meme origins. A number of these coins (like Baby Doge, for example) were created by the Dogecoin community as homage to the original DOGE, but none of them were made by the founders of Dogecoin itself. Another notable example is the Shiba Inu token, which was initially supposed to act only as the mascot for Dogecoin, but evolved into its own token on the Ethereum blockchain after a while.

Most of these offshoots are not meant to be used in a transactional manner, but rather hoarded (“HODLed”) in the hopes that they will appreciate in value. In fact, since many of them are priced extremely low, their creators and communities are counting on the fact that early adopters will be more likely to purchase them and therefore drive up the demand. Many come pre-mined, which means there is a fixed supply, so a heightened demand could theoretically boost the price up.

All of these coins—Dogecoin itself included—are highly speculative, and the success of DOGE does not guarantee or even imply the success of any of its offshoots.

FAQs

How much is 1 Dogecoin to buy?

The value of 1 Dogecoin fluctuates based on market demand and supply. Make sure to check our live charts to get the most up-to-date DOGE price.

Is Dogecoin actually safe?

Dogecoin, like any cryptocurrency, has risks. While it has gained popularity and community support, following best practices for securing your investments is essential. Use reputable exchanges, secure wallets, and stay in the loop about potential risks.

How can I purchase Dogecoin?

You can buy Dogecoin on various cryptocurrency exchanges, such as Kraken, where you can trade other cryptocurrencies or fiat currency for DOGE. Make sure to use a reputable exchange, and consider using a secure wallet to store your Dogecoin.

Can I mine Dogecoin, and is it profitable?

Yes, Dogecoin can be mined, primarily using a process called merged mining with Litecoin. However, the profitability of mining depends on factors like hardware, electricity costs, and market conditions. Make sure to research thoroughly and consider the current state of the mining industry.

What sets Dogecoin apart from other cryptocurrencies?

Dogecoin stands out for its friendly and approachable community, often engaging in charitable initiatives. Its inflationary model, with a higher maximum supply and faster block generation time, differentiates it from other cryptocurrencies like Bitcoin and Litecoin.

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Luckily for you, this guide will tell you everything you need to know about Binance Coin, including the current Binance Coin price, a historical analysis of this coin, and much, much more.

Binance Coin Price

As you can tell from the chart above, Binance Coin price has fluctuated over the years. The coin was virtually worthless when it was launched back in July 2017. Nearly four years later, in May 2021, Binance Coin price topped out at $690.93 per coin.

Since its peak in 2021, Binance Coin has dropped significantly in value, partly due to controversy with the coin’s founder, but we’ll cover that later. Over the past year, Binance Coin price has settled around $300.

What Is Binance Coin

Binance Coin (BNB) was launched in China in August 2017. The platform itself experienced a significant rise in popularity over the past months together with the BNB coin. Just like other cryptocurrency exchanges, Binance will match your orders to buy or sell cryptocurrencies with those of other users on its platform in exchange for the relevant fees. As the major characteristics which distinguish one exchange from another are related to the matching engine capacity, fees and the liquidity volume, Binance uses the BNB coin to make the platform more attractive for those who hold it.

Thus, the most important function of the BNB coin is to act as the fuel which powers the services the Binance exchange provides to its customers. First of all, the users on the platform can use it to pay for trading fees at various discounts. In order to be eligible for them, it is sufficient to hold BNB coins in one’s wallet with the exchange. The amount of discount is supposed to decrease over the years, ranging from 50% in the first year of the coin use, followed by 25% in the second and 12.5% in the third year. Even when the discount gets to zero in the fifth year, the coin will continue to be used as a way to manage the fee payment on the Binance platform.

Decreasing discount brings the risk of bringing down the value of the Binance coins. In order to prevent this depreciation and maintain a stable price for the BNB, its creators committed to periodically destroying (or “burning”) some of these coins in order to reduce their total supply until 50% of the total BNB supply (100 million) is burned.

As of September 2018 there are 95 million BNB in circulation. At the same time, the coin’s market capitalization stands at USD 915 million, with the historically highest value being just above USD 2 billion dollars. While Binance coin is closely related to the exchange it runs on, it is being traded on competing exchanges such as CoinSwitch, Lbank, and others.

In addition to facilitating its native network operation, the BNB coin can be used for investing in initial coin offerings (ICOs) which are part of the Binance’s Launchpad program. Upon an ICO’s end, new coins will be instantly listed on Binance to speed up the linking between the platform and ICOs. Moreover, Uplive, a mobile livestreaming platform, supports BNB to buy virtual gifts.

In April 2019, Binance launched the Binance Chain as the public blockchain which is hoped to utilize the platform’s coin to assist with the management of assets on it. Following this, Binance Coin was moved from the Ethereum blockchain to the Binance Chain.

How Does Binance Coin Work?

As we just explained Binance Coin is pretty much a typical cryptocurrency, despite being directly linked to a major crypto exchange platform. Being a typical crypto means that Binance Coin is a decentralized, digital currency that exists using blockchain technology. Originally, Binance Coin used the Ethereum blockchain network. It now uses the Binance chain blockchain, which is Binance’s own dedicated blockchain.

The managers of Binance Coin maintain the coin’s value by using 20% of their profits every quarter to “burn” (i.e. to permanently pull out of circulation) unsold Binance Coin.

Who Created Binance Coin?

Binance Coin was founded by Chinese-Canadian billionaire Changpeng Zhao, who is also the founder of Binance. Zhao actually sold Binance Coin as a way to raise capital for his brand new crypto exchange platform, Binance. Today, Binance and Binance Coin are incredibly popular, but they aren’t without controversy.

Zhao resigned from his position as Binance CEO after pleading guilty to money laundering, unlicensed money transmitting, and other charges brought against him by the US government under the Bank Secrecy Act and the International Emergency Economic Powers Act.

These incidents have put many people off using Binance or buying Binance Coin. With that being said, many investors still have confidence in Binance Coin, especially since Zhao is now out of the picture at Binance.

Binance Coin Market Performance

Six years ago, some of the most savvy crypto investors might be stumped if you asked them “What’s a Binance Coin?” Now, even the most basic crypto fans will be able to tell you what are Binance Coins and why you should or should not invest. Don’t believe us? Just take a look at the Binance Coin market cap.

Binance Coin is the fourth biggest coin in the world, according to market cap. At time of writing, the Binance Coin market cap is $47.6 billion. In 2021, Binance Coin had the third-highest market cap. It’s a ways off third now, but our crypto experts would not be surprised if Binance Coin regained its bronze medal spot in the next couple of years.

How to Buy and Store Binance Coin

Getting your hands on Binance Coin is as easy as buying any other of the best cryptocurrencies on the market. If you’re not familiar with buying crypto, read our step-by-step guide below on how to buy Binance Coin.

1. Open an account with a cryptocurrency exchange platform like Binance. The exchange will most likely have a crypto wallet for you to use. If you are comfortable using that wallet, you can skip to Step 3.
2. Obtain a crypto wallet so you can store the Binance Coin and other coins you buy.
3. Verify your identity with your cryptocurrency exchange platform. Doing this will give you access to all your exchange’s best features, which is necessary to be a smart crypto investor.
4. Deposit money into your crypto exchange account.
5. Purchase Binance Coin.
6. If you are okay using your crypto exchange platform wallet, you’re done. If you chose to use an external, third-party wallet, you need to send your Binance Coin to that wallet.

Those six steps, or four, depending on the method you used, are all you need to do to buy and store Binance Coin. If you ever feel like selling Binance Coin, you just need to do the process in reverse. Send your Binance Coin to your crypto exchange, sell it on the market, and withdraw your fiat currency.

The Future of Binance Coin

Just a few months ago, many people predicted both Binance and Binance Coin would not be around for much longer. In case you weren’t paying attention then, those times were the peak of the most recent crypto crash. Sam Bankman-Fried and his crypto exchange FTX were under fire from the federal government, and, as we discussed above, Binance’s founder, Changpeng Zhao was also under attack. As a part of the investigation into Zhao, Binance was fined over $4 billion.

There were, and still are, loads of fears about whether Binance, and Binance Coin by association, would survive that crash and the major fine. So far, Binance has survived those things and every other challenge thrown at it. This has led some people to say comparing Binance to FTX is like comparing apples to oranges. We agree somewhat, but we also would recommend caution until you’re sure the fallout of the Zhao case is over.

Risks and Challenges

Investing in crypto is always a risky venture. The industry is largely unregulated and very decentralized. Additionally, each coin has its own risks and challenges associated with it. The risks of investing in Binance Coin have been discussed all throughout this comprehensive Binance Coin guide, but it’s worth explaining again here clearly.

Simply put, some industry experts have predicted that Binance will be the next major crypto exchange to go under. This means bad news for Binance Coin. With that being said, the fact Binance has survived so far has many other experts saying that it’s actually one of the more solid exchanges.

With such uncertainty out there about Binance and Binance Coin, it’s going to take a long time for Binance Coin to ever reach the levels of a coin like Bitcoin or the other coins ahead of it on the market cap list.

Regulatory and Legal Aspects of Binance Coin

Because there are so few laws on the books governing cryptocurrency, every coin is at risk of being devalued by sudden regulatory changes. This is especially the case with Binance Coin.

Binance Coin is already on the US government’s radar thanks to the recklessness of Binance’s founder and former CEO, Changpeng Zhao. While Binance is still legal in the US, the company was fined $4 billion by the federal government. If there are any more major changes to the US government policy regarding crypto or any other financial investigations into crypto, there’s a strong chance Binance will be affected.

Community and Ecosystem

Binance Coin has always been a coin used by the real crypto diehards. The coin and its associated crypto exchange, Binance, were founded by crypto enthusiasts from the ground up back in 2017. An initial coin offering of just $15 million laid the groundwork for what would go on to become the biggest crypto exchange in the world.

As more and more people made money buying Binance Coin, more and more casual crypto fans bought in. Despite this, Binance Coin is still far more popular with hardcore crypto investors than casuals. We don’t see this changing any time soon, especially with all the negative press around Binance in recent months.

Comparing Binance Coin to Other Cryptocurrencies

When you look at just market cap, Binance Coin is definitely one of the major cryptocurrencies in the world. Binance Coin’s $47.6 billion market cap is only bettered by Bitcoin ($836.2 billion), Ethereum ($304.6 billion), and Tether ($94.9 billion).

While Binance Coin is popular according to market cap, its reputation has cratered recently. Most crypto investors would view Bitcoin, Ethereum, and stable coins like Tether and USD Coin as safer investments than Binance Coin right now.

FAQs

This guide has covered the basics of Binance Coin, such as the current Binance Coin price, its history, and some of the concerns about this coin’s future. To sum up what we’ve covered, here are some of the frequently asked questions about Binance Coin.

How much is 1 Binance Coin to buy?

At time of writing, Binance Coin is trading for $314.34 per coin.

Is Binance Coin actually safe?

Relatively speaking, yes. Binance Coin is one of the biggest, and therefore most stable, cryptocurrencies on the market. With that being said, no cryptocurrency is a 100% safe investment, and, the charges against Binance former CEO and the huge fine levelled against the company makes Binance Coin less safe than other top coins, like Bitcoin.

What is BNB?

BNB is the trade symbol for Binance Coin. If you see someone in the crypto world talking about BNB, they are talking about Binance Coin.

Where can I buy Binance Coin?

Despite the name, you can buy Binance Coin at crypto exchanges besides Binance. Binance Coin is available on all the best cryptocurrency exchange platforms.

The post Binance Coin appeared first on Cryptonews.

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You will notice that usually, Tether usually maintains a value of $1 USD. This is what this stablecoin is designed to do, with minimal fluctuations. What factors impact the Tether price? Fluctuations may result from the US Dollar itself rising or falling in value, supply and demand, and news events that impact the markets.

What Is Tether USDT

The Tether cryptocurrency (USDT) is supposedly tied to the US dollar at a 1:1 ratio, meaning that it should be traded at the stable rate of 1 tether coin for 1 US dollar. Singular units of the cryptocurrency are called “tethers” or “tether coins.” It is described as being fully backed by the real-world reserves of the US dollar.

However, price of a stablecoin can also fluctuate. For example, tether dropped below USD 0.90 in October 2018 before recovering to almost USD 1 again. In either case, it’s still more stable than other cryptocurrencies.

Also, many investors question tether’s peg to the US dollar despite Tether has sought to reassure the community by repeatedly saying that each USDT in circulation is backed by US dollars in its bank account. However, the company has failed to provide conclusive evidence, such as a formal audit, that would back up its claim.

Tether coin’s history started with its predecessor Realcoin, which was presented by Brock Pierce, Craig Sellars and Reeve Collins back in 2014. Soon afterwards, the coin’s name was changed to what it is now.

If you are looking for a cryptocurrency that helps you avoid some of the extreme volatility of the crypto markets, you might consider Tether (USDT). This crypto is the most well-known stablecoin. Its value is “tethered” (pegged) to the US Dollar (USD), hence its name. 

This post will serve as your in-depth introduction to Tether. We will explain exactly what Tether is, how it works, how to buy and store it, its risks and challenges, and more.

How Does Tether Work?

You now know that each USDT is pegged 1-to-1 with 1 USD. But what does that mean in real terms? How does the pegging work?

The answer is Tether’s reserves, which back its stablecoins. Every day, Tether publishes a report on the value of its reserves to ensure transparency.  

Nevertheless, Tether’s history is not entirely positive concerning its reserves. The US Commodity Futures Trading Commission (CFTC) charged Tether with lying about its reserves in the past. It was discovered that rather than the reserves being cash or equivalents, they instead took the form of high-risk investments (i.e. other cryptos). These findings resulted in Tether paying a fine of $41 million.

Tether remains a popular and (largely) stablecoin, but needless to say, this incident eroded trust in USDT somewhat. 

In this white paper, you can learn about Tether’s three-layer technology stack, consisting of the Bitcoin blockchain, an Omni Layer protocol (Omni functions as the embedded consensus system), and Tether Limited. The Tether platform uses Omni Protocol, the open source software which allows it to interact with blockchain.

How is Tether used? The exceptional stability and liquidity of Tether make USDT an excellent choice for individual transfers as well as transactions between merchants and consumers. Additionally, Tether is actively traded at a high volume in the crypto markets.

With volatile cryptos like Bitcoin, many individuals and businesses may not want to hold their money as cryptos, fearing lost value. But with USDT, large fluctuations are less likely. This makes it possible to convert back to USD (or another currency) at one’s leisure, rather than rushing to do it the instant one receives a crypto payment.

Who Created Tether?

The history of Tether dates back to 2012, when J.R. Willett came up with the idea of creating a new crypto called Mastercoin. Tether was built in 2014 on Mastercoin’s protocol by founder Craig Sellars and co-founder Brock Pierce.

Tether Market Performance

At the time of this writing, the market cap for Tether is $92,348,734,709, and the 24-hour trading volume is $66,349,056,640.

This ranks Tether 3rd among cryptocurrencies, putting it directly behind Bitcoin (which is ranked as #1) and Ethereum (which is ranked as #2).

How to Buy and Store Tether

If you want to purchase and store Tether, you will need two things: a crypto exchange, and a crypto wallet.

• Your crypto exchange is where you can buy and sell Tether and other stablecoins and cryptos.

• Your crypto wallet is where you can store Tether and other stablecoins and cryptos.

Tether is available to buy and sell just about anywhere; due to its high trading volume, you have your pick of crypto exchanges. Many exchanges also offer wallets, so you can buy, sell, and store your cryptos all in the same place.

Here are the steps to buying and storing Tether:

• Open an account on a crypto exchange.
• Verify your account by submitting the required documents.
• Transfer money to your crypto exchange account using a deposit method of your choice.
• Purchase Tether on the exchange.
• If you are using an external wallet, connect the wallet so that you can store the Tether there.

You can sell your Tether for US Dollars or another crypto or fiat currency if you want to convert from USDT.

How Tether Tokens are Created and Burned

One person alone cannot create and issue Tether tokens, thanks to a multi-signature model. This system helps to preserve the security of Tether. Instead, multiple private authorization keys are needed.

Directly following their creation, new Tether tokens remain in the Tether treasury. Only when market demand requires their release are they issued.

It is also important to know that Tether tokens are burned sometimes once a person holding them chooses to convert to a different crypto or a fiat currency. Rather than sending them to an inaccessible address, Tether returns them to the treasury. That way, they can issue them again if market demand warrants it in the future.

The Future of Tether

Whatever the future of Tether, one thing is certain, and that is that USDT’s health is critical to the crypto ecosystem as a whole.

Speaking to the New York Times, Professor Hilary Allen, a finance expert at American University, said, “Tether is really the lifeblood of the crypto ecosystem. If it imploded, then the entire facade falls down.”

She continues, “In a worst-case scenario, critics say, a downturn could spark the crypto equivalent of a bank run.”

That is why it is a good thing the CFTC decided to crack down on Tether’s reserves. Hopefully, with stronger government oversight, Tether will be forced to maintain its reserves as cash or equivalents, reducing the chances of a collapse.

Recently, Tether has focused on increasing its security, introducing a voluntary wallet-freezing policy. This will bolster the overall safety of the stablecoin ecosystem.

Risks and Challenges

As we discussed above, a big risk with Tether is if the reserves it is tied to are not stable, the stablecoin itself may lose value or even crash. So, it is essential to have cash or cash equivalent reserves.

Like other cryptocurrencies, Tether exists in a murky regulatory zone as well, which introduces further uncertainties. That being said, this is one of the top cryptos regulators will show an interest in over the coming years, given its significance to the markets.

Another risk facing USDT is USD Coin (USDC), a competing stablecoin. USDC has not been embroiled in as many legal hassles as Tether, which has led to an increase in its popularity over the past few years.

Other stablecoins are lagging behind USDC and USDT, but could start catching up if trust does not rebuild quickly in USDT. We will discuss these competing stablecoins more later on in this post.

