Značka: Cryptocurrencies

IMF urges El Salvador to remove Bitcoin's status as legal tender

Members of the executive board at the International Monetary Fund are urging lawmakers in El Salvador to no longer recognize Bitcoin as legal tender.The IMF reported on Tuesday that though digital payments had the potential to increase financial inclusion in the Central American nation, the use of Bitcoin (BTC) as legal tender carried “large risks” related to financial stability, financial integrity and consumer protection. The executive board directors urged El Salvador authorities to “narrow the scope of the Bitcoin law by removing Bitcoin’s legal tender status,” also expressing concern about the potential risks of issuing Bitcoin-backed bonds.The officials’ recommendation came following the conclusion of an Article IV consultation in El Salvador. According to the IMF, during such a consultation, a team of economists visits a country “to assess economic and financial developments and discuss the country’s economic and financial policies with government and central bank officials.” Prior to the implementation of El Salvador’s Bitcoin Law in September 201, IMF officials warned that some of the consequences of a country adopting BTC as a national currency “could be dire,” including the risk of having domestic prices becoming highly unstable, and assets being used contrary to Anti-Money Laundering and Combating the Financing of Terrorism measures. The IMF has previously issued statements to small nations considering adopting crypto, claiming that to do so would “raise risks to macroeconomic and financial stability as well as financial integrity.”Since the Bitcoin Law went into effect in September, El Salvador President Nayib Bukele has used his Twitter account to announce several BTC buys totaling 1,801 BTC — worth roughly $67 million at the time of publication. The latest purchase of 410 BTC came as the price of the crypto asset dropped below $37,000 for the first time since July 2021. Nope, I was wrong, didn’t miss it.El Salvador just bought 410 #bitcoin for only 15 million dollars Some guys are selling really cheap ‍♂️ https://t.co/vEUEzp5UdU— Nayib Bukele (@nayibbukele) January 21, 2022Cointelegraph reported on Jan. 14 that El Salvador’s recognition of BTC as legal tender may be impacting the country’s sovereign credit outlook, according to Moody’s Investors Service. Analyst Jaime Reusche reportedly said that Bitcoin “certainly adds to the risk portfolio” of a country that has struggled with liquidity issues. According to data from Cointelegraph Markets Pro, the price of Bitcoin is $36,550 at the time of publication, having fallen more than 12% in the last seven days. The crypto asset briefly dipped to the $33,000s on Jan. 24 before returning to the $36,000s.

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YouTube head of gaming Ryan Wyatt to resign and join Polygon Studios as CEO

On Tuesday, Ryan Wyatt, head of gaming at YouTube, announced he would be leaving the video-sharing platform in February. Partly due to his leadership, YouTube Gaming sees over 250 million daily logged users per day with hundreds of billions of watch time each year. Wyatt cited his passion for blockchain and Web 3.0 development in explaining his resignation. H will soon join Polygon Studios as its CEO.Polygon Studios is the gaming and non-fungible tokens, or NFTs, arm of the namesake layer two Ethereum (ETH) scaling network (MATIC). Polygon plans to commit $100 million to projects led by its subsidiary studio, which debuted last July. The firm’s objectives are to develop decentralized gaming; attract blockchain enthusiasts to its NFT tokens ecosystem, and establish Polygon as a competent blockchain for the Web 3.0 transition. Regarding his new role, Wyatt said:”I will be focusing on growing the developer ecosystem through investment, marketing, and developer support and bridging the gap between Web 2.0 and 3.0. I’ll be leading the Polygon Studios organization across gaming, entertainment, fashion, news, sports, and more.”It is bittersweet news to share that I am leaving @YouTube.I have loved every minute of my time here, but it is time for my next endeavor.I am elated to announce that I will be joining @0xPolygon ($MATIC) as their CEO of Polygon Studios.Thank you for the memories! ❤️ pic.twitter.com/VhQxpqDbFO— Ryan Wyatt (fwiz.eth) (@Fwiz) January 25, 2022In his departure statement, Wyatt described fond memories of his first day at Google’s Mountain View, California headquarters in 2014. He also expressed his gratitude to CEO Susan Wojcicki and CBO Robert Kyncl for hiring him eight years back. Meanwhile, Polygon Studios gave Wyatt a warm welcome to his new role.Please welcome our new CEO to Polygon StudiosWelcome @Fwiz to the PS family! Ryan is the former Head of Gaming @YouTube and we are all looking forward to working with him https://t.co/NQgLqUBLPi— Polygon Studios (@_PolygonStudios) January 25, 2022