Additionally, Tether has a history of blacklisting addresses, which may make some investors nervous about holding it.

Regulatory and Legal Aspects of Tether

The parent company of Tether Limited is iFinex. This company in turn is based in the British Virgin Islands.

As you know, the CFTC took action against Tether in 2021 because of the issue involving the company’s reserves. Also, Attorney General Letitia James filed a lawsuit against iFinex for fraud in 2019, which resulted in an $18.5 million settlement.

So, regulators are keeping a close watch on Tether. If anything, we expect this regulatory oversight to increase in the future.

Again, that is not a bad thing, given Tether’s role in the economy. Regulatory involvement in Tether will ultimately increase trust in the stablecoin, which should facilitate its adoption even further.

Tether claims to take regulations seriously, stating, “Tether maintains world-class standardized compliance measures for anti-money laundering (AML), countering the financing of terrorism (CFT), sanctions, and know your customer (KYC) laws and regulations.”

Tether is available in most jurisdictions around the world. But you may not use Tether if you are in any of the following regions: Cuba; the Democratic People’s Republic of Korea (North Korea); Iran; Pakistan; Singapore; Syria; the Government of Venezuela; and Crimea.

Community and Ecosystem  

Tether has drawn a passionate community of enthusiasts thanks to its sophisticated technology and superlative convenience.

Integration of Tether is easy thanks to a wide range of supported blockchains, including not just Bitcoin and Ethereum, but also Avalanche, EOS, Polygon, TRON, Algorand, Kava, Polka, Solana and Tezos.

Tether pays close attention to which blockchains are being utilized, adding and removing support as required to adapt to the community’s changing needs. By discontinuing support for blockchains that are no longer getting a lot of traction, they can allocate more resources to those that are.

If you want to get to know other Tether enthusiasts, you can find communities built around the stablecoin on social media platforms.

Comparing Tether to Other Cryptocurrencies

Apart from looking to increase its market capitalization and share, Tether faces competition from other stablecoins such as TrueUSD, Dai and others. Now let’s discuss how Tether compares to some other cryptocurrencies, starting with its competitor USDC. 

Tether’s transparency has increased since the CFTC levied its fine. But USDC is considered to be the more transparent of the two stablecoins. Nevertheless, Tether is still beating USDC when it comes to liquidity. It remains ahead of USDC in terms of trading volume as well. USDC’s market cap is $25,013,229,679, which comes in well below USDT’s market cap of $92,348,734,709.

While USDC is Tether’s closest competitor, the next runner-up is Dai (DAI), which has a market cap of $5,342,159,298. Unlike USDT and USDC, DAI is decentralized. Like USDC, DAI has a stronger reputation for transparency than USDT does.

The next major competitor with USDT and the other major stablecoins is TrueUSD (TUSD), which has a market cap of $2,303,768,606. While it is not in widespread use to the same degree as USDT or USDC, it is liquid and transparent.

Right now the biggest advantage of USDT over its competitors is simply its high market cap and trading volume. Its biggest drawback is the reduced trust associated with the reserves issue from a few years ago.

How To Get Tether USDT

Buying and selling Tether coins is rather straightforward, as the coin is supported by several international crypto exchanges such as Poloniex or Kraken which support it as part of appropriate trading pairs.

The Tether family also includes a Euro counterpart (denoted as EUR₮), and the support for the Japanese yen is currently being worked on.

FAQs

To conclude our post about Tether, let’s answer a few frequently asked questions you may have about this popular stablecoin.

Q: How much is 1 Tether to buy?

A: Assuming you are using US Dollars to purchase Tether tokens, you can generally buy 1 Tether for $1 USD. By design, Tether is pegged to the US Dollar. Its value against the US Dollar is relatively stable.

Q: Is Tether actually safe?

A: Tether is reasonably safe; it performs as expected, with the value of 1 USDT being roughly $1 USD most of the time with only minor fluctuations.

Some people do fear that Tether could crash, given what happened in 2021 with the CFTC’s findings about its reserves, however, and it is important to note that holding and using crypto always entails a degree of risk.

Q: What is Tether used for?

A: Like other cryptocurrencies, people can use Tether to send or receive money or payments. Tether works well to convert between digital and fiat currencies. Also, you can opt for Tether when you want to hold digital currency, but avoid the volatility of other cryptos.

Q: Why would anyone buy Tether?

A: Although trust in Tether is not what it used to be, it is still considered a liquid, reliable, and stable option. As a result, it is still in widespread use.

Q: How is Tether always $1?

A: Tether is always $1 because it is pegged directly to cash and cash equivalent reserves.

Q: Who can use Tether?

A: Anyone can use Tether, including individuals and businesses. If you need a non-volatile crypto token to hold or to send or receive digital funds, then Tether may be a suitable fit for your requirements.

Tether coin is the most popular and controversial stablecoin, a cryptocurrency tied to a stable asset such as gold or units of a fiat currency. In addition to bringing the innate stability of fiat currencies to the market, Tether aims to offer easier and faster currency conversion and streamlined handling of digital payments on a global scale.

Tether News: Read the latest news about Tether here.

The post Tether appeared first on Cryptonews.

In this detailed guide, we’ll give you live charts, news, and important details about Toncoin, so you’re always up to date on the market and price movements. 

Toncoin Price

You can check out the latest Toncoin (TON) price in the graph above. 

To put TON’s current price into perspective, it’s important to explore its historical price trends. Looking into Toncoin’s performance over different timeframes provides valuable insights into its overall market behavior. This will give you a better idea of whether TON is a good investment for you or not.

Toncoin’s value is connected to a wide range of factors – much like with other crypto coins. Don’t worry though, we’ll dive deeper into these factors later on to help you understand what affects TON’s fluctuating price.

Understanding this is key for any investor, as it enables you to make informed decisions based on the broader market. Stay tuned as we dig into Toncoin’s pricing dynamics. But first, let’s learn more about TON.

What is Toncoin?

Toncoin represents a new entry into the world of cryptocurrencies – launching in 2018. Being a newly established coin, it offers a unique set of features that sets it apart from other coins.

Toncoin, short for “The Open Network coin,” is a cryptocurrency designed to facilitate secure and efficient transactions within a decentralized ecosystem. It was initially created by Telegram – the popular instant messaging application. Toncoin operates on a decentralized network (the blockchain), using advanced cryptographic techniques to ensure the integrity and privacy of transactions – just like other crypto coins.

Toncoin is different to other crypto coins because it was built by Telegram, who raised $1.7 billion in private funding to launch their project. Telegram has integrated the Toncoin wallet into its messaging app, which caused the price of TON to skyrocket by 80% in 12 months. TON also allows staking, which is a great way to earn interest in the form of additional coins.

How Does Toncoin Work?

At its core, Toncoin uses blockchain technology. The blockchain is a decentralized and distributed ledger that records all transactions across a network of computers. This blockchain serves as the backbone of Toncoin, which ensures transparency, privacy, and security in all transactions.

The blockchain consists of a chain of blocks, with each block containing a list of transactions. These blocks are linked and secured through advanced cryptographic techniques, making it practically impossible to alter past transactions.

In addition to blockchain, Toncoin uses consensus mechanisms. These are the protocols that govern how transactions are validated and added to the blockchain. Common consensus mechanisms include Proof of Work (PoW) and Proof of Stake (PoS). These mechanisms ensure agreement among network participants on the validity of transactions, contributing to the overall integrity of the entire Toncoin network.

In terms of use cases, Toncoin goes far beyond just being used on Telegram. It extends its usability to:

• Peer-to-Peer Transactions
• Smart Contracts
• Decentralized Finance (DeFi)

Who Created Toncoin?

Toncoin’s journey began with the visionary team at Telegram – the famous instant messaging app. However, before it was launched the Telegram team abandoned TON and it was momentarily left dead in the water. The reason is that the US Securities and Exchange Commission (SEC) sued Telegram over Toncoin

Later on, a group of developers who aren’t affiliated with Telegram picked the project up and fully launched the coin. The new development team behind Toncoin, Newton, brings a wealth of experience and expertise in blockchain technology, cryptography, and financial systems. This ultimately led to the success of TON in the crypto market.

Toncoin Market Performance

Looking into Toncoin’s market performance is an important aspect of evaluating its position and relevance within the broader cryptocurrency market. Let’s dive into the numbers below.

Toncoin’s market capitalization is currently at $7.63B. Market cap is a fundamental indicator of its overall value and standing in the cryptocurrency market. It represents the total market value of all Toncoins in circulation. It’s nowhere close to the biggest coins like Bitcoin and Ethereum, but it’s a decent market cap.

The trading volume of Toncoin is currently at $96.17M. The trading volume provides insights into the level of activity within TON’s market. It represents the total number of Toncoins traded within a specific timeframe (in this case, 24 hours). High trading volumes indicate liquidity and interest among investors, contributing to the cryptocurrency’s market vitality.

How to Buy and Store Toncoin

If you want to buy Toncoin, understanding the process of purchasing and securely storing this cryptocurrency is critical. Below, we provide a concise guide on where to buy Toncoin and how to store it securely.

Toncoin can be bought through various cryptocurrency exchanges. These platforms facilitate the buying and selling of digital assets, including Toncoin. Some popular exchanges that support Toncoin transactions include Coinbase, Binance, and Kraken. Make sure to do thorough research before you choose an exchange to trade with.

Here’s how to buy Toncoin step-by-step:

1. Create an Account: Start by creating an account on a reputable cryptocurrency exchange like Coinbase.
2. Verify Your Identity: Most exchanges require you to complete identity verification to comply with regulatory standards. If they dn’t ask for verification, do more research into the exchange first.
3. Deposit Funds: Deposit funds into your exchange account using the preferred payment method (credit card, bank transfer, etc.).
4. Purchase Toncoin: Once your account is funded, navigate to the trading section and place an order to buy Toncoin.
5. Transfer to a Wallet: For better security, consider transferring your Toncoin to a cryptocurrency wallet after purchasing. This reduces the risk associated with keeping assets on an exchange.

In terms of storing Toncoin securely, you’ll need to use cryptocurrency wallets. Wallets come in two main types:

• Hot Wallets: Connected to the internet, hot wallets are convenient for frequent transactions but may be more susceptible to online threats.
• Cold Wallets: Offline are physical storage devices that are less vulnerable to hacking and are suitable for long-term storage of Toncoin.

The Future of Toncoin 

Toncoin is set for an exciting future, driven by upcoming developments and a promising roadmap that positions it as one of the most exciting crypto tokens for 2024. 

Toncoin’s recent integration with Telegram is a game-changer. With over 700 million monthly active users, Telegram provides a vast user base for Toncoin to tap into. This integration is not only about numbers but also about attracting developers. Developers are drawn to platforms with a substantial user base, and Telegram’s integration with Toncoin is expected to incentivize more developers to migrate from other blockchains. As Toncoin attracts top developers, it positions itself as a strong contender in the DeFi space, especially during a period when other blockchains, such as Solana, are facing challenges.

Toncoin’s bullish momentum has been a positive as the broader crypto market emerges from a bearish phase. Analysts predict the end of the crypto winter, and Toncoin’s current surge is well-timed to capitalize on this shift. Price predictions suggest that Toncoin could have potential gains exceeding 50% in 2024. Beyond token price gains, Toncoin is experiencing a surge in trading volume, increased wallet holdings, and heightened developer activity. These indicators bode well for the long-term growth of the Toncoin ecosystem.

Toncoin investors also have an additional avenue for profit through $TON staking. Staking involves locking up $TON tokens to earn interest in the form of additional $TON tokens. This not only provides a passive income stream for investors but also contributes to the overall project growth. Notably, $TON staking is accessible through major crypto exchanges, making it a user-friendly option for a wide range of investors. As Toncoin continues to evolve, staking offers investors an opportunity to participate in the project’s success without the need for complex validation processes.

Risks and Challenges

Investing in Toncoin, like any other cryptocurrency, comes with a set of potential risks and challenges. As an investor, it’s important for you to fully understand these risks before you make your investment.

Firstly, market volatility. Cryptocurrency markets are known for their inherent volatility. Toncoin’s price can experience significant fluctuations within short periods. You should be prepared for sudden changes in price and consider your risk tolerance before entering the market.

There are also constantly evolving regulations for cryptocurrencies. Changes in regulations can impact Toncoin’s legality, adoption, and market dynamics. Regulatory uncertainties may create challenges for investors, and staying informed about developments in the regulatory space is essential.

As a blockchain-based cryptocurrency, Toncoin is also subject to technological risks. This includes potential vulnerabilities, bugs, or issues in the underlying technology. Be aware of the project’s approach to security, the frequency of updates, and the responsiveness of the development team to address technical challenges.

The success of Toncoin relies on its adoption and ability to differentiate itself in a competitive market. Factors such as community support, partnerships, and real-world use cases play a role in Toncoin’s adoption. Additionally, competition from other cryptocurrencies with similar features may impact Toncoin’s market share. These are important elements to keep an eye on if you’re investing in TON.

Regulatory and Legal Aspects of Toncoin

The regulatory status of cryptocurrencies varies widely around the world. Toncoin, being a decentralized digital asset, is subject to different regulatory approaches in different jurisdictions. Some countries embrace and regulate cryptocurrencies, while others impose restrictions or outright bans.

For users and businesses involved with Toncoin, compliance with local laws and regulations is essential. This includes adhering to anti-money laundering (AML) and know-your-customer (KYC) requirements, tax obligations, and any specific regulations related to the use of cryptocurrencies in a particular jurisdiction.

Toncoin faces the challenge of staying compliant with evolving regulatory frameworks. Changes in regulations may require adjustments to the project’s features or user interactions. Being flexible in this regard is critical to the project’s growth and continued success.

Comparing Toncoin to Other Cryptocurrencies

The crypto market is extremely competitive. As you may know, there are thousands of coins by now, with new ones being launched all the time. Since Toncoin is still relatively new and growing, it would be pointless to compare it to a giant like Bitcoin. But, just for your reference, we’ll compare it to Ethereum below. Then we’ll compare it to coins in a similar playing field.

Toncoin vs. Ethereum

As you can see, in the table above, Toncoin is nowhere near Ethereum. But when looking behind the numbers we can still pinpoint some key differences between the two.

Toncoin aims to achieve higher throughput compared to Ethereum, potentially enabling faster transaction confirmation times and lower fees. Toncoin also wants to provide a developer-friendly environment with a set of tools and features to facilitate the creation of decentralized applications (DApps).

Ethereum has a longer history and a more mature ecosystem with a vast number of decentralized applications and smart contracts. Toncoin will face the huge challenge of catching up in terms of network maturity and adoption. Ethereum also has a larger developer and user base, contributing to a more extensive ecosystem. 

Toncoin vs. Binance Smart Chain (BSC)

Binance Smart Chain has gained traction with a rapidly growing ecosystem of decentralized applications and projects. BSC has more potential for growth with a much larger market cap. However, Toncoin is the more popular crypto at the moment, with a massive $94m advantage in trading volume at the moment. 

Toncoin vs. Polkadot

Polkadot has gained attention for its extensive ecosystem and support for parachains. Its market cap is nearly $2B higher than that of Toncoin, and at the time of writing, it’s also trading at a higher volume than TON. These numbers may have changed, so make sure to check the live charts when comparing these crypto coins.

FAQs

How much is 1 Toncoin to buy?

The value of 1 Toncoin can vary based on market conditions and demand. It’s recommended to check reputable cryptocurrency exchanges for real-time pricing.

Is Toncoin actually safe?

Toncoin prioritizes security, using advanced cryptographic techniques and decentralized technologies. However, like any investment, it carries inherent risks. Always follow best practices for securing any digital assets, such as using secure wallets and enabling two-factor authentication.

Where can I purchase Toncoin?

Toncoin can be purchased on various cryptocurrency exchanges. Popular platforms such as Binance, Coinbase, and Kraken often offer Toncoin trading pairs. Make sure to choose a reputable exchange, complete the necessary verification processes, and follow secure transaction practices.

What distinguishes Toncoin from other cryptocurrencies?

Toncoin was initially developed by Telegram. The coin saw a massive growth spurt when it was integrated with the popular messaging app. It’s still on the rise with plenty of potential expected throughout 2024.

How can I store Toncoin securely?

To store Toncoin securely, consider using reputable cryptocurrency wallets that support Toncoin. Hardware wallets like Ledger or software wallets like TON Surf Wallet can provide secure storage options.

The post Toncoin appeared first on Cryptonews.

Shiba Inu Price

As of April 2024, Shiba Inu trades at around $0.000009 per unit. The Shiba Inu price today is down by over 22% compared to its April 2023 price. Interestingly, the late 2023 resurgence in the broader crypto market did not have a positive impact on the price of SHIB, as it did other cryptocurrencies, perhaps indicating low demand for SHIB.

Factors Influencing Shiba Inu’s Price

• Market Sentiment: SHIB’s price often reacts to investors’ sentiment influenced by news, social media and overall market conditions. Therefore, positive sentiments translate to price increases and vice-versa.
• Cryptocurrency Market Trends: The general market trend is also a huge determinant of SHIB’s price movement. In a generally bullish market, the price tends to move upward, while it moves downward in a bearish market. 
• Adoption and Utility: With increased adoption comes upward price movements. The same goes for utility, as utility drives demand, and consequently a price increase. 
• Partnerships and Collaborations: Collaborations help shine a spotlight on projects and draw new users and investors to the ecosystem. 
• Project Updates and Roadmap: Updates about project development can boost investor confidence and thereby cause a price increase. 
• Whale Activity: Whales (large holders) can cause significant price movements by a single transaction. If a whale sells off their holdings, it will cause a price dump, and if a whale buys a large amount of SHIB, the price will likely increase. 

What Is Shiba Inu?

So, what is SHIB? Shiba Inu (SHIB) is a community-driven altcoin built on the Ethereum platform in 2020. It adopts a deflationary model, burning tokens with each transaction to create scarcity in supply. Inspired by Dogecoin (DOGE), SHIB was launched as a light-hearted meme coin, exploring community control over a cryptocurrency.

Meme coins are cryptocurrencies that are created in relation to personalities, trends or viral moments that gain popularity from social media memes. Meme coins typically gain value through notoriety and are often launched as a community-led inside joke, as opposed to a serious digital product with utility. While Shiba Inu features a comical depiction of the Japanese hunting dog as its mascot, it is more than simply a humorous project.

Community and Ecosystem

As a community-driven ecosystem, Shiba Inu relies on user involvement for growth. Governed by decentralized decision-making, its community, which as of January 2024 consists of 145,922 Discord members, 143,165 Telegram subscribers and 3.7 million Twitter followers, actively determines the project’s future. 

This democratic approach, in which all token holders have a right to vote on decisions that shape the project’s direction and provide feedback, fosters democracy. The community members are also the main proponents of Shiba Inu’s marketing and promotion in order to attract new participants to the ecosystem.

Use cases and applications of Shiba Inu

Shiba Inu offers diverse range features and products within its ecosystem, including:

• ShibaSwap: A decentralized crypto exchange. 
• Shibarium: A layer 2 EVM network built to address scalability and high transaction cost issues on the Ethereum blockchain.
• Shiboshis and Shibacals: A collection of 10,000 Shiba Inu-generated non-fungible tokens (NFTs) (Shiboshis) and linked real-world collectibles (Shibacals).
• Shib the Metaverse: A hub of entertainment, business and gaming, featuring 100,595 plots of land.

Shiba Inu has grown beyond its origin as a meme coin over time, evolving to offer a range of practical applications:

• Medium of Exchange: SHIB can be used as a medium of exchange for transactions and purchases.
• Staking on ShibaSwap: Holders can stake tokens to earn reward tokens.
• Governance Participation: Holding SHIB grants participation in project decision-making. 
• Community Engagement and Philanthropy: Involved in charitable events funded by SHIB, such as the Shiba Inu Rescue Association’s dog rescue campaigns.

How Does Shiba Inu Work?

The operational framework of Shiba Inu is unique, and investors should understand how Shiba Inu works.

Blockchain

Shiba Inu is built on the Ethereum blockchain, utilizing smart contracts for various functionalities such as token transfers, staking and interactions within ShibaSwap. In this way, Shiba Inu’s underlying technology enables the development, expansion and security of the ecosystem.

Consensus mechanism

Ethereum employs the Proof-of-Stake (PoS) consensus mechanism, in which network validators verify new data blocks. These validators must create, verify and vote on the validity of transaction blocks for an Ethereum transaction to be successful. 

Tokenomics

The community uses dog-related terminology, relating to its name, for behaviors and activities within the network. For instance, tokens can be used to ‘dig’ (provide liquidity), ‘bury’ (stake tokens) and ‘fetch’ (exchange). 

The Shiba Inu ecosystem consists of three tokens:

• Shiba Inu (SHIB): Shiba Inu’s native currency. It is the foundation of the project and complies with the standard of all Ethereum-based tokens to ensure compatibility within the Ethereum ecosystem. 
• Leash (LEASH): Leash is a reward token for the ecosystem’s community members, and is earned through diverse methods of participation in the network.
• Bone (BONE): Originally designed as the ecosystem’s governance token, and earned from staking, Bone is now used in Shibarium to reward both validators who stake (‘bury’) their tokens and delegators who provide validators with voting rights.

Who Created Shiba Inu?

Shiba Inu was created in August 2020 by a pseudonymous individual or group known as ‘Ryoshi’. It did not have a clear roadmap to begin with, driven instead by the potential thoughts and ideas of its community. The Reddit community known as the ‘SHIBArmy’ embraces the guiding principles of creating something from nothing, and a love of Shiba Inu dogs.

Shiba Inu History

Launched in August 2020 by the anonymous Ryoshi, Shiba Inu has set its sights early on challenging Dogecoin by branding itself as the “Dogecoin killer.” From August 2020 onwards, believers of the project ended up creating a large network of developers, producers, meme creators, designers, mods, marketers, admins, social media influencers, and hodlers. Over time, Shiba Inu expanded its influence until the token’s value was difficult to ignore.

On May 13, Vitalik Buterin, who was entrusted with a large wallet of these tokens, with which he promptly donated 50 trillion SHIB (worth over USD 1 billion when it was executed) to a crypto relief fund in India. This “burning” event was lauded by the Shiba Inu developers as a great move, justifying their decision to give the keys to Buterin.

Later in the year, an anonymous whale purchased 6.2 trillion SHIB, or SHIB with the equivalent value of USD 44 million, the price ballooned by 55%. What may have also spurred this jump was the fact that a partner at a hedge fund circulated the whispers of a new project brewing in the SHIB ecosystem. This project, which was rumored to be an exchange, became the talk of the community as well as those looking at the growth of the Shiba Inu Token.

As a result, Shibaswap was born, functioning as a decentralized exchange for DIG (liquidity), BURY (staking), and SWAP tokens, generating WOOF returns in a passive income system. A non-fungible token (NFT) drop of unique Shiboshi collectibles has also been issued. Rather than the project staying as a cryptocurrency like its counterpart DOGE, the SHIB token has expanded to several kinds of decentralized projects, making bullish investors have more reasons as to why they believe that it’s the superior shibe on the block.

Shiba Inu Team

As a community-based token, Shiba Inu Token is run by the so-called Shib Army, a group of SHIB enthusiasts who believe in crypto and want to push the extent of its price and influence. Since the contributors cause the coin to grow, what it becomes is dictated by its stakeholders. SHIB’s anonymous developers have all worked together to create an ecosystem that has given rise to a token, related NFTs, decentralized exchange, and who knows what other projects are currently in the works. As far as the general community is aware, the developers are a multi-faceted bunch capable of generating endless ideas for projects.

Shiba Inu Market Performance

Considering SHIB’s market performance as of January 2024, SHIB is the 18th-largest cryptocurrency by market capitalization, with a figure of around $5.31bn. As a mid-cap cryptocurrency, SHIB is generally considered to be less risky than small-cap alternatives, but with more upside potential than large-cap coins, such as DOGE. 

How to Buy and Store Shiba Inu

You can buy Shiba Inu on almost all cryptocurrency exchanges (centralized and decentralized), based on your preference. 

Centralized Exchanges

Buying on a centralized exchange is pretty straightforward: 

• Download the exchange’s mobile app or open the website.
• Create and fund an account.
• Find the SHIB/USDT trading pair or any SHIB pair of your choice.
• Buy SHIB.

There are many exchanges upon which it is possible to purchase SHIB, including Binance, Kucoin, MEXC, Gate.io, Bybit, Bitget and OKX.

Decentralized Exchanges

Investors should also consider how to buy SHIB from a decentralized exchange. ShibaSwap is Shiba Inu’s native decentralized exchange, but SHIB is available on many others, such as Uniswap, VVS Finance, Butter.xyz and ZigZag.

• Download a wallet app such as MetaMask, Trust Wallet, Coinbase or Argent, or use the web version.
• Create and fund your wallet.
• Choose an exchange to buy from, and then open the exchange’s website in your wallet’s browser.
• Select the coin you have in your wallet, and choose to swap it for SHIB. 
• Wait for the transaction to go through. Your SHIB will now be in your wallet.

Safe wallet storage

After buying your SHIB, it is time to store it safely. The best way to store your coin for a long period of time is in a hardware wallet. Hardware wallets, known as cold wallets, are not connected to the internet and are considered the most safe and secure wallet. A hot wallet offers faster and easier access for active traders.

The Future of Shiba Inu 

In early 2024, Shiba Inu’s development team revealed the vision for the ecosystem’s future development. As outlined in a tweet, Shiba Inu is pivoting towards digital identity innovation. In partnership with the Web3 startup D3 Global, SHIBDentity plans to introduce a .SHIB top-level domain name for every community member, for use across various platforms, including email, online retail and Dapps. We have an optimistic outlook for Shiba Inu price, which you can see on our Shiba Inu price prediction page.

Risks and Challenges

As with any cryptocurrency, it is important to consider the potential risks and challenges associated with investing in Shiba Inu:

• Extreme Price Volatility: SHIB’s price is extremely volatile and has recorded price swings both up 300% and down 99%. The low price per token is a concern for many, as even throughout periods of impressive price growth, SHIB’s price has never reached $1. Investors can purchase millions of SHIB tokens with just a small amount of capital, meaning that at scale, losses could be extremely large.
• Limited Utility: While the Shiba Inu ecosystem is diverse, SHIB has limited utility outside of this community and lacks real-world applications.
• Ethereum Dependency and Security Risks: Shiba Inu’s reliance on Ethereum exposes it to potential risks inherited from the platform, including bugs or attacks.
• Regulatory and Legal Aspects of Shiba Inu: The legal and regulatory environment surrounding cryptocurrencies is constantly evolving, and jurisdiction between different countries varies. Unfavorable regulatory changes could negatively impact the price of SHIB.

Comparing Shiba Inu to Other Cryptocurrencies

Comparative analysis can help investors make well-informed decisions about their portfolios. Below, we consider how Shiba Inu compares to other community-driven meme coins, including Dogecoin and Bonk.

Shiba Inu vs Dogecoin (DOGE)

Dogecoin relies on its community for popularity, with Elon Musk’s influence contributing to its draw. Low transaction fees and infinite circulation are also unique features that can appeal. Dogecoin has a larger market capitalization than Shiba Inu as of January 2024 ($11bn compared to $5bn, respectively). This, combined with a higher token value, emphasizes DOGE’s current dominance in the market.

Shiba Inu features a deflationary model, with each transaction burning tokens, creating scarcity in supply. The Shiba Inu ecosystem is highly innovative, with a dedicated and engaged community of users regularly developing new products.

Despite lesser market maturity, Shiba Inu rivals Dogecoin as a popular meme coin, with some in the community referring to it as ‘the Dogecoin killer’.

Shiba Inu vs Bonk (BONK)

Bonk, on Solana, emerged from a stealthy airdrop and integrated into Solana Dapps, with products such as BonkBot having thousands of active users and generous airdrops.

Both Bonk and Shiba are major meme coins, but SHIB has a more substantial market cap than Bonk’s $662m figure, and a more established position in the crypto market. Shiba Inu has its own blockchain, Shibarium, which has the potential to elevate the entire Shiba Inu ecosystem. Bonk’s value is more tied to Solana’s performance, and it has faced criticism for limited utility and product offering. 

BONK is a small-cap coin, so it perhaps has more untapped potential for a substantial price increase. However, being relatively new, BONK lacks the maturity and credibility associated with SHIB’s longer history, potentially impacting its long-term appeal. 

FAQs

How much is 1 Shiba Inu to buy?

As of January 2024, a unit of Shiba Inu costs around $0.000009. Investors can pick up considerable amounts of SHIB for a very small amount of capital.

Is Shiba Inu actually safe?

The safety of your SHIB depends on how you store it. Refer to the ‘How to Buy and Store Shiba Inu’ section above to find out the best way to keep your SHIB safe.

How does the burning mechanism work for Shiba Inu tokens?

Shiba Inu employs a burning mechanism, where some SHIB tokens are permanently removed from circulation to increase scarcity.

The post Shiba Inu (SHIB) appeared first on Cryptonews.

Designed as a layer-2 (L2) solution to solve this problem, Polygon (MATIC) was built to help scale the main Ethereum blockchain by enhancing the scalability, interoperability, flexibility and security of various crypto projects.

Whether you want to learn more or are considering investing yourself, this guide explores how Polygon works, examines its potential risks, and offers a MATIC price analysis to help you make better-informed decisions. 

Polygon price analysis

The Polygon price today (as of early February 2024) is around $0.8 per token. The current MATIC price is down by around 34% compared to its February 2023 price, despite bullish trends in the broader crypto market starting from late 2023.

Some experts believe that Polygon’s struggles resulted from MATIC investors exiting the market. However, more optimistic Polygon price predictions exist among market analysts, some of whom suggest that the Polygon price fall is merely a result of a market correction.

It is important to note that despite the current Polygon price situation, the altcoin has experienced an impressive run in the past, reaching an all-time high of around $2.92 in December 2021. While the price at present is far off, with a bull run expected in 2024 post-Bitcoin halving, it is worth considering the factors that might influence MATIC’s price.

Factors influencing Polygon’s price

Like other cryptocurrencies, the crypto market volatility is the most significant reason for the rise and fall of MATIC’s price. However, other factors influencing the coin’s price include:

• Market sentiment: How investors feel about a particular coin influences its value. If they are optimistic, then the affected coin will experience a price surge due to the prevailing bullish sentiment. Conversely, investors’ lack of confidence will result in a bearish sentiment. For instance, when Polygon laid off about 19% of its workforce in February 2024, the news diminished investor confidence in the project and the coin’s price fell. 
• Strong competition: Another reason why Polygon is struggling is because its primary feature is to help other platforms scale and process transactions faster while charging lower fees. However, other L2 solutions such as Arbitrum provide stiff competition for the Polygon network. 
• Demand and supply: Finally, the demand and supply forces are other significant Polygon price influencers. A decline in Polygon’s demand will result in a subsequent price fall. This is because more MATIC tokens will be in circulation, making it less valuable. 

Polygon market performance

Analyzing Polygon’s market performance can help you make informed decisions when investing in the coin. 

Although Polygon aims to improve upon Ethereum, it has never overtaken ETH in terms of market performance. According to data from CoinMarketCap, while Ethereum is the #2 cryptocurrency by market capitalization, with a figure (as of February 2024) of around $284bn, Polygon ranks #14, with a market cap of around $7bn. Comparatively, major Polygon competitors such as Solana (SOL) and Cardano (ADA) also rank higher, with market cap values of around $43bn and $18bn, respectively. 

Despite this, Polygon remains among the top-ranking coins by market capitalization and is still one of the most traded and valuable altcoins on the market. 

What is Polygon (MATIC)? 

What is Polygon? Launched in 2017, Polygon is a cryptocurrency and blockchain platform. Designed as an L2 scaling solution on the Ethereum network, Polygon aims to address the limitations of Ethereum. It serves as a scalable and cost-effective solution for Ethereum-based projects that face challenges related to transaction speeds and high gas fees.

Polygon runs parallel, or as a ‘side chain’, to the main Ethereum blockchain. Users can bridge crypto from Ethereum to Polygon, and subsequently interact with the wide range of dApps that were once exclusive to Ethereum. Transaction processing on Polygon is notably fast, with an average block processing time of 2.1 seconds.

So, what is MATIC? MATIC tokens govern and secure the Polygon network while covering transaction fees.

How does Polygon work?

Essentially, Polygon allows Ethereum-based apps and projects to leverage its blockchain in order to improve upon their own scalability, flexibility and security.

Polygon is composed of four layers:

• Ethereum layer: For transaction finality, dispute settlement, staking and relaying messages.
• Security layer: For ensuring the validity of Polygon blockchains.
• Network layer: Each blockchain has its own consensus mechanism.
• Execution layer: For executing the transactions agreed upon by the first three layers.

Modified proof-of-stake consensus mechanism

Similarly to Ethereum, Polygon uses a proof-of-stake (PoS) consensus mechanism to process and validate transactions. The PoS mechanism that Polygon uses, however, is modified, and is known as scalable PoS architecture. 

Instead of using human validators, the network requires users to stake their MATIC tokens in order to validate transactions with their nodes. The blockchain rewards successful validators with new MATIC tokens.

The modified consensus model makes it more scalable, cheaper and faster than Ethereum. As a result, it supports thousands of dApps.

Polygon uses multiple approaches to scaling, offering a multichain ecosystem. Polygon supports two types of chains: stand-alone chains, which are compatible with Ethereum, and secured chains, which utilize professional validators for added security.

Secured chain

Polygon uses a Commit Chain, which is a PoS chain, modified off of Ethereum’s consensus mechanism. This operates adjacent to the Ethereum mainchain. It batches and submits transaction data to Ethereum, thus benefiting from the security provided by Ethereum. Polygon calls this a secured chain, as it uses Ethereum validators and benefits from a high level of security.

Standalone chain

Standalone chains are also offered by Polygon. These are side chains with their own pool of validators. They can be enterprise chains or application-specific blockchains. Polygon’s PoS sidechain accelerates transactions and minimizes fees through a network of validators, with finalization occurring on the Ethereum mainchain.

Modular deployment for custom blockchains

Polygon offers modular deployment options for developers, including consensus, governance, execution environments and virtual machine implementations.

Scalability mechanisms

Polygon stands out against other L2s due to the use of multiple L2 scalability mechanisms such as Matic Plasma, ZK-Rollups, Optimistic Rollups and Validum Chains, which further enhance transaction speed without compromising security or user experience. 

Native utility token: MATIC

Despite rebranding from Matic to Polygon, MATIC is the native utility token of Polygon. MATIC is used for paying gas fees and participating in governance decisions related to protocol upgrades and network developments. Developers can pay in MATIC to use the Polygon blockchain and its development tools.

Use cases and applications of Polygon

Polygon’s use cases extend beyond trading and staking MATIC, including:

• Decentralized finance (DeFi): Some of the biggest DeFI projects are built on Polygon. It hosts some of the most popular decentralized exchanges, including Quickswap, Uniswap and SushiSwap, in addition to some popular borrowing and lending protocols, such as Aave and Meshswap.
• Web 3: Various Web3 applications exist on Polygon, including The Sandbox.
• Non-fungible tokens (NFTs): OpenSea, the largest NFT marketplace, is built on Polygon.

Who created Polygon?

The Polygon project itself was originally known as Matic Network, but was later rebranded to Polygon. Polygon Labs, the company behind the blockchain network, was created in 2017 by 10 developers. As the project can be considered a fork of Ethereum, it comes as no surprise that the group of 10 is partially composed of former Ethereum developers. Four of the most widely known co-founders are Jaynti Kanani, Sandeep Nailwal, Mihailo Bjelic, and Anurag Arjun. 