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Coinbase joins NGO's efforts using crypto to help Haitians impacted by earthquakes, civil unrest

Major crypto exchange Coinbase has given a $150,000 grant to Hope for Haiti as part of a pilot program aimed at providing financial assistance to Haitians experiencing social and economic hardship. In a Tuesday announcement, Hope for Haiti said Coinbase would be making the $150,000 contribution to its pilot project with financial inclusion-driven firm Emerging Impact and the Celo Foundation. According to Celo, the project utilizes the Celo Dollar (cUSD) and Emerging Impact’s Umoja platform to provide cash-based assistance to mothers affected by some of the traumatic events in the Caribbean nation.Haiti has been struck by four major earthquakes in the last 12 years, including a magnitude 5.3 quake on Monday, which reportedly left two people dead and 200 homes destroyed. However, the island nation’s capital city of Port-au-Prince was also significantly damaged by a magnitude 7 earthquake in 2010, followed by prolonged civil unrest that was, in part, connected to the current pandemic and the assassination of Haitian President Jovenel Moïse in July.At Least Two Killed In Haiti Quake, 200 Houses Destroyedhttps://t.co/4R5yzdmmrV pic.twitter.com/pgHDEOLIoy— Channels Television (@channelstv) January 25, 2022Coinbase’s charitable arm, Coinbase Giving, provided the funds to be used for the benefit of roughly 1,500 Haitian people — those families with children enrolled in Hope for Haiti’s community nutrition program. The impacted individuals should be able to use the funds for goods and services at more than 30 participating merchants in Haiti, with the option for the vendors to cash out the digital funds using local money management service MonCash.“This initiative with Hope for Haiti and Emerging Impact is particularly exciting because of how it uses blockchain-based technology to promote more efficient and effective giving, hopefully serving as an inspiration for ideas across the cryptoeconomy and philanthropic sectors,” said Coinbase Giving’s head Dominique Baillet.Related: Blockchain folk hero Nandy Martin hopes to build a better community for Haitians in MiamiMany individuals and charitable organizations have employed crypto as a means of getting money into the hands of those who need it most following a natural disaster or are in a country experiencing political turmoil. After many in the Philippines were displaced or injured following typhoon Rai hitting the region in December 2021, the play-to-earn gaming group Yield Guild Games raised $1.4 million to help victims. Similarly, in the wake of the Texas Winter Storm in February 2021, some local disaster relief groups announced they would be accepting crypto donations.

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U.S. Congressman calls for ‘Broad, bipartisan consensus’ on important issues of digital asset policy

In a letter to the leadership of the United States House Financial Services Committee, ranking member Patrick McHenry took a jab at “inconsistent treatment and jurisdictional uncertainty” inherent in U.S. crypto regulation and called for the Committee to take on its critical issues.McHenry, a Republican representing North Carolina, opened by mentioning that the Committee’s Democrat Chairwoman Maxine Waters is looking to schedule additional hearings addressing matters pertinent to the digital asset industry. He further stressed the need for identifying and prioritizing the key issues and achieving a “broad, bipartisan consensus” on the matters affecting the industry that holds immense promise for the financial system and broader economy.Citing the confusion that the industry faces due to the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission’s (SEC) competing claims for jurisdiction over digital assets, McHenry noted that neither of their positions is grounded in statute. Congress, he maintained, should not hand digital asset regulation over to regulatory agencies or courts, but rather step in to categorize the new asset class and lay down the rules governing it.Furthermore, Congressman McHenry suggested that the Financial Services Committee take a close look at the stablecoin report drafted by the President’s Working Group on Financial Markets (PWG) and examine the Federal Reserve’s position and future steps with regard to a U.S. central bank digital currency (CBDC).In December last year, the U.S. House Financial Services Committee hosted a crypto-focused hearing that featured a strong lineup of industry executives and was widely lauded as a massively productive exchange between policymakers and digital asset stakeholders.