How to buy and store Polygon

Whether you want to invest in Polygon for trading purposes or stake the coin for periodic rewards, the journey begins with buying MATIC. The cryptocurrency is available on various centralized and decentralized exchanges. Follow the steps below to buy MATIC:

• Step 1: Choose a reputable brokerage and create a trading account using the website or mobile app.  
• Step 2: Complete identity verification/KYC by submitting proof of identity and address.  
• Step 3: Deposit funds using the supported payment methods, including cryptocurrencies and fiat money. 
• Step 4: Buy MATIC on the trading platform. 
• Step 5: Transfer the MATIC tokens to a self-custodial wallet.

Transferring your coins to a crypto wallet is an important security measure. Before purchasing MATIC, consider which type of wallet best suits your needs and goals.

No one wallet is fundamentally better than another. While hot wallets have the advantage of easy access and proactive management of cryptoassets, cold wallets offer more long-term security. Non-custodial wallets provide users with increased control over their assets, whereas custodial wallets that offer third-party support can be more beginner-friendly. 

Typically, cold wallets such as Trezor and Ledger are top choices among crypto investors, because they offer more robust security than cryptocurrency exchange wallets or software wallets, which are more vulnerable to online security risks.

Risks and challenges of investing in Polygon

There are no perfect investments in the financial markets. Investing in Polygon has inherent risks, which are important to consider:

• Market volatility: Polygon is a volatile cryptoasset and price predictions are merely speculative. There are no guarantees on either short- or long-term gains from investing in MATIC.
• Ethereum dependence: Polygon relies on Ethereum to function, so threats to the Ethereum network or price can bring about negative consequences for Polygon.
• Security concerns: Security is a major concern for all crypto investors. Potential security issues involve hacking, fraud or vulnerabilities in exchanges and wallets. You can increase the security of your assets by only trading on reputable exchanges, implementing two-factor authentication on your accounts, and scrutinizing the links you open on a wallet app to avoid phishing scams and hacks. 
• Competition: Polygon’s operation within a highly competitive scaling solution market makes it a high-risk investment. 
• Regulatory and legal aspects: The cryptocurrency landscape is fraught with legal and regulatory ambiguity that varies across jurisdictions. This uncertainty poses a significant challenge, as MATIC is subject to the ever-evolving crypto regulatory landscape, which can impact both utility and price.

Regulatory and legal aspects of MATIC

Regulation remains a significant influence on what happens in the crypto market. With the current regulatory landscape constantly changing and evolving around the use, classification and trading of cryptocurrencies, it can be difficult for both crypto developers and investors to operate strategically within the appropriate guidelines and frameworks.

Altcoins such as Polygon are classified as cryptocurrencies in the EU region. However, Polygon is described as an “unregistered security” by the US Securities and Exchange Commission (SEC). This ruling by the SEC halted MATIC’s recovery and journey to new market highs, as exchanges such as Robinhood delisted the coin in 2023.

Comparing Polygon to other cryptocurrencies

As a popular L2 solution built on the Ethereum network, let’s compare MATIC with competitors in the same space to see how it stacks up. 

Polygon vs Ethereum 

Ethereum is a much bigger blockchain supporting Polygon, and they operate similarly. Both platforms use the PoS consensus mechanism to validate transactions. However, Polygon offers faster and cheaper transactions, while Ethereum’s Ether (ETH) is more valuable than MATIC. 

Polygon vs Solana

Solana and Polygon are popular scalable solutions that allow other projects to connect to the Ethereum network. Both blockchains were built to offer faster transaction speeds and lower fees compared to Ethereum. However, while Solana is a layer-1 blockchain, Polygon is famous for its layer-2 infrastructure. Similarly, Polygon focuses more on providing scalable solutions for Ethereum dApps, while Solana is more of a digital currency.  

Polygon vs Cardano 

Polygon and Cardano aim to boost interoperability, scalability and security across projects on the Ethereum blockchain. However, while Polygon operates directly on the Ethereum blockchain, Cardano has its native blockchain. So, Polygon uses the native PoS consensus mechanism, and Cardano uses a unique PoS structure called Ouroboros. 

FAQs

How much is 1 Polygon?

As of February 2024, the price of Polygon was around $0.80 per token.

Is Polygon safe?

Polygon is a secure blockchain facilitating decentralized and peer-to-peer transactions. However, as it’s directly built on the Ethereum blockchain, a network issue or security breach on Ethereum can negatively impact Polygon. 

How can I buy Polygon?

The easiest way to buy and invest in MATIC is by using a reputable cryptocurrency exchange. All you need to do is create an account, fund it, and buy Polygon’s MATIC tokens.

The post Polygon appeared first on Cryptonews.

While price stability is the biggest selling point for USD Coin, there are lots of other reasons why USD Coin has quickly become one of the most commonly used cryptocurrencies in the world. We’ll cover all those reasons and more in this guide.

USD Coin Price

As you can see from the chart above, USD Coin price has remained remarkably stable since the coin launched in 2018. At its onset, USD Coin was worth exactly $1. This makes sense because USD Coin is tied to the US Dollar. Since 2018, USD Coin has reached a peak price of $1.17 and an all-time low of $0.87. Compared to other popular crypto coins, this price fluctuation is practically nothing. 

What is USDC?

USD Coin is a stablecoin operated by Centre through a collaboration with Circle and Coinbase, two major crypto companies. Stablecoins are coins whose value is tied to some other currency. In the case of USD Coin, its value is based on the value of the US Dollar. Because the price of the US Dollar doesn’t fluctuate much, the USD Coin price is able to remain stable.

USD Coin’s price stability has made it a very popular option for crypto enthusiasts who don’t want to invest in riskier coins like Bitcoin (BTC) or even more speculative coins like Dogecoin (DOGE). USD Coin is one of the most popular stablecoins and is often used for transacting online.

For clarity’s sake, we refer to USD Coin as “USD Coin” in this guide, but it’s also often referred to by its acronym “USDC.” Don’t get USDC confused with USDT, which is another popular stablecoin pegged to the US Dollar. We’ll get more into the difference between USDC and USDT later on in this USD Coin guide.

In a nutshell, USD Coin is a service to tokenize US dollars and facilitate their use over the internet and public blockchains. Besides, USDC tokens can be changed back to USD at any time. The execution of issuing and redeeming USDC tokens is ensured with ERC-20 smart contract.

Bringing US dollars on the blockchain allows moving them anywhere in the world within minutes, and brings much-needed stability to cryptocurrencies. Also, it opens up new opportunities for trading, lending, risk-hedging and more.

Who is the Team Behind The USD Coin?

USD Coin is developed by the Centre consortium, a partnership between Circle and Coinbase. The technology and governing framework are developed by Centre, while Circle and Coinbase are the first commercial issuers of USDC. Circle was founded in 2013 by the entrepreneurs Jeremy Allaire and Sean Neville and has a pretty impressive line up of authoritative individuals on board. You can view the full team behind the USDC coin on the About Circle page.

Circle is an official Money Transmitter, which makes the company an open financial book. Money Transmitters are US money service businesses that must comply with federal laws and regulations. Before the issuance of USDC, the equivalent amount of USD is with one of Circle’s accredited partners. Consequently, all USDC tokens are regulated, transparent and verifiable. Besides, Circle is known as the crypto startup backed by Goldman Sachs.

Centre went live with USD Coin in 2018. Since then, it has steadily grown in usage and popularity in the US and around the world. Today, USD Coin is one of the most popular stablecoins and a very common name in crypto circles. 

How Does USD Coin Work?

USD Coin exists on the blockchain like other cryptocurrencies, but it’s much more managed than other decentralized currencies. In order to maintain the 1:1 value compared to the US Dollar, the amount of USD Coin available on the market is heavily regulated. 

When you sell USD Coin, your coin is “burned” and moved to an inaccessible account. When you buy USD Coin with fiat currency, your currency is deposited in a regulated bank account and new USD Coin is minted.

Tokenizing USD into USDC is a three-step process:

1) A user sends USD to the token issuer’s bank account.
2) The issuer uses USDC smart contract to create an equivalent amount of USDC.
3) The newly minted USDC are delivered to the user, while the substituted US dollars are held in reserve.

Redeeming USDC for USD is as easy as minting the token, except the process is reversed:

1) A user sends a request to the USDC issuer to redeem an equivalent amount of USD for USDC tokens.
2) The issuer sends a request to the USDC smart contract to exchange the tokens for USD and take an equivalent amount of tokens out of the circulation.
3) The issuer sends the requested amount of USD from its reserves back to the user’s bank account. The user receives the net amount equivalent to the one in USDC tokens, minus all incurred fees).

Unlike the most popular stablecoin Tether (USDT), creators of the USD Coin are obligated to provide full transparency and work with a range of financial institutions to maintain full reserves of the equivalent fiat currency.

All USDC issuers are required to regularly report their USD holdings, which are then published by Grant Thornton LLP. All the monthly attestation reports can be found here.

How to Use USDC

USD Coin (USDC) is a 1:1 representation of one US dollar on the Ethereum blockchain. It’s an ERC-20 token and can be used with every app which supports the standard.

To tokenize or redeem USDC with Circle, you need to register an account, verify your identity (KYC), and link a legitimate bank account. Circle USD platform allows users to perform four core actions:

• Tokenize USD;
• Redeem USDC;
• Transfer USDC out to ERC20 compatible Ethereum addresses;
• Deposit USDC from external Ethereum wallet addresses.

Circle USDC doesn’t charge users any fees for tokenizing and redeeming services, except there is a $50 commission for incorrect and rejected bank transfers. For Coinbase USDC operations, all the standard fees apply.

A minimum USDC redemption amount is 100 USDC. The tokens are processed on business days only, and the process can take up to 24 hours.

There’s no minimum tokenization amount, and the process can take up to 2 business days.

In general, stablecoins like USDC are used to:

• Short cryptocurrencies without cashing out and make it easier to buy cryptocurrencies in the future;
• Avoid traditional financial instruments and institutions;
• Avoid hyperinflation (for people living in countries like Venezuela or Turkey);
• Send money instantly, globally, securely and at low cost;
• Purchase items in various crypto dApps, exchanges, and blockchain-based games.

USD Coin Market Performance

USD Coin is one of the most popular stable coins on the market. Compared to other stablecoins, only Tether (USDT) has a larger market cap than USD Coin. At the time of writing, USD Coin’s market cap is $7.45B. 

How to Buy and Store USD Coin

Buying USD Coin is a super easy process. If you’re familiar with crypto at all, this process will look familiar to you. If you’re not, don’t worry. See our comprehensive guide below to learn all you need to know about buying USDC. 

1. Create an account with a cryptocurrency exchange platform. If the exchange has a crypto wallet service that you are comfortable using, skip Step 2 and go to Step 3. 
2. Open a crypto wallet where you can keep your USD Coin and other crypto.
3. Complete your cryptocurrency exchange platform’s identity verification checks. Once you verify your identity, you’ll be able to take advantage of all the exchange’s features. 
4. Deposit fiat currency into your cryptocurrency exchange platform account. 
5. Use your deposit to purchase USD Coin. 
6. If you are using an external wallet, you’ll need to send your USD Coin from your exchange account to your wallet. 

Believe it or not, it’s really that easy. Selling USD Coin is easy too. If you choose to use your cryptocurrency exchange platform as a crypto wallet, you can easily convert your USD Coin to fiat currency with just a few clicks. 

The Future of USD Coin

Predicting the future of any cryptocurrency is notoriously difficult. This is not the case with USD Coin. Because USD Coin is directly tied to the value of the US Dollar, predicting the USD Coin price is very easy. USD Coin will always be worth approximately $1. 

So what is the future of USD Coin then? While USD Coin doesn’t have the potential to explode in value like other coins, our crypto experts predict USD Coin will explode in popularity. USD Coin allows consumers to use cryptocurrency like fiat currency, which makes it appealing to crypto fans looking for the security crypto provides without the volatility of other coins. It is very useful for certain transactions that need a stable currency. 

Risks and Challenges

Cryptocurrency is a largely unregulated environment. This makes investing in any coin a more risky venture than investing in traditional financial assets. However, because USD Coin is a stablecoin, it’s a safer purchase than other coins. 

The benefit of USD Coin being a stablecoin is also one of its downsides. Because there is no chance to have your investment “go to the moon” when you buy USD Coin, less crypto enthusiasts have bought USD Coin than other coins. Practically speaking, USD Coin being less popular than other coins means it’s less wide-accepted than other coins. This is not going to be an investment that makes you rich. 

Regulatory and Legal Aspects of USD Coin

Like most of the crypto industry, USD Coin is largely unregulated in the US. This means your investment could be at risk should the government decide to crack down on crypto. It also means that your investment isn’t protected by traditional banking laws. 

However, USD Coin is backed by US Dollars held in segregated accounts at regulated financial institutions in the US. This is an added level of protection not offered by most cryptocurrencies, but we’d still advise you to be careful considering the overall risk of fraud in the crypto industry. 

Community and Ecosystem

With respect to other crypto communities, the USD Coin community is one of the most level-headed in the world of crypto. People who buy USD Coin aren’t looking to make millions from their coin. They are buying USD Coin to spend it like they would fiat currency. Why not just use fiat currency then? Because using USD Coin enables for more secure transactions, smart contracts, and other perks provided by using cryptocurrency. 

Comparing USD Coin to Other Cryptocurrencies

Compared to some of the other big-name cryptocurrencies, USD Coin is relatively under the radar. This is reflected in USD Coin’s market cap compared to other top coins. 

Tether (USDT), the top stable coin on the market, has a $95B market cap. USDT is also based on the US Dollar, so it’s used in a similar way to USD Coin. Most experts agree that USD Coin is a more secure investment at this time though, so we wouldn’t be surprised to see the gap between USDT and USD Coin shrink in coming years. 

USD Coin has a market cap just over $7B at time of writing. Bitcoin, the undisputed king of cryptocurrencies, has a market cap of $834B. Binance Coin, another one of the smaller coins compared to Bitcoin and Tether, has a market cap of over $45B. 

Simply put, USDC is not a major player on the cryptocurrency market yet. However, it’s extremely popular among casual traders who value its stability, ease of use, and relative security compared to other popular coins.

How is The USDC Coin Different From Other Stablecoins?

Crypto stablecoins can be put into four categories:

• Fiat-collateralized. These include all stablecoins pegged to reserved fiat value. All fiat-collateralized coins are centralized by design. Examples: Tether (USDT); TrueUSD (TUSD); Gemini Dollar (GUSD); Paxos Standard Token (PAX); Digix Gold (DGX); USD Coin (USDC).
• Crypto-collateralized. These are stablecoins whose value is pegged to reserved crypto assets. Examples: Makercoin (MKR & DAI); Havven (nUSD & HAV).
• Algorithmic non-collateralized. Software-based economic models that seek to provide price stability without any collateralized assets. Example projects: Basis; Kowala; Fragments.
• Hybrid. Stablecoins which rely on a blend of the approaches listed above.Example projects: Carbon.

USD Coin falls into the first, fiat-collateralized coins category, and is a centralized stablecoin. In general, all the projects within the same category work in a similar fashion and have only minor differences. The more outstanding ones are Tether (USDT), known for refusing to conduct a genuinely transparent audit, and Digix Gold (DGX), whose value is pegged to gold.

The rest fiat-collateralized stablecoins release regular attestations and are backed by US dollars. The main differences between them revolve around their fee policies and different partner organizations, but the business model, for the most part, stays the same.

Where Can You Get USD Coin?

USD Coin (USDC) can be purchased in the following exchanges:

• Binance (paired with BTC, BNB).
• Poloniex (paired with BTC, ETH, XRP, BHC, STR, LTC, ZEC, XMR, DOGE).
• Coinbase Pro (paired with BTC, ETH).
• Coinbase (paired with
• CoinEx (paired with USDT).
• Coinsuper (paired with BTC, USD).
• OKEx (paired with BTC, USDT).
• CPDAX (paired with BTC).
• Hotbit (paired with USDT).
• Kucoin (paired with BTC, ETH, USDT).
• Korbit (paired with KRW).
• FCoin (paired with USDT).
• LATOKEN (paired with BTC, ETH).
• SouthXchange (paired with BSV, DASH).
• COSS (paired with BTC, ETH).
• Crex24 (paired with USD).

Besides these exchange pairs, USDC can be turned to USD and vice versa at Coinbase.

Where to Store USD Coin

USDC is an ERC-20 token issued on the Ethereum blockchain and can be stored in any Ethereum wallet. The most popular options are MyEtherWallet, MetaMask, Mint or Jaxx wallets. If you don’t know how to set up an Ethereum wallet, see this quick guide.

Current State of the Project

USD Coin is a rapidly developing project with credible institutions behind it. Since the project announcement in May 2018, its ecosystem has already expanded to more than 60 partners.

Some of the latest news surrounding the USDC project is about the level of control project creators retain over the stable cryptocurrency. Apparently, the developers hold the right to blacklist addresses and freeze funds if there’s any suspicion that the USD Coins are used for illegal activities.

However, most of the other stablecoins also have similar clauses. The only stablecoin without such terms is DAI by Maker.

Similar Projects

• Tether (USDT). The oldest and most popular USD-backed stablecoin.
• TrueUSD (TUSD). USD-backed ERC-20 token by TrustToken Platform.
• Gemini Dollar (GUSD). USD-pegged ERC-20 token issued by Gemini exchange.
• Paxos Standard Token (PAX). An ERC-20 token pegged to the US dollar.
• Dai (DAI). ERC-20 stablecoin pegged to the USD.
• bitCNY (BITCNY). A stablecoin issued on BitShares blockchain and backed by Chinese Yuans (CNY).
• bitUSD (BITUSD). A stablecoin issued on BitShares blockchain and backed by USD.
• bitEUR (BITEUR). A stablecoin issued on BitShares blockchain and backed by Euros (EUR).
• Stasis Eurs (EURS). A collateralized ERC-20 stablecoin pegged to the EUR.
• nUSD (NUSD). An ERC-20 stablecoin issued by the Havven foundation.
• White Standard (WSD). A USD-pegged stablecoin for global payments issued on Stellar protocol.

FAQs

How much is 1 USD Coin to buy?

At time of writing, USD Coin is trading at $1. This is extremely typical. The value of USD Coin is directly tied to the value of one US Dollar, so the value of one USD Coin will rarely be more or less than $1. 

Is USD Coin actually safe?

All cryptocurrencies come with risk. With that being said, USD Coin is one of the least risky coins you can invest in. The value of USD Coin is tied to the US Dollar, so, unless the dollar collapses, USD Coin price will remain stable. 

Does the government issue USD Coin?

No. The US government plays no role in issuing or managing USD Coin. It is not a central bank digital currency or a form of digital fiat currency. Centre and Circle, two cryptocurrency powerhouses who work with Coinbase, manage USD Coin.

The post USD Coin (USDC) appeared first on Cryptonews.

Uniswap (UNI) is one of the many decentralized exchanges (DEXs) that allow traders to buy, sell and invest in cryptocurrencies without third-party control. The automated Ethereum-based exchange is governed by UNI token holders. So, what is UNI? Read on to find out all you need to know before investing in the token.

Uniswap price analysis 

Coin Name	Uniswap
Uniswap Symbol	UNI
Uniswap Price	$7.62
Uniswap Price Change 24h	▼ -5.26%
Uniswap Price Change 7d	▼ -4.81%
Uniswap Market Cap	$4,564,652,112
Circulating Supply	598,736,140 UNI

Let’s delve into the price analysis of Uniswap crypto to better understand its market performance over time.

As of April 29, 2024, the Uniswap price is around cpp_price coin_symbol=”uni”], up by over 15% compared to its February 2024 price. The upward growth in the UNI price results from the bullish sentiment in the broader crypto space in Q1 2024. For instance, Bitcoin’s price had increased by over 20% between February and March 2024, and Ethereum had experienced over 10% month-on-month (MoM) growth during the same period.

Further analysis of UNI’s price trend since its trading began shows the coin’s success amid investors’ growing interest in decentralized finance (DeFi) protocols:

• 2020: Uniswap crypto (UNI) was created as an airdrop to Uniswap users and liquidity providers. The UNI token traded between around $2.1 and $4.1 throughout the year. 
• 2021: UNI reached an all-time high (ATH) price of over $44 in May 2021 due to the ongoing crypto bull run.
• 2022: The general bearish crypto market in 2022 saw UNI’s price fall to about $3.7 in June 2022, an 88% decline from its ATH reached in the previous year. 
• 2023: Uniswap peaked slightly in early 2023 and traded between $4 and $7 for most of the year. However, despite the rise and fall, it maintained a $4 support level. 

So far in 2024, Uniswap has been on the rise compared to the previous two years of trading. As of March 2024, the coin is trading for about $12, up about 100% compared to its March 2023 price. However, its value is still about 75% lower than the 2021 ATH price of over $44.

Factors affecting Uniswap’s price  

Like other cryptocurrencies, demand and supply are the primary influencers of the coin’s price action. When the coin is in demand among investors, its value increases, and vice versa. 

The general bullish sentiment prevalent among investors is another reason why the UNI price has been on a high so far in 2024. As top cryptocurrencies such as Bitcoin and Ethereum have rallied in Q1 2024, traders seek to increase their exposure to the crypto market through portfolio diversification into coins such as Uniswap, as a relatively affordable investment with a solid roadmap, high market cap and impressive track record. 

The increased interest in DeFi protocols such as Uniswap is another explanation for the coin’s growth over time. Also, Uniswap’s proposal to upgrade its decision-making protocol and reward holders who stake and delegate their tokens has made the coin attractive to investors.

What is Uniswap?

Uniswap is a pioneer decentralized cryptocurrency exchange (DEX) built on the Ethereum network. The Uniswap protocol supports all Ethereum-based (ERC-20) tokens, making it one of the largest DEXs on the market.

As the name implies, Uniswap allows users to swap cryptocurrencies on the Ethereum blockchain. Anyone with an Ethereum-compatible wallet, such as MetaMask and MyEtherWallet, can trade ERC-20 tokens on the Uniswap protocol. 

The Uniswap ecosystem comprises the following:

• The Uniswap web app for swapping coins on the Uniswap protocol. 
• The Uniswap mobile app for buying, sending and swapping cryptocurrencies or exploring non-fungible tokens (NFTs).
• The Uniswap NFT aggregator for exploring, buying and selling NFTs on Uniswap’s marketplace. 

So, traders, liquidity providers and decentralized application (dApp) developers may opt for the Uniswap protocol as an alternative to Ethereum. These users execute transactions, pay fees and access the exchange using Uniswap’s proprietary token, the Uniswap Coin (UNI). 

How does Uniswap work? 

Uniswap’s primary feature is its decentralized exchange and operating model. The platform eliminates the use of order books on traditional and modern centralized exchanges. Here’s how it achieves it. 

Open-source platform

Uniswap is 100% open source, enabling anyone to deploy a code, build dApps like smaller decentralized exchanges, and create an ERC-20 token for trading. Due to its permissionless design, the platform isn’t profit-driven, which makes it notably different from CEXs.  

No coin listing process exists on Uniswap because developers’ assets can be traded without permission or listing fees – as long as a liquidity pool exists to facilitate the transactions. 

Automated liquidity protocol 

Another exciting feature that sets Uniswap apart from traditional exchanges is its automated liquidity protocol or automated market maker (AMM). To solve liquidity issues, the platform incentivizes liquidity providers (LPs), who stake their assets through smart contracts to facilitate seamless transactions. 

Community governance

Uniswap operates on the Ethereum network, using the platform’s proof-of-stake consensus mechanism. This means that Uniswap holders and LPs who stake their assets earn periodic rewards and participate in the project’s governance. Users’ voting power is determined by the proportion of their staked assets or provided liquidity.  

Who created Uniswap? 

Hayden Adams, a former engineer at Siemens, created Uniswap in 2018 under a company called Uniswap Labs. The platform was developed two years after Ethereum’s founder, Vitalik Buterin, proposed a DEX to process crypto transactions using an AMM. 

Uniswap was set up to address the liquidity issues plaguing traditional crypto exchanges, and Uniswap V1 was born. In 2020, Uniswap V2 was launched to enable the platform to facilitate transactions between ERC-20 tokens on the Ethereum blockchain. 

Uniswap market performance

As of March 2024, UNI is trading at around $12 per token, with a market capitalization of approximately $7bn. Uniswap’s high market cap places it among the top-traded cryptocurrencies by market cap. However, it’s still some distance from competitors such as Solana and Ethereum in terms of market cap. For instance, Ethereum is the second-largest cryptocurrency by market cap, valued at about $400bn. At the same time, Solana ranks among the top five most traded assets in March 2024, with a market cap of over $70bn. 

Nonetheless, Uniswap remains a top cryptocurrency project in the Ethereum ecosystem and has experienced significant growth in price since its inception. It is also Ethereum’s most prominent decentralized exchange, supporting hundreds of DeFi projects. 

How to buy and store Uniswap

You can buy and sell UNI tokens on Uniswap’s native decentralized exchange or centralized exchanges, such as Binance, Coinbase and CEX.IO, by following the steps below:

• Step 1: Choose a reputable crypto exchange and create a new trading account. 
• Step 2: Complete identity verification (KYC) if required. 
• Step 3: Deposit funds using the supported payment methods. 
• Step 4: Search for UNI on the platform and buy the desired quantity. 
• Step 5: Transfer the UNI tokens to a self-custodial crypto wallet. 

After purchasing your preferred amount of Uniswap crypto, you can store the asset in your crypto exchange wallet or transfer it to a hot/software Ethereum-compatible wallet such as MetaMask. However, transferring your coins to an external crypto wallet offers more robust security because it helps you hedge against potential losses if an exchange hack occurs. 

Many cold/hardware wallets are also on the market for personal asset custody. Do your research and choose the option that best suits your needs.  

The future of Uniswap

We’ve answered the question, ‘what are Unis?’ Now, we’ll assess the project’s potential in terms of future developments and roadmap. 

Uniswap Labs aims to continue providing DeFi services on the Ethereum blockchain. However, to expand the project’s reach, the Uniswap V3 protocol was recently launched on the BNB Chain, and the protocol continues to rank among the most notable DEXs on the market. 

According to a June 2023 announcement by Uniswap Labs, the project team has a vision of launching a new version of its crypto exchange platform called Uniswap V4. The protocol’s upcoming version is predicted to go live in Q3 2024. Anticipated developments in Uniswap V4 include the ability of the protocol’s pools to support dynamic fees, enable on-chain limit orders, and act as time-weighted average market makers (TWAMM) for processing large orders more efficiently. The Uniswap V4 protocol will also introduce hooks to allow users to make personalized decisions in liquidity provision.

Looking at the Uniswap price prediction, market analysts anticipate that further project developments will boost Uniswap’s value. The UNI token is projected to reach over $12 in 2024, which the coin has already attained as of March 2024. The token is expected to trade as high as $59 in 2025 to exceed its 2021 ATH. 

Risks and challenges

Like every cryptocurrency, the most significant risk of investing in Uniswap is its volatility. The coin has experienced sharp price changes over time. 

Similarly, the UNI protocol’s restriction to only ERC-20 tokens limits investors from seeking opportunities outside the Ethereum blockchain. The platform’s operation on Ethereum also poses risks because the blockchain experiences congestion and high fees during periods of high demand. 

Finally, Uniswap’s liquidity providers are exposed to impermanent loss if liquidity issues arise or the coin loses value after they have locked up their tokens.  

Regulatory and legal aspects of Uniswap

Although Uniswap operates legally in the US, the project’s regulatory and legal landscape is quite bothersome for investors. In 2021, the US Securities and Exchange Commission (SEC) investigated the protocol to understand how investors make money from its exchange. The news of the investigation resulted in a fall in the coin’s price. 

Moreover, the lack of clarity around the general cryptocurrency space, especially in the US, poses a risk for Uniswap and its investors. Unfavorable regulation about Uniswap’s status under federal securities laws could negatively impact the coin’s value and the broader DeFi industry because of the project’s position as a leading DEX platform. 

Comparing Uniswap to other cryptocurrencies 

A comparative analysis of Uniswap and its major competitors in the crypto market sheds more light on the coin’s status and potential. 

Uniswap vs Ethereum 

Uniswap operates on the Ethereum blockchain, so Ether and UNI are ERC-20 tokens. However, while Ethereum has its native blockchain, Uniswap’s limitation lies in its reliance on its competitor to function. Ethereum’s $400bn+ market cap as of March 2024 is nearly 60 times Uniswap’s approximated $7bn market cap. 

On the other hand, Uniswap is the largest DEX and supports other Ethereum-compatible cryptocurrencies, making it more accessible for developers and investors than Ethereum. 

Uniswap vs Solana

Solana and Uniswap are among the fastest-growing DeFi blockchains in the crypto market. However, unlike Uniswap, which relies on Ethereum to function, Solana has its own proprietary blockchain. The SOL token is also a bigger store of value, trading at nearly $190, compared to UNI at about $12 as of March 2024. 

Transactions on Solana are also faster and cheaper than Uniswap’s because of its standalone blockchain and proof-of-history consensus mechanism. However, Uniswap offers a robust DEX platform for swapping diverse ERC-20 tokens. 

Uniswap vs Compound 

Uniswap and Compound are DeFi protocols supporting developers and investors. However, while Uniswap primarily serves as an exchange for trading Ethereum-compatible tokens, Compound supports DeFi lending and borrowing. So, the UNI ecosystem offers more extensive use cases than Compound. 

Comparatively, Uniswap has a market cap of around $7bn, over 100 times Compound’s approximately $600m market cap as of March 2024. 

FAQs

How much is 1 Uniswap?

As of March 2024, a UNI token is changing hands for about $12. The DEX protocol coin’s value has increased by over 15% compared to the previous month, offering investors a low-cost option in the crypto market. 

Is Uniswap legal in the US?

Uniswap is a legal decentralized exchange in the US. However, the exchange isn’t licensed or regulated by any authority, exposing it to potential regulatory scrutiny as the DeFi ecosystem grows. 

Is Uniswap a good investment? 

Uniswap is a leading DEX platform for traders, investors and developers. The UNI token has recorded significant growth since it started trading. However, like every cryptocurrency, investing in UNI is inherently risky due to volatility and regulatory concerns. 

The post Uniswap appeared first on Cryptonews.

This guide will break down what makes Avalanche so unique, tell you the current Avalanche price, examine the price history, and so much more.

Avalanche Price

See the table above for the current Avalanche price and the history of this crypto’s value.

Avalanche launched in late 2020 and promised to be a competitor to the major coins, like Bitcoin and Ethereum. It was initially worth almost nothing, but in just a few months, the Avalanche price had jumped to $30 a coin. After a year, Avalanche’s value hit the $100 mark. It finally peaked at $134.87 in November of 2021. Today, at time of writing, Avalanche’s price is $35.99.

The major changes in Avalanche price have been largely due to outside investment. Avalanche price spiked following a $230 million cash injection from a consortium led by Three Arrows Capital. More recently, Avalanche’s parent company has net a partnership with Amazon.

What is Avalanche (AVAX)? 

Like so many other projects that are labelled the “potential Ethereum killer”, Avalanche is also a blockchain platform that lets users create their own blockchains with their own ecosystems, but also decentralized applications (dapps) of all sorts. It calls itself “blazingly fast, low cost, and eco-friendly.” 

The Avalanche platform is made up of three separate blockchains. The first, called the Exchange Chain and shortened to X-Chain, lets people create and trade tokens, including AVAX. The Platform Chain (P-Chain) serves to coordinate transactions, but also to enable the creation of new blockchains. Finally, the Contract Chain (C-Chain) lets users create and trigger smart contracts. The three blockchains are interoperable, and this approach improves speed and scalability, all of which makes Avalanche a unique project in the space. 

While the Exchange Chain uses the Avalanche consensus protocol, the other two chains use a modified version of it, called the Snowman. They are an adaptation of the Proof of Stake (PoS) consensus protocol. To learn more about the technical side of how Avalanche works, you can read their whitepapers here. They offer detailed documents on different aspects of the platform, including their consensus protocols, token dynamics, a stablecoin design classification framework, and a whitepaper on the way the platform itself works. 

Read more: What is Proof-of-Stake? 

The idea behind Avalanche was born in May 2018, when a file called “Snowflake to Avalanche: A Novel Metastable Consensus Protocol Family for Cryptocurrencies” was shared on IPFS by a pseudonymous group of enthusiasts going by the name “Team Rocket”. The document outlined the fundamentals behind Avalanche, explaining how the family of consensus protocols works together to ensure security and trustlessness, while maintaining high throughput and scalability—something that has plagued the blockchain world ever since its inception. 

The development of Avalanche was later led by a dedicated team of researchers from Cornell University, with professor Emin Gün Sirer at the head. He was assisted by two doctorate students, Maofan “Ted” Yin and Kevin Sekniqi. After completing the required research, they founded a startup company to develop the blockchain network, which was meant to meet the demands of the increasingly complex financial industry. In March, 2020, the AVA codebase (Developer Accelerator Program or AVA DAP) for the Avalanche consensus protocol became open-source and available to the public. 

The team raised funds for the project through an initial coin offering (ICO) that ended in July 2020, where they raised USD 42m. The mainnet launched in September 2020, along with the native AVAX token. 

Learn more: Why Invest In An ICO?

How Does Avalanche Work?

Other cryptocurrencies use Proof-of-Stake (PoS) consensus models to validate blocks and create more tokens on the blockchain. This typically requires a big buy-in to participate in the validation process and it requires many validators. 

Avalanche uses a process called subsampled voting, which involves randomly selecting groups of Avalanche owners who’ve volunteered to be validators. These groups can approve or reject transactions. Then, a thing called network gossip occurs where these groups compare notes and constantly debate whether to validate transactions. 

This subsampled voting process allows the Avalanche consensus model to be faster and more secure than POS and other popular consensus models. For example, you would need to own 80% of all Avalanche tokens to attack and maliciously manipulate the Avalanche blockchain. You’d only need to own 51% of all Ethereum. 

AVAX Token and Staking 

The AVAX token represents the backbone of the network. This utility token is used to stake and pay network fees, and as it is usable across all blockchains and subnets within the Avalanche ecosystem, it is a common usable asset for all of them. It has a capped supply of 720 million tokens. Like bitcoin (BTC), this creates scarcity, which means the token won’t suffer from the continuous dilution through inflation. An additional deflationary effect is achieved through the burning of all AVAX tokens used for fees. 

To be a validator on the network, you have to stake at least 2,000 AVAX. If you can’t afford it, or do not want to be a validator for any reason but would like to stake your AVAX anyway, you can support another validator, which makes you a delegator. Validators can earn up to 11% Annual Percentage Yield (APY) and set a custom percentage fee of the reward they keep from delegators who back them. 

If you’re not sure how much you’re willing to stake, regardless of whether you want to become a validator or delegator, the Avalanche website offers a handy calculator. Here, you can enter the amount you want to stake and see the APY, but also a daily and monthly percentage yield, as well as its value in US dollars—at least according to the current AVAX price. 

Additionally, tokens staked on the Avalanche network are never at risk of slashing. This practice, often used by Proof-of-Stake networks to punish validators who work against the health of the network, is simply not part of their modus operandi. Emin Gün Sirer stated that the decision to exclude slashing was controversial when it was first introduced, but that it is simply not required for security. On the other hand, slashing can hurt nodes that are not misbehaving, but are encountering bugs or other issues.  