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Kanye West wants royalties from Paparazzi photos, with the help of NFTs

Kanye West expressed his frustration at the paparazzi after being filmed arriving at Miami International Airport on Monday, as seen in a video posted by ET Canada. Kanye can be heard saying to the cameraman:”It’s just really one-sided. You guys can follow us, you guys to stand from the hotel at any given time. You don’t give us any percentage of what you make off us, off our kids. And I’m going to change that.”Kanye in Miami | Source: ET CanadaThe cameraman argued that, “without candid photography, there wouldn’t be a [documented] history of celebrities.” However, it was clear that Kanye’s main interest involved the right to royalties from paparazzi photos, rather than issues with the perceived invasion of privacy. “You know, NFT [non-fungible tokens] people get paid in perpetuity on the product that they put out. So my image is a part of something that I should get paid for. We all got to make money together,” said Kanye.NFT platforms, such as OpenSea.io, allow creators to set royalties of up to 10%, receiving proceeds every time the work of art is sold via the platform. However, the feasibility of co-profit sharing on celebrity photos remains in question. For starters, major NFT platforms typically do not cross-enforce one another’s royalty structures, meaning that creators would not receive any funds if, for the sake of argument, their OpenSea NFT was sold on a different venue. In addition, the issue of copyright to the original work can only be resolved through off-chain negotiations.

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Why crypto industry needs venture capital: Q&A with veteran investor

Traditional funding in the crypto space was once considered useless. After all, the industry itself offers different, controversial, but nonetheless, ways to fund a project – initial coin offering (ICO), initial exchange offering (IEO) and the current darlings of offerings – launchpads and initial decentralized exchange (DEX) offerings. But with the industry maturing and more startups wanting not only the capital but mentorship to build a working and valuable product, venture capital has emerged as one of the most attractive options. Cointelegraph talked to Li Rongbin, founding partner of SevenX, about why venture capital funding is the next big thing for crypto startups and entrepreneurs.Tell us about your fund.Our company, SevenX Ventures, was launched at the beginning of 2020, so we are a relatively young brand. But all of our three founding partners have around six years of experience in crypto VC. We are one of the earliest VCs to invest in DeFi and NFTs in China. We’ve backed such DeFi projects like Dodo, Zerion, Debank, Furucombo, Daomaker, Vega, etc., and NFT-related projects, including YGG, Alchemy NFT, Rangers, and Whale, etc. Before SevenX, we’ve separately had our own crypto venture funds, based in Beijing and  Shanghai, which were early investors of some great projects, including Huobi, Tron, NEO and others. We decided to merge into one because we want to really gather our experience and knowledge to better deliver value to our portfolios.Why do you think the crypto industry needs corporate investment, given that there are many options to fund a project like ICO and IDO, for instance?We believe in decentralization and really think that a decentralized way of fundraising is cool and helpful. Such kind of fundraising will bring users, publicity and community. But VCs are experienced and have great connections and resources in the industry, which are good for bootstrapping,  There is a debate around whether to take VCs’ funds as an entrepreneur. Sometimes these firms do little help, and they are also the fastest to dump the project in the bear market. But I think the problem really is in how you deal with the communication and utilization of what VCs have to offer in the most efficient way. What kind of companies do you invest in? How do you do your research and due diligence?We love innovations. We are looking for anything that is innovative enough to change the current paradigm of crypto, and we are not afraid of taking risks.More specifically, we are investing in projects with logical reasoning ability and founders who clearly know where it is going. We like imagination, but those bold imaginations should be based on logical reasoning and analysis. We think right now the whole industry is in the very early stage, just like the Age of Exploration.We want to be the backers of those ambitious “captains,” we want to give them support on “the sailing” with “gears like compass, toolbox and knowledge” because we have seen a lot of captains before and used to be captains ourselves (we still are, from an investment perspective).We will provide the capital needed for the voyage, the safety and even sometimes as a crew member. But we need to back the entrepreneurs who know what they’re doing. And we only invest in captains who really want to find the new continent, not the ones who just want to discover another island and ship some goods back.For research, we always map a specific market to form an architect structure, for example, what is the foundation of the whole DeFi direction, or how many pillars should it really have? We then analyze the driving forces or impact factors behind it. We have a so-called “get-BTC” model to analyze a product from six different aspects, including governance, economy, team, business model, technology and community.What matters most when investing in a crypto company – the product or the team?I would say that at an early stage, the team matters most as products could evolve as time passes by. But people are hard to change. We’re also interested in investing in teams that have seen failures before.But at a later stage, it is the product that matters most as a lot of things might influence the outcome and lead to failure in this ever-changing market.What’s the most difficult thing about investing in crypto companies and products? What kind of risks are involved?The most difficult thing is that there is too much happening every day in the space. I often sleep for only six hours a day, trying to catch up with the innovations happening all over the world. Sometimes we need to slow down a little bit and think rather than act fast.The risk is that we have to realize we are participating in a great experiment in the whole new world. And it’s definitely not risk-resilient. But how do you change the world without experimenting?What is the most promising direction in the industry right now? Why?But we are looking at potentially interesting directions like the arweave ecosystem. We think it is the backbone of Web 3.0, NFT infrastructure and the new paradigm of NFT utility. Other potentially interesting developments include DID, credit lending, community decentralized autonomous organizations (DAOs), and any type of technology that could bring crypto to mass adoption.What kind of assistance do you provide to the companies you invest in? A compass, toolkit, a supply station. We provide assistance throughout the entire process of product development – from building tokennomics, designing marketing strategy, setting up business development, to recruiting and providing emotional support.Did you ever have an unfortunate experience with projects?For the past two years, so far, so good.What does the future of investment in crypto look like? Do you think it’ll see an inflow of more institutional investment firms?More competition from traditional Web 2.0 giant investors and more small two- or three-men teams that root deep in the ecosystem will take place at the same time.  Disclaimer. Cointelegraph does not endorse any content or product on this page. While we aim at providing you with all important information that we could obtain, readers should do their own research before taking any actions related to the company and carry full responsibility for their decisions, nor can this article be considered as investment advice.