Finally, as Avalanche uses a type of Proof-of-Stake protocol, participating in the network does not require any special hardware, making it overall more accessible.

Who Created Avalanche?

The Avalanche consensus model was created in 2018 by an anonymous team of developers who went by the name “Team Rocket.” Once Team Rocket laid the groundwork for Avalanche, developers at Cornell University took over the product with the goal of creating the fastest and safest cryptocurrency network ever. Avalanche went live in September 2020 and is now one of the biggest cryptocurrencies on the market.

Avalanche Market Performance

Avalanche is the ninth most popular cryptocurrency by market capitalization. At the time of writing, Avalanche’s market cap is just over $13 billion. At its peak, Avalanche’s market cap was over $30 billion. 

How to Buy and Store Avalanche

Here’s everything you need to do to buy, sell, and store Avalanche. 

1. Create an account with a cryptocurrency exchange platform. If the exchange you choose has a crypto wallet you are comfortable using, skip ahead to Step 3.
2. Open a crypto wallet. Obtaining a crypto wallet will allow you to store your Avalanche and other cryptocurrencies you buy.
3. Complete your cryptocurrency exchange platform’s identity checks. Doing this is essential to take advantage of all major platform features. 
4. Deposit fiat currency into your crypto exchange account.
5. Use the fiat currency you just deposited to buy Avalanche. 
6. If you chose to use a third-party wallet, you need to send the Avalanche you just purchased to your wallet from your exchange account. 

As you can see, buying Avalanche is a quick and easy process that anyone can do. Selling Bitcoin is just as easy. All you need to do is reverse the process and use your crypto exchange to sell your Avalanche for fiat currency. If you have an external wallet, you’ll need to send your Avalanche back to your exchange first. 

Risks and Challenges

The biggest challenge to Avalanche’s growth is the competition. Avalanche’s market cap is around $13 billion. Their main competitor, Ethereum, has a market cap over $300 billion. 

If you asked a crypto fan “What are Avalanches?” even they might start talking about snow and not about cryptocurrency. Avalanche is fast, secure, and run by ambitious leadership, but it still has a long way to go when it comes to name recognition. 

As for risks, all cryptocurrency is risky. Investing in Avalanche is just as risky as investing in any of the other best cryptocurrencies in the world. You should do your research and never invest more than you are willing to lose. 

Regulatory and Legal Aspects of Avalanche

Like all other top cryptocurrencies, Avalanche is an unregulated digital currency. The decentralized nature of cryptocurrency also makes the industry vulnerable to fraud and manipulation. With all that being said, Avalanche is one of the most secure cryptocurrencies on the market. 

The Avalanche consensus model and subsampled voting process for blockchain verification makes it more secure than other top cryptocurrencies. Avalanche’s blockchain network is harder to attack than other networks. Avalanche also has the backing of major companies like Amazon, which is a promising sign about the future and safety of this coin. 

Community and Ecosystem

The Avalanche community is more experienced with crypto and the finer details of the technology behind crypto than other communities of other coins. This is because of the Avalanche blockchain network. 

Not only does Avalanche allow for faster and more secure transactions than other top cryptocurrencies, its network also is well suited to dApp creators and tech entrepreneurs who use smart contracts and other cutting edge decentralized finance tools. 

Comparing Avalanche to Other Cryptocurrencies

Avalanche is one of the top cryptocurrencies on the market right now, but there is a big gap between it and the big names in the crypto world. Bitcoin and Ethereum have market caps over 100 times larger than Avalanche’s. At time of writing, Bitcoin’s market cap is $844 billion and Etherum’s is $311 billion. Avalanche’s is just $13 billion. 

Overall, Avalanche has the tenth biggest market cap. Cardano is just above Avalanche in eighth place with a market cap of $18.9 billion. Dogecoin sits below Avalanche in eleventh and has a market cap of $11.6 billion. Compared to these coins, Avalanche has more potential for growth, but it’s still way too early to say whether Avalanche will ever hit the heights many crypto experts think it will.

How to Stake AVAX for Validators 

To become a validator, you will have to stake at least 2,000 AVAX for at least two weeks. However, keep in mind that you can’t stake your funds for longer than a year at any given time. Once you decide to start validating, you will have to stake your funds and set parameters like when you’re starting and when you’re stopping, the address you will use to receive any rewards, and your delegation fee rate (2% minimum). None of these parameters can be changed once you issue the transaction to add a node as a validator, so be sure to double check everything. 

For all the specifics on running a validator node, Avalanche has detailed guides in their developer documentation. In order to receive any rewards you’re eligible for, you will have to stay online and responsive for at least 80% of the time you spend in that role. Once you’re done validating, you will receive your stake back, as well as the aforementioned rewards, if applicable. 

How to Stake AVAX for Delegators 

Being a delegator is significantly more straightforward than being a validator. However, while it comes with fewer responsibilities, it also does not include the same rewards as the more complex position. The length of time you can stake your funds for to support another validator is the same as for validators (e.g., two weeks minimum, one year maximum), but it cannot get outside the bounds of your chosen validator’s parameters. In other words, if your chosen validator is staking for half a year, you cannot choose to stake for longer than that. 

The minimum amount you must stake as a delegator is 25 AVAX. Once you’ve set your parameters and issued the transaction, there is no way to change them. You will receive any rewards after the staking period of your validator has run out, but only in case your validator qualifies for the rewards as well. However, the validator that you delegate to keeps a portion of your reward—specified by the validator’s delegation fee rate. 

You can learn more about the steps required to participate in the Avalanche network in the developer documentation. Here, you can find tutorials for everything from running a node, to staking, to upgrading existing nodes. The site is also being regularly updated, which means any new issues or approaches will be documented and explained in an easy to understand manner within a short timeframe.

AVAX Wallets 

Avalanche offers its own wallet, called simply the Avalanche Wallet, on its website. Here, users can simply access their existing wallet, or create a new one if they need it. However, this is far from the only option for storing AVAX and related assets. Users who have other coins may want to keep all their holdings in one place. Some of the other wallets that support AVAX include:

• Ledger Nano X. You will still need an actual Avalanche Wallet, but it can be integrated with the Ledger Nano X hardware wallet for an extra level of security. In the Ledger Live, install the Avalanche App from the App Catalog and set it up by following the steps.
• MetaMask. Yes, the Ethereum (ETH) browser extension wallet can also be configured to use it to receive and manage AVAX C and access DApps made on the Avalanche network. However, while the MetaMask extension is very handy and easy to use, setting it up does require some basic technical skills.
• Coin98. This wallet can be used both as a browser extension and a mobile app, making it doubly useful to AVAX holders. The mobile version also has an integrated DApps browser for Avalanche.
• Coinomi. While the desktop version of this wallet does not support AVAX yet, the mobile one does.

Still, unless you have a pressing reason not to use Avalanche’s proprietary wallet for storing their tokens, it is still by far the best choice—plus, it is both safe and non-custodial, so there should be no security issues when using it.

Where to Buy AVAX 

In order to store AVAX, you first need to have some. Luckily, many exchanges have already listed this project, so finding a trading pair you like should not be an issue. However, for those who are looking for the top exchanges listing it, we have compiled a list of five great options.
 

1. Binance. As the largest exchange by 24-hour trading volume, it should come as no surprise that Binance also hosts the highest volume of AVAX trading. Additionally, the exchange is available almost globally (regulations permitting), is easy to use and straightforward, and accepts multiple payment options.
2. Gate.io. This exchange, one of the oldest in the industry, is still going strong and also offers great AVAX pairs. You can even use your account without KYC, but be warned that you will still need to go through the process if you want to trade higher volumes.
3. Coinbase. A beginner-friendly exchange that only lists vetted projects, Coinbase offers one of the most straightforward ways to purchase AVAX. On the other hand, it has slightly higher fees than most of its competitors, so the simplicity does come at a cost.
4. KuCoin. KuCoin has an incredible selection of altcoins with small market caps, which means you will be able to trade a wide selection of other tokens aside from AVAX. The exchange is also privacy-friendly, which means there are no forced KYC checks, but it doesn’t support any fiat trading pairs.
5. Bitfinex. This formerly professional-only exchange still has an air of exclusivity around it, so trading here offers something of a VIP air. Bitfinex offers many different coins and trading options, but its fees are somewhat higher than on other exchanges, and it is still best suited to those who trade large volumes on a daily basis.

Of course, this list is far from exhaustive, but it offers a good starting point for anyone who needs it.

Avalanche Block Explorer

Another useful tool that most blockchains have is a block explorer. Knowing how to use it is a prerequisite for making the most of the network. On Avalanche, their block explorer is especially useful, as it offers insight into AVAX, but also all other blockchains and their tokens that were created on the platform. At the top, the explorer shows the transaction volume on the platform, the number of validators as well as the total amount currently staked, the number of active blockchains and subnets, and the staking ratio plus annual staking reward.

You can see all recent transactions on the landing page, but also search by address, transaction ID, or asset. Other tabs include subnets, validators, assets, blockchains, C Chain, Status (for the entire network), and resources, which will lead you to any documentation you may need. In other words, their explorer is the best place to start if you need any specific information about the Avalanche platform.

FAQs

If you’ve read all of this guide, you should be well informed about what is Avalanche, what makes it so unique, and why you should or should not invest in this token. However, we know that you might still have some lingering questions. Here are some of the most commonly asked questions about Avalanche. 

How much is 1 Avalanche to buy?

Avalanche price changes by the second. Right now, at time of writing, 1 Avalanche costs $35.99. 

Is Avalanche actually safe?

Yes, Avalanche is safe. Investing in Avalanche is just as safe as investing in any other cryptocurrency. However, you should keep in mind that investing in crypto comes with unique risks that other investments do not have. Do not invest more than you are willing to lose.

What is AVAX?

AVAX is the trade symbol of Avalanche. They mean the exact same thing. For the sake of simplicity, we referred to Avalanche as Avalanche, but don’t be surprised if you see people more commonly using AVAX in other crypto discussions. 

Where can I buy Avalanche?

Avalanche is available on all major crypto exchange platforms, including Coinbase and Binance. Most of these platforms also have dedicated crypto wallets where you can store your Avalanche as well.

The post Avalanche (AVAX) appeared first on Cryptonews.

Solana Price Analysis

Coin Name	Solana
Solana Symbol	SOL
Solana Price	$135.42
Solana Price Change 24h	▼ -5.39%
Solana Price Change 7d	▼ -12.12%
Solana Market Cap	$60,571,645,271
Circulating Supply	447,282,339 SOL

You can see that like many other cryptos, Solana has been subject to some extreme changes in price. The price peaked at around $259.52 in 2021 before dropping way back down to trade for under $10 in 2022. More recently, SOL’s price has been on the rise again and currenty (April 29, 2024) Solana is trading at around $135.42 which is -4.25% change from 24 hours ago.

A big factor that impacts Solana’s price is the public’s relationship with Ethereum (ETH). One of the reasons SOL went up so much in value in 2021 was because the public saw it as a superior competitor to ETH. Frustration with ETH gas fees is also driving the current rise in SOL.

As for why it tanked in 2022, that was because of the fiasco with Sam Bankman-Fried, who had invested heavily in Solana. The crypto became “guilty by association,” and a lot of people sold it as SBF’s scam fell apart. 

As with other cryptocurrencies, SOL’s price is also impacted by factors such as supply and demand and other news events.

What is Solana (SOL)?

Let us start from the basics: Solana is an open-source blockchain that aims to provide a fast, scalable and advanced marketplace and platform for decentralized applications (dapps). Often dubbed the “Ethereum killer”—as are most similar projects—it tackles the issues that plague Ethereum and other Proof of Work-based blockchain projects by opting for a different consensus algorithm and making other improvements in all aspects perceived as weaknesses in their competitors.

Solana was first envisioned in 2017 by Anatoly Yakovenko, who was an executive at tech company Qualcomm before that, so he already had extensive experience in distributed systems and decentralization prior to starting the project. He was joined by Greg Fitzgerald, formerly the Chief Technology Officer and, as of August 2021, advisor of Solana Labs, and Eric Williams, now Chief Scientist, in creating the network.

The project first launched in 2020, three years after it was conceived. It addresses the issues of other blockchains by combining two consensus mechanisms: Proof of Stake and Proof of History. Proof of Stake requires decision-making participants in the network, or validators, to stake some of their token holdings before they can make decisions; making good decisions rewards them, while making bad ones that go against the health of the network is punished by taking their stake away.

In fact, Solana was created with a specific use case in mind, namely as an infrastructure for developing decentralized apps and smart contracts.

Solana is also renowned for its energy efficiency. As many cryptos have had a significant adverse impact on climate change, a cryptocurrency with a smaller carbon footprint is a big deal. In fact, Solana states that when you conduct a SOL transaction, you are using no more energy than you would if you searched on Google a few times. This gives Solana virtually a net zero impact.

Learn more: What Is Proof-of-Stake?

However, Proof of Stake can run into issues when the correct order of transactions has to be determined. This is where Proof of History comes in. With so many participants in different time zones, a decentralized system is hard-pressed to find a single way to timestamp transactions in order to keep them organized. Instead of trusting any given timestamp, Solana’s Proof of History algorithm just proves something has happened before and after other events. In other words, it creates a historical record that proves that an event has occurred at a specific moment in time. According to Yakovenko, this ensures that their blockchain is much faster than other Proof of Stake alternatives.

If you’re interested in learning more about how Solana works, with in-depth technical explanations of the blockchain and its rules, you can read all about it in the Solana whitepaper.

Along with the expected pros of blockchains, like decentralization, security, and immutability, Solana’s speed makes it an excellent place for decentralized finance (DeFi) applications, but also dapps like games. Its speed ensures that a network congestion is extremely unlikely to happen, so fee prices are quite low compared to its competitors.

All of this means that Solana is now the home to many projects of all sorts, with something for everyone—all of which users can access using SOL tokens.

How Does Solana Work?

What makes the decentralized Solana network so efficient? The answer is its reliance on proof-of-stake, as opposed to the older proof-of-work.

With traditional proof-of-work, cryptocurrencies need to be mined by solving puzzles. Proof-of-stake is a validation process that skips the mining and the puzzles. All participants have to do is lock their coins into the network.

Participants who lock in their coins like this qualify to be randomly and passively selected to add blocks to the blockchain (and receive rewards).

You can see why this is so much better for streamlining the process than solving puzzles. Far less energy is spent, which is what makes the system so efficient, scalable, affordable, and eco-friendly.

Indeed, Solana goes a step further, integrating an additional process called “proof-of-history.” According to Solana, this special process speeds up validation over what would be possible through proof-of-stake alone.

Who Created Solana?

Anatoly Yakovenko, previously an executive at Qualcomm, created Solana in 2017.  His experience creating cell phone networks was what gave him the expertise and insights to create an efficient scalable network in the form of Solana.

Solana Market Performance

As of the time of this writing, the Solana market cap is $42,945,078,242. This puts its ranking at #5. The cryptos that are beating it include Bitcoin (BTC), Ethereum (ETH), Tether (USDT), and BNB (BNB).

How to Buy and Store Solana

You know the answer to the question “What are Solanas?”, and you know more about how they work. If you are ready to get your own SOL, follow the steps below.

1. To buy and store Solana, you need:

• An exchange: This is where you can buy and sell SOL and other cryptos.
• A wallet: This is where you can store SOL and other cryptos.

There are many different options for both. If you want to keep things simple and convenient, you can choose a platform that combines a wallet and an exchange.

2. Register an account at the exchange and open a wallet account (this may be a one-step process if it is a combined service).
3. Complete the Know Your Customer (KYC) verification process. This is where you submit documents that verify your identity.
4. Deposit money into your exchange account.
5. Use the funds you just deposited to purchase your first SOL.

If there is a wallet that is part of your exchange account, the funds will be stored there, and you are all set. But you can connect an external wallet and send your SOL there if that is what you prefer.

If you wish to sell your Solana later down the line, you can simply exchange it for a different crypto or for your native fiat currency. You can then make a withdrawal to your bank account, e-wallet, etc.

The Future of Solana

As we discussed, the FTX collapse and scandal adversely impacted Solana’s reputation, causing the price to crash. But SOL is slowly making a comeback.

Anatoly Yakovenko said in September 2023, “I think I would love to see us land, from a technical perspective, multiple leaders per slot. And this is something that is a very different roadmap from all the other blockchains.”

By integrating this feature, Solana seeks to make transactions on the network more fair in their processing.

It will not be easy for Solana to bring back the level of trust it had before FTX, and to grow that trust, but right now, there are reasons to be optimistic that it can do just that. The price has risen sharply over the past few months and there is optimism that Solana can remain a major player in the space. 

SOL Token

The SOL token is the backbone of the Solana network. It is used to pay gas fees on the network, but also for staking, so users can support the network’s security and earn inflationary rewards. The token was launched amid the release of the beta mainnet in March 2020. As of the time of writing, in September 2021, it is the seventh largest token by market cap according to data from aggregator CoinGecko. It reached its all time high on September 9th, when it was trading at USD 213.47 per coin. With a market cap of around USD 40bn, Solana’s token is firmly wedged into the top 10 cryptocurrencies.

SOL Wallets 

Before you buy Solana’s token, you need to have a wallet where you can store your holdings. The wallet you choose will depend on your personal requirements, but also on your comfort with technology; the vast majority of users will need to choose a third-party wallet with an intuitive interface, while those who know their way around their command-line app (advanced users or developers) could opt for those, as new features on the Solana blockchain will always be supported on the command line first before being integrated into third-party solutions.

If you’re sticking with third-party wallets, you can choose between mobile apps and web wallets. Some mobile app wallets that support solana are:

• Exodus
• Trust Wallet
• Coin98
• Zelcore

Out of all these wallets, only Exodus supports staking (more on that further down), but Zelcore can also connect to all Solana-based dapps, as well as trade numerous other cryptos. 

On the other hand, if you spend the majority of your time on a PC, a web-based wallet may be more intuitive to use. Some of these include:

• Phantom
• Solflare
• Sollet
• MathWallet
• BitKeep

The first two support staking as well. Sollet, MathWallet, and BitKeep support all Solana-based tokens aside from SOL, but MathWallet apps do not, which means you will only be able to store your SOL holdings on the web version of the wallet.

Those who have SOL lying around may be interested in staking.

How to Stake SOL

Staking SOL tokens is one of the best-known ways to earn passive income by simply not being able to spend your SOL holdings. To do so, all you have to do is stake tokens to one or more validators on Solana’s Mainnet.

First, you must use a wallet that supports staking. These include:

• Phantom.app in conjunction with a seed phrase or a Ledger Nano.
• SolFlare.com in conjunction with a keystore file or a Ledger Nano.
• Solana command line tools can perform all staking operations in conjunction with a CLI-generated keypair file wallet, a paper wallet, or with a connected Ledger Nano.
• Exodus wallet—but you are automatically assigned their partner validator instead of choosing your own.
• Binance and FTX exchanges—again, you can only stake to their partner validator here.

Once you’ve chosen your method, you will have to follow the instructions of the wallet you are going with, as each will work slightly differently. However, they all have detailed guides, so you’re unlikely to get lost in the meantime. The account used for staking will be different from the one you use to send and receive tokens.

If you’re using a wallet that lets you choose your own validator, you will have to make that choice as well. There are no right or wrong answers here—this is something you have to do by yourself, as the network does not endorse anyone, in the interest of decentralization. After that, your wallet of choice will also have the steps you need to follow in order to delegate your stake.

Solana Ecosystem

At the time of writing, there were 368 dapps on the Solana blockchain. Most of them are DeFi-related, but many are also non-fungible token (NFT) projects, various explorers and tools, etc. They are all listed on the Solana website, with their names and short descriptions readily available. Some of the projects have a more detailed description when you click on them, offering a very intuitive way to research what they are and how they work. You can also click on Learn More, which takes you to the website of the dapp.

Additionally, Solana has a Developers tab on their website, which offers access to all resources required to develop on the Solana blockchain. This also includes blog posts for total beginners, with high-level explanations of what the project is and how it works, walkthroughs, videos, courses on how to build on the network, as well as various other tools. All of these make it relatively easy for developers to join the ecosystem.

Solana Block Explorer

Block explorers are used for more than just tracing your own transactions. In essence, a block explorer is a blockchain search engine that allows you to search for a particular piece of information on the blockchain. Aside from transaction information, this includes the current hash rate and transaction growth, gas fees, and other info related to the blockchain. 

The Solana block explorer will show you the circulating supply, active stake, and current price of the token, as well as a myriad of other, increasingly complex things that you may or may not need. This includes live transaction stats, so you can see the transaction speed of the network, any changes it has gone through, and generally just ascertain the health of the network.

The Supply tab will also let you see the top 20 largest holders of all circulating SOL tokens. Clicking any of them brings up all available data—as with any address—like their previous transactions, activity, etc.

Risks and Challenges

The biggest problems Solana is facing right now are not tied to the past but to the present and future.

While Solana is an efficient network for decentralized apps, alas, fraudulent apps are on the rise. These apps target users through phishing and similar techniques. Many of the scammers appear to be based in Russia.

If these security problems are not addressed quickly and thoroughly, we may see Solana’s value tank once again.

Regulatory and Legal Aspects of Solana

Yakovenko is supportive of increased regulatory oversight in the crypto market. In September, he wrote in Fortune, “For the U.S. to attract and retain the very best talent in the new digital landscape, we need a cogent regulatory framework that protects consumers and encourages entrepreneurship.”

He adds that government officials need to strengthen their personal knowledge and understanding of digital assets before they can regulate them effectively.

Community and Ecosystem 

If you are curious to learn more about the Solana ecosystem, a good place to start is this page on the official website, where you can learn more about decentralized apps and projects that are running on the Solana platform.

Not surprisingly, there is a healthy community of Solana developers, users and enthusiasts. You can access some of Solana’s community resources right on the official website. You can also find additional Solana community outlets on social media sites.

Comparing Solana to Other Cryptocurrencies

To help put Solana in perspective, it helps to be aware of some of its chief competitors. We will start with Ethereum. Solana was developed to create a platform that would be better than ETH, without ETH’s weaknesses. ETH is notorious for its high gas fees, whereas Solana’s average transaction cost is just $0.00025. That said, ETH still has a much higher market cap than Solana, and remains the more prominent crypto.

Another top rival for Solana is Cardano (ADA). Like Solana, Cardano is designed to maximize efficiency and operate sustainably. It is scalable and fast. It is ranking 8th in terms of market cap right now, however, so Solana is still beating it in this regard. Plus, the long research phase for this crypto is a bit of a drawback.

Another crypto that is popular for its flexibility and which may pose a threat to Solana is Avalanche (AVAX). Just as Solana was built for smart contracts and decentralized apps, so was Avalanche. Right now, Solana is still faster than Avalanche for processing transactions, though Avalanche may have some security advantages through its unique consensus protocol. It is right behind Cardano in terms of market cap.

FAQs

Let’s conclude this post about Solana by answering a few frequently asked questions you might have.  

How much is 1 Solana to buy?

The Solana price can vary quite a bit. At the moment of this writing, 1 Solana = $99.19 USD. But Solana’s all-time low was just $0.5052, and its all-time high was $260.06. So, the cost to buy 1 Solana depends on its value at the instant of purchase.

Is Solana actually safe?

Solana is safe to use, but it does carry the risk of high volatility, like many other cryptocurrencies.

What is Solana used for?

Solana’s primary purpose is to support the development of decentralized apps and smart contracts. But some people also use it as an investment, or to buy or sell goods or services.

Who can use Solana?

Solana is often used by developers creating decentralized apps. But anyone can hypothetically buy and use Solana.

The post Solana appeared first on Cryptonews.

What sets Cardano apart is its commitment to a layered architecture, separating the ledger of account values from the reason why values are moved from one account to the other. This separation creates more flexibility, making Cardano an agile platform for developing decentralized applications (DApps) and smart contracts.

As a third-generation blockchain, Cardano aims to address the limitations of its predecessors, such as Bitcoin and Ethereum. Want to know more about ADA? We’ll dive into all the details in our comprehensive guide below.

Cardano Price

Cardano’s past trends gives you insights into its market behaviour. Over the years, Cardano price has experienced tons of fluctuations.

Cardano price went through the same wild roller coaster as many other cryptocurrencies in 2018. Its price peaked in January at USD 1.01 and dropped to USD 0.085 in October of the same year. Accordingly, Cardano market capitalization hit USD 2 billion in October, compared to USD 30 billion in January. Going forward, one needs to follow development of competing platforms such as Ethereum, as this might affect the price of ADA.

If you wonder how to acquire Cardano, first you need to download a wallet that supports ADA cryptocurrency. At the time of writing those are two: Daedalus wallet and Infinito Wallet.

Buying, selling and trading with ADA coins is possible through exchanges such as Bittrex, HitBTC, Binance, Upbit, and others. Meanwhile, one of the major exchanges BitMEX provides a futures market for BTC:ADA, using only BTC as margin. Therefore, you cannot purchase, trade with, or withdraw Ada from BitMex. Cardano aims to be listed on more exchanges – new partnerships will be announced via its social media channels.

Moreover, the company plans that ADA will be available to purchase at a network of ATM machines in Japan in an unspecified future. If you want to take a look at the future forecast of Cardano price, we have you covered.

What is Cardano?

Cardano’s development began in 2015 by Ethereum co-founder Charles Hoskinson. The aim was for Cardano to take an innovative approach compared to its predecessors in building a decentralized ecosystem. ADA was officially launched in 2017, and it has seen plenty of price fluctuations over its relatively short lifespan.

Cardano is a blockchain platform that aims to provide a more secure and sustainable infrastructure for the development of decentralized applications (DApps) and smart contracts. 

Cardano’s development is driven by three main principles: scalability, sustainability, and interoperability. These principles guide the Cardano team in addressing the challenges faced by earlier blockchain networks, aiming to create a more inclusive and secure financial ecosystem.

Here’s what makes Cardano unique:

• Cardano uses a layered architecture that separates the settlement and computation layers. This design offers better flexibility and allows for easier upgrades without disrupting the entire system.
• Cardano uses the Ouroboros proof-of-stake consensus algorithm, which relies on the principle of “staking” ADA (Cardano’s native cryptocurrency) to participate in the network. This approach aims to be energy-efficient while ensuring security. Reducing the overall impact on the environment compared to older cryptocurrencies.
• Another one of Cardano’s unique features is its emphasis on academic research and peer-reviewed development. The platform collaborates with universities and experts worldwide to ensure the scientific rigor of its protocols and innovations.
• Similar to Ethereum, Cardano supports smart contracts and decentralized applications. However, Cardano’s layered approach and commitment to formal verification aim to enhance security and reduce the risk of vulnerabilities.
• Cardano also introduces a treasury system that allows ADA holders to participate in decision-making processes and propose changes to the network. This feature promotes decentralization and community involvement in governance.

As you can see, there are a ton of behind-the-scenes features that you get with Cardano – it’s more than just another cryptocurrency.

How Does Cardano Work?

Cardano uses a multi-layered architecture designed to improve its scalability, sustainability, and security. The platform is divided into two main layers – the Cardano Settlement Layer (CSL) and the Cardano Computation Layer (CCL).

Firstly, the Cardano Settlement Layer (CSL) is responsible for handling ADA transactions and the transfer of value. It uses the Ouroboros proof-of-stake consensus algorithm mentioned earlier, allowing ADA holders to participate in the network’s operation by staking their tokens. Ouroboros ensures security and energy efficiency when validating transactions.

Secondly, the Cardano Computation Layer (CCL) is dedicated to supporting smart contracts and decentralized applications (DApps). Since these two layers are segregated, Cardano has improved flexibility and allows for independent upgrades.

Cardano’s unique technological features and commitment to real-world environmental impact have brought a fresh perspective to the cryptocurrency market. 

Who Created Cardano?

Cardano was co-founded by Charles Hoskinson, a prominent figure in the cryptocurrency space. Hoskinson is a mathematician and entrepreneur who was also one of the co-founders of Ethereum. His vision for Cardano was to create a blockchain platform that could provide a more secure and sustainable infrastructure for the development of decentralized applications.

Cardano’s development is overseen by IOHK, a blockchain research and development company. IOHK was founded by Charles Hoskinson and Jeremy Wood in 2015, with a specific focus on building blockchain solutions.

The idea for Cardano was conceived in 2015. The development of ADA began with a research-driven approach to address the challenges faced by existing blockchain platforms.

The native cryptocurrency of the Cardano blockchain, ADA, was launched in September 2017 through an initial coin offering (ICO). The ICO raised significant funds to support the ongoing development of the Cardano platform.

What’s interesting is that Cardano’s development is structured in phases, each named after famous poets. For example, the Byron phase, representing the foundation era, saw the launch of the mainnet and the introduction of ADA. The subsequent Shelley phase focused on decentralization, introducing staking and the Ouroboros consensus.

The five eras of Cardano are:

• Byron
• Shelley
• Goguen
• Basho
• Voltaire

Cardano is an evolving project with a roadmap extending into the future. The development team continues to work on subsequent phases, including Goguen (smart contracts and decentralized applications), Basho (scaling), and Voltaire (governance).

This approach alone is enough to make Cardano interesting to keep an eye on.

Cardano Market Performance

Cardano (ADA) has a market cap of $19.00B. It has established itself as one of the leading cryptocurrencies in the market. The market capitalization gives you an idea of the overall value of a cryptocurrency within the broader cryptocurrency market – it shows total value of all ADA tokens in circulation.

Cardano’s latest trading volume is $362.03M in the last 24 hours (at the time of writing). This figure shows the total amount of ADA tokens traded across crypto exchanges within a specific time frame. Higher trading volume means more market activity, liquidity, and investor interest.

How to Buy and Store Cardano

You can buy Cardano (ADA) through various cryptocurrency exchanges such as Kraken, Coinbase, or Binance (to name a few). 

Here’s a step-by-step guide on how to buy Cardano:

1. Choose a cryptocurrency exchange: Choose a reputable cryptocurrency exchange that supports Cardano.
2. Create an account: Sign up for an account on the chosen exchange. Complete the necessary identity verification process as per the exchange’s requirements.
3. Deposit funds: Deposit funds into your exchange account. Most exchanges accept deposits in fiat currencies (such as USD, EUR) or other cryptocurrencies.
4. Find ADA on the exchange: Locate the Cardano trading pair on the exchange.
5. Place an order: Enter the amount of ADA you wantto buy.
6. Complete the purchase: The ADA tokens will be credited to your exchange wallet.

That’s it – you’ve bought ADA. But after buying Cardano, it’s crucial to secure and store your ADA tokens safely. Here’s how:

• Hardware Wallets (Ledger Nano S, Ledger Nano X, or Trezo) – these offer better security and are not prone to hacking.
• Software Wallets (Daedalus and Yoroi): More easily accessible and flexible, but they come with security risks. Make sure your cybersecurity is up to date.

The Future of Cardano

As mentioned earlier, Cardano is known for its deliberate and research-driven approach. Therefore, it has a comprehensive roadmap that outlines its development phases and upcoming features. While specific timelines can be subject to adjustments, the following key developments are anticipated:

• Smart contracts and the Alonzo upgrade: The Alonzo upgrade is set to bring smart contract functionality to the Cardano blockchain. This will open the door to a wide range of applications and projects.
• Decentralized Finance (DeFi) integration: With smart contracts in place, Cardano aims to actively participate in the growing decentralized finance (DeFi) space. This will open doors to lending, borrowing, and decentralized exchanges that are expected to emerge alongside Cardano.

Risks and Challenges

Investing in Cardano (ADA) comes with potential risks and challenges that you should be aware of.

Firstly, Cryptocurrency markets, including Cardano, are known for their price volatility. Prices can experience rapid and unpredictable fluctuations. Always be aware of the factors that affect Cardano’s price and keep an eagle eye on your investments.

The regulatory environment for cryptocurrencies is always evolving, and changes in regulations could impact Cardano’s market and adoption. Make sure to stay informed about regulatory developments and compliance requirements in the jurisdictions you operate in.

Cardano is a complex blockchain project with ongoing development. Technical issues, bugs, or unforeseen challenges are sure to show up from time to time and it could affect the network’s functionality. Keeping up with the latest news on ADA could help you stay informed on these issues. 

Regulatory and Legal Aspects of Cardano

Cardano (ADA) operates globally where the legal status of cryptocurrencies varies across jurisdictions. But it’s important to keep in mind that the legal status of Cardano varies from country to country. 

Some jurisdictions embrace cryptocurrencies, recognizing them as legitimate financial instruments, while others impose strict regulations or outright bans.

Cardano’s compliance with international regulatory standards, such as Anti-Money Laundering (AML) and Know Your Customer (KYC) regulations, is important for its acceptance in traditional financial systems. Regulatory compliance improves Cardano’s legitimacy and makes it more acceptable in traditional financial institutions.

Comparing Cardano to Other Cryptocurrencies

When deciding whether Cardano is a worthy investment or not, it could be helpful to compare it to some other cryptocurrencies. But it’s important to consider the key differentiators that sets Cardano apart from its competitors. We’ll compare ADA to three other cryptocurrencies below.

Cardano vs. Ethereum

Firstly, what better comparison to make than to its founder’s previous project – Ethereum? Well, as you can see above ETH is an entirely different calibre compared to Cardano. That mainly comes down to the fact that Ethereum has been around for much longer than ADA.

Both Cardano and Ethereum are known for their smart contract capabilities, facilitating decentralized applications (DApps) and decentralized finance (DeFi) projects. While Ethereum currently operates on a Proof-of-Work (PoW) model, it is transitioning to a Proof-of-Stake (PoS) model, similar to Cardano’s Ouroboros consensus.

Cardano’s PoS mechanism, Ouroboros, is designed to be more energy-efficient than Ethereum’s current PoW model. Furthermore, Cardano focuses on a phased development approach, aiming for a systematic rollout of features, which is why it’s still so far behind it’s “big brother”.

Cardano vs. Binance Coin

Binance Coin and Cardano’s ADA both serve as utility tokens within their respective ecosystems. BNB is primarily associated with transactions and fees on the Binance exchange, whereas ADA is integral to Cardano’s network, participating in staking and governance. Overall though, BNB is still much bigger than ADA at the moment.

Cardano vs. Polkadot

Polkadot and Cardano share a focus on scalability and interoperability through their multi-chain architectures. Both projects incorporate Proof-of-Stake mechanisms, with Polkadot using Nominated Proof-of-Stake (NPoS). Polkadot is a smaller cryptocurrency compared to Cardano in terms of numbers.

FAQs

How much is 1 Cardano to buy?

The price of 1 Cardano (ADA) can vary based on market conditions and exchange rates. It’s advised to check a reliable cryptocurrency exchange platform for the most up-to-date pricing.

Is Cardano actually safe?

Cardano is designed with a strong emphasis on security. Its development involves academic research, and the blockchain employs a layered architecture to enhance security. However, like any investment, risks exist, and you should exercise caution and stay informed.

Where can I buy Cardano?

Cardano (ADA) can be purchased from various cryptocurrency exchanges. Popular platforms like Binance, Coinbase, Kraken, and others often list Cardano. You can simply create an account on a suitable exchange, deposit funds, and buy ADA.

What wallets can I use to store Cardano?

Cardano can be stored in wallets that support ADA. Some recommended wallets include Daedalus (official Cardano wallet), Yoroi, Ledger Nano S/X (hardware wallets), and others. It’s important to choose a reputable wallet that aligns with your preferences.

Is Cardano environmentally friendly?

Cardano’s proof-of-stake consensus mechanism, which involves less energy consumption compared to proof-of-work systems, contributes to its environmental friendliness. This aligns with the network’s sustainability goals.