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Amex CEO hints at exploring ways to allow credit card holders to redeem points for crypto

American Express credit card holders may one day be able to redeem points for cryptocurrencies, but the company has no immediate plans to issue a crypto-linked credit card.In a Tuesday interview with Yahoo! Finance, Amex chief executive officer Stephen Squeri said credit card holders were “probably not gonna see a Amex crypto-linked card anytime soon” but the company was already involved in using cards for stablecoins, and monitored for central bank digital currency developments from the U.S. government. The CEO said he considered major cryptocurrencies like Bitcoin (BTC) as “more of an asset class” like gold, but did not think they would facilitate payments in the same way as credit cards given their price volatility.“You don’t have the service with [crypto], you don’t have the dispute rights with it, you’re not getting rewards, and you’re not extending credit,” said Squeri. “All of those values that occur within a credit card do not lend themselves to cryptocurrency.”He added:“We’re exploring other ways, potentially, to redeem your membership rewards points, but I don’t think you’re going to see an American Express card linked to cryptocurrency anytime soon.”Visa and Mastercard seem to be ahead of Amex when it comes to partnering with firms for crypto benefits from card holders’ purchases. In January 2021, crypto exchange Gemini released its own credit card allowing users to earn up to 3% back in BTC. In 2020, BlockFi announced it had partnered with Visa to let cardholders receive 1.5% of their purchases back in BTC.Related: Crypto credit cards could be the missing link to mass adoptionThe benefits aren’t limited to card holders based in the United States — as is sometimes the case for travel and hotel rewards. In December, Mastercard announced it would be launching a crypto-linked payment card across the Asia-Pacific region, enabling users to convert digital assets into fiat.

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Russian finance ministry official calls for crypto regulation, not restriction

In surprising comments made by the Russian director for financial policy, Russia could be softening its stance toward crypto. Ivan Chebeskov, a director within the Ministry of Finance, has come out in support of regulating crypto rather than banning it.His support is a response to the Russian central bank proposing a blanket ban on crypto mining and trading.According to Chebeskov, banning cryptocurrency operations and mining will lead to the country lagging behind the worldwide tech industry. The minister instead suggested that cryptocurrencies should be regulated:​​“We need to give these technologies the opportunity to develop. In this regard, the Ministry of Finance is actively involved in the development of legislative initiatives in terms of regulating this market.”The comments were made during the RBC crypto conference, taking place on Tuesday. Chebeskov said that the Russian ministry has prepared a proposal for the regulation of digital assets and is waiting to hear the government’s position on the matter. Prior to working at the Kremlin, Chebeskov enjoyed a productive career employed at Russian and European investment banks. He was a student at the pro-Bitcoin state of Texas and has spoken out in favor of digital currencies in the past. In his view, a digital rouble could compete with the likes of China’s central bank digital currency (CBD. China’s central bank released a pilot version of a digital yuan wallet in early January. Elsewhere, the private sector was also quick to rebuke the proposal, which would ban the issuance, exchange and circulation of cryptocurrencies in Russia. Telegram CEO Pavel Durov, for example, wrote that the proposed ban on crypto would “destroy a number of sectors of the high-tech economy” in a post on his messaging application Telegram. Related: Vibe killers: Here are the countries that moved to outlaw crypto in the past yearIn Russia’s neighboring countries, anti-crypto sentiment is rife. Georgian citizens were made to swear an oath to stop mining crypto