Can I participate in the Cardano community?

Yes, Cardano encourages community engagement. You can join forums, and social media groups, and contribute to the development of the ecosystem. The Cardano community plays a vital role in discussions, feedback, and network governance.

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The Aeternity platform was launched in 2017 as a smart contract and dapps platform focused on correcting what its designers identified as scalability-related problems faced by these technologies. Upon the launch of its testnet and the Aeternity token back in 2017, the Aeternity project garnered enough attention of the crypto community to have it rank among the top 40 currencies by market capitalization as of November 2018. Its future, however, will arguably depend on what it manages to deliver on its promise to increase the scalability of smart contracts, connect them with the external data sources and reduce the mining requirements.

In order to achieve this, Aeternity plays the card of implementing an array of different technologies working towards its stated goals. These are its state channel technology as a solution for the scalability problem, a hybrid consensus model combining the Proof of Work and Proof of Stake systems and a decentralized oracle-based system tasked with connecting real-world data with smart contracts. Let’s see how these work at individual level and which specific issues they aim to tackle.

Smart Contract Scaling Problem Aeternity Wants to Bypass

Scalability is the issue that has plagued the blockchain since the outset and it only became more pronounced with its increased adoption. In the context of smart contracts, scalability refers to the ability of this technology to handle the growth in the number of its users and manage to offer satisfactory efficiency in the face of increased demand.

Take, for example, Ethereum platform which uses its blockchain to allow for the development and deployment of smart contracts. In its current version, each smart contract on the platform is assigned to each full node. If users want to interact with their smart contracts, these programs are executed on every full node they are deployed to and this happens throughout the network. The issue came to prominence with the increasing traffic rates on the network which went in parallel with the rising popularity of this platform. Not too long ago, Ethereum faced a network-wide slowdown brought about by a simple game involving breeding of virtual pets, CryptoKitties.

As the Ethereum blockchain developed, the size of its blocks grew in parallel. The reason for this lies with its architecture i.e. the fact that Ethereum runs on the node network, with each of them storing information on the whole of transaction history as well as the data on the state of smart contracts and account balances. Considering that the number of transactions rises with each new block in the interval of 10 to 12 seconds, it is easy to see how this limitation made the management and handling of transactions and smart contracts an increasingly complex and prolonged process which could take hours. The pool of users often includes businesses that carry out their transaction on the Ethereum network whose blockchain is also the home to various cryptocurrencies. Put together, all of these factors contributed to the drop in the transaction processing rates on the Ethereum blockchain which, in turn, endangered its capability to scale together with an increasing number of its users. At the same time, the same users increasingly demand at least the same level of functionality and efficiency they became used to when using popular online payment processing systems.

Aeternity Moves Smart Contracts Off Chain

Initially, blockchain platforms tried to approach the problem of scalability by increasing the sizes of blocks on their networks. The goal was to allow for the execution of the higher number of transactions per second on each block, based on the knowledge that time period needed for block verification is largely dependent on the complexity of cryptographic computations involved in it. Yet, there were some issues with this approach. Making the blocks larger in order to have them handle more transactions meant putting more demands on the mining resources one needs to have to manage them. The centralization of power as a byproduct of this would mean the removal of the users who can verify transactions from the network, leaving the enlarged blocks in the few hands of large players (such as companies) that have sufficient resources to actually run them.

Instead of this, Aeternity platform opts for moving smart contracts off its blockchain and having them executed with the help of the state channel technology. This technology involves the use of the communication channels which run between the contracting parties. State channels are run off the Aeternity’s blockchain, meaning that they do not get involved with it, except in the cases which entail the need for the resolution of disputes or transfers of value. In case of disagreements related to smart contracts, the problems which need adjudication are handled by using the main blockchain to send the announcement on the last known commonly agreed interaction which took place off-chain. At the same time, the blockchain is invited to pass the judgment related to the contested issue, acting as an equivalent of an impartial judicial authority. This is further ensured by using the zero-knowledge proof method in relation to the contents of the smart contract in question, thus protecting its privacy.

The procedure ends with the settlement and the closing of the contract which are both handled on the chain. Since all other procedures related to smart contracts are managed off-chain, the throughput capacity of the Aeternity remains largely unaffected by these standard operations.

At the same time, transactions themselves are processed in more expeditious manner since they do not take place on the blockchain. The state channels take care of the management of fast micropayment transactions, bringing down their cost and the drain on resources. The reason for this is the fact that only the parties to a smart contract or those who are involved in the transfer or value actually have access to the information on the particular transactions which take place between them. In addition to avoiding the burdening of the network resources with unneeded information, this approach also improves the level of privacy offered to the contracting parties. This is particularly important for corporations whose smart contract can contain confidential business data, as well as for regular users who need to manage their sensitive information on the Aeternity platform.

Aeternity Applies Functional Approach to Smart Contract Development

Moving the communication segment of the smart contract management off the chain does not mean that Aeternity will have easier time facing what its competitors offer as their solutions to the problem of scalability. Zilliqa, for example, opts for the implementation of the sharding technology as a response to this issue. Some of competitors such as Decred employ seemingly similar approach in handling transactions on tis network off-chain (via micropayment channels). Aeternity’s competitor Ethereum focuses on stateful programming as the basis for the development of smart contract applications.

“Stateful” here means that its platform will keep tabs on what happens with interactions relating to smart contracts (their “state”), as opposed to the “stateless” approach which keeps no evidence of earlier interactions. In case of Aeternity, its “functional” approach means that only the contracting parties remain in charge of the state of their contract, in the sense that they create inputs for it and validate them upon their execution. In separating the stateful from the functional programming, Aeternity hopes to improve the smart contract scalability, while allowing for their easier coding and storage with the help of the Chalang language which is optimized for the state channels on blockchain.

Aeternity also competes with others as the decentralized application platform. Its dapps are called “aepps” and these are being developed as open source creations which serve as a preview of what the Aeternity platform is capable of ahead of the launch of its mainnet. Aepps developed on Aeternity focus on a mobile-first approach and streamlined mobile-desktop connection as part of the platform’s aim to drive its adoption based on broader accessibility.

Aeternity’s Oracle Machine

Smart contracts built on the Aeternity platform are not designed to become closed or isolated systems. Instead of this, Aeternity provides technology which will allow them to receive inputs from the outside world. These can take the form of external data which can be relevant for the execution of a smart contract. The examples include checking the information on the prices of various products or goods, monitoring election results or keeping up to date with the weather conditions.

To that effect, Aeternity integrates oracles as agents that identify real-world events and forward information on them to the blockchain the smart contracts exist on. Machine oracles act as sensors that gather and forward digital information in the format which smart contracts can read, while user oracles confirm the veracity of these information or report their own data. Each user can ask questions related to what happens in the “external world” of smart contracts and the oracles provides them with an answer. Aeternity also uses prediction market protocol which allows users to bet on the incoming data the oracles provide.

Since the oracles can request and be given access to the external data sources, they can pose a security risk to the blockchain and become a vulnerable point because of their central status in the data management. Aeternity attempts to avoid this pitfall by making the information contained in the oracle data feeds immutable as soon as they arrive on the Aeternity platform.

Hybrid Consensus Model

To make centralized data streams such as oracles less of a security problem, it is also necessary to determine if the facts they supply are “true” or “false”. At the same time, malicious attacks can make the data sources give false values, making it necessary to implement a consensus mechanism that checks the oracles and activates in case there is a disagreement. In order to achieve this, Aeternity implemented a hybrid proof of work and proof of stake consensus mechanism on its platform. Proof of work handles the consensus on the platform while the proof of stake manages the governance. While those who mine the AE coins verify new blocks based on the PoW system, Aeternity has implemented its Cuckoo Cycle variant which allows for better scalability in terms of dynamic RAM requirements of the system. The algorithm also offers better energy efficiency and instant verification. All of this points to Aeternity’s ambition to streamline mining on easily available devices such as mobile phones in the future. Owners of the AE tokens use these as proportionate stakes based on which they vote on proposals to change and further develop the platform.

AE Token Availability

As the Aeternity is still in the testnet stage (as of November 2018), its Aeon token was launched as an ERC-20 token running on Ethereum. After the launch of the mainnet, these tokens will be exchanged for Aeternity coins. The tokens are used to pay the fees for transactions which take place on the Aeternity platform as well for the settlement of its smart contracts, similar to Ethereum’s gas.
The initial coin offering (ICO) for the AE took place in mid-2017 and it eventually raised USD 24 million. The coin’s current market cap (November 2018) stands at USD 280 million, down from its historic high of just over one billion USD in May 2018. The number of tokens in circulation is 233,020,472 AE. The tokens are available for trading on crypto exchanges such as HitBTC.

The Team behind Aeternity

The Aeternity project is based in Lichtenstein. The CEO and founder of Aeternity is Yanislav Malahov who describes himself as the godfather of Ethereum due to his early collaboration with Vitalik Buterin, co-founder of Ethereum. The Aeternity team has grown since its inception and it now comprises more than 40 individuals with backgrounds in blockchain, Erlang programming and business development.
The Aeternity Starfleet is the set of business incubator and investment programs organized as part of the Aeternity project in order to stimulate development of the platform and the blockchain in general.

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Basic Attention Token is a digital advertising token which runs on the Ethereum blockchain. The BAT ecosystem is a decentralized open-source platform for advertisers, publishers and users who feel that the modern-day digital advertising is rigged in favor of intermediaries and large players such as Facebook or Google. The BAT project was launched in response to what its creators saw as increasing monopolization of the advertising business which leaves publishers and users on the receiving end.

At the same time, it aims to correct others issues related to digital advertising, such as compromised user privacy and an increasing number of ad frauds. The BAT token aims to do this by allowing the users to be compensated for the “attention” they give to the ads shown online, while the publishers can have more direct access to their earnings with the removal of the intermediaries. The final piece in this chain are the advertisers within the BAT ecosystem which provides them with insightful analytical data for better management and targeting of their ad campaigns.

BAT Wants to Change Current Digital Advertising Landscape

Key issues with the digital advertising market the BAT aims to fix actually affect three main parties in this market. These are:

• Users
• Advertisers
• Publishers

In the case of the users, the main identified problem is the erosion of their privacy and unsolicited tracking of their activities online. The reason for this is the fact that intrusive ad placements had initially failed to deliver the goods when it comes to revenues. These ads kept annoying the users since they were frequently irrelevant to their interests and hard to avoid. As the numbers of clicks on these ads dropped together with the revenues, the businesses responded by starting to gather the users’ private data and checking their browsing histories without prior approval.

In addition to being borderline illegal, this approach led to an increase in the use of mobile data for ads and trackers, rise in tracking malware, longer loading times for mobile users and decreased phone battery life due to ads. All of this contributed to increasing resistance to this approach from the current generation of ad-blind users who are now less likely to provide private data and frequently resort to installing ad blockers.

The state of modern day digital advertising can be described as hurtful for the content creators and publishers as well. Illegal tracking of data and excessive advertising has led them to face difficulties in using online ads to monetize their content. As the users try to avoid the ads that accompany content, they inadvertently hurt the sole source of income for many publishers. Revenues in this segment are now actually increased by having the ads removed, while the market faces the long-term duopoly of Facebook and Google as the main middlemen in this process. Just in the UK, these giants are forecast to collect over 70% of the total digital advertising spending. At the same time,frauds involving ads caused USD 6.5 billion in damage in 2017 alone.

BAT Token’s Integration with Brave Browser

To counter this, the Basic Attention Token platform was designed with a comprehensive approach in mind, aiming to help all the parties in the digital advertising industry chain. The process starts with the tracking of the level of engagement the users have while interacting with digital ads, and the storing of the related data in a distributed ledger on the BAT platform. The main unit of measurement here is the user’s mental engagement or “attention” invested in viewing digital advertising content.

To make the attention tracking possible, the initial stage of the BAT platform implementation involved its integration with the Brave browser which was developed by the BAT team. Brave is an open source browser built with the primary goal of delivering advanced privacy and speed to its users. This is supposed to be achieved by having Brave automatically block all malware and unwanted trackers used by the advertising middlemen. Simply put, Brave will go above & beyond the call of duty when it comes to ad and web tracker blocking, aiming to outperform even dedicated ad blockers with its zero-tolerance policy approach to ad filtering. In addition to this, Brave attempts to make each visited website use HTTPS protocol to provide the users with an even higher level of browsing security.

Brave will still anonymously track the user’s engagement (i.e. attention) in an anonymous and secure manner with the help of blockchain, but this type of “tracking” will not involve leaking this data to third parties which seek to profit from it. Instead of this, the user’s private information and the data gathered on where their attention is spent the most will be kept on the user’s device only. Brave is the first browser-based integration of the BAT technology, while the ultimate aim of the developers is to have the BAT system integrated with every mainstream browser such as Chrome or Firefox.

BAT Ads Ecosystem Aims to Benefit Users

The data which is stored locally plays a key role in the BAT system, particularly its component called the “BAT ads”. The BAT ads’ engine includes attention measurement and analytical systems as well as machine learning capabilities. These features allow for the measurement and evaluation of the “attention value” on the BAT platform. This value is calculated for each ad and it represents the measure of incremental time which the user spends in interacting with a particular ad, as well as the proportion of the visibility of the ad pixels compared to the content which is being viewed.

This is the point at which the browser’s machine learning algorithms can kick in, as they effectively “instruct” the Brave (or any other browser) to show only the advertisements which hold relevance to the users and customize their showing based on the stored data. At the same time, the ads can be displayed without the possibility to link them with the identity of any particular user. As this is done locally, i.e. on a single device, there is no need for the services of third-party tracking software which would forward private data to the advertising middlemen.

How Can BAT Help Advertisers and Publishers?

Rather than acting as an intermediary, the BAT platform attempts to link the advertisers with users in an arrangement which has the potential to be mutually beneficial. Advertisers can use BAT tokens to buy advertising space and pay the users for their attention. The process starts by providing the interested advertisers with the opportunity to use the BAT’s smart contract system to show ads which feature locked BAT token payment to the user. Whenever a user interacts with or views the ad, a portion of this token payment is distributed to them as compensation for the time they spend in viewing an ad.

In return, the advertisers can increase their return on investment by having access to the analytical data which are gathered by the BAT’s machine learning and attention measurement systems. Based on these data, the advertisers can have an impartial insight into the performance of the specific ads in the field. This allows them to tailor their campaigns more easily, as the data on the user’s attention can inform their approach to creating more personalized and user-tailored ads in the future. In addition to more streamlined targeting, the BAT platform aims to use this system to reduce ad-related frauds.

In addition to users and advertisers, another potential beneficiary in the BAT system are publishers or content producers which host ads. They can retain ad revenue in proportion to the user attention value they create. In fact, the more efficient a publisher’s content is in drawing constant attention from the users, the larger the allocated revenue will be. Based on the BAT’s profit-sharing model, up to 70% of ad revenue goes to the publishers. At the same time, Brave keeps 15% and leaves the users with an option to keep their 15% share or donate it to their favorite publisher. In addition to receiving a larger piece of the advertising pie usually reserved for the middlemen, the publishers using the BAT platform would be incentivized to create more engaging content on diverse publishing platforms and thus secure access to a wider range of both advertisers and users.

Finally, the BAT gives them the opportunity to select the particular ads which will be shown alongside their content, helping them create and offer better user experience for the content consumers. The list of BAT’s verified publishers is growing, with its system accepted by The Washington Post, Guardian, Vimeo, Vice and others.

Brave Payments Program

Integration with the Brave platform allows the BAT platform to implement an additional feature which is closely related to the functionality of its token. Once fully implemented, the Brave Payments program will make it possible for the users to provide support to their favored content producers. This system works like this: from the total balance of tokens they receive for their time spent on ads, the users will be able to set aside a specific amount of BAT tokens and send them to their favorite publishers, content creators or websites in form of a donation, similar to the system which is being used on Patreon. To make this possible, the BAT developers developed a BAT wallet which is embedded with the Brave browser in order to allow for the easy transfer of tokens for this purpose.

In addition to sending donations and tips, the BAT system allows the users to spend their tokens on the platform to gain access to the restricted content or premium products, or value-added features such as photos in high resolution or data services. Another planned implementation of the token transaction system on the BAT foresees using these tokens to pay for the selected quality comments on forums or voting for them. To keep track of these transactions, users will have access to the Brave Payments dashboard which will give them information on their account balance, incoming contributions and the overview of the websites or content creators they have “tipped” with their earned BAT tokens.

BAT Token Availability and Development History

Due to its highly specific purpose and use, BAT tokens cannot be mined. The tokens were offered as part of the ICO which took place in May 2017, with their total supply fixed at the amount of 1,500,000,000 BAT. One third of the tokens were kept by the BAT team to be used as grants for the promotion of the token and the development of the user growth pools. No more tokens will be created once these pools are exhausted. In February 2018, BAT team launched the referral scheme which rewards publishers with BAT tokens if they manage to bring new users to the platform.

As of November 2018, the BAT’s market cap has reached the value of USD 328 million, while the currency recorded its current all-time high in early 2018 when it had the value of USD 864 billion. BAT can be bought through its partner Uphold.com or by using the Brave wallet to convert the BTC or ETH cryptocurrency to it. At the same time, BAT is an ERC-20 token which means that it can be stored in ERC20 compatible wallets.

BAT tokens are available for trading on crypto exchanges such as Coinbase and Poloniex.

The history of the BAT token starts with the Brave Software company which was established in 2014. The mastermind behind this project is Brendan Eich, founder of Mozilla and Firefox and the inventor of the JavaScript programming language. Other important team members are security engineer Yan Zhu and Marshall Rose, inventor of the Simple Network Management Protocol. The BAT team also features advisors who are household names in the crypto scene, such as Zooko Wilcox, founder and CEO of Zcash and Ankur Nandwani, Product Manager at Coinbase.

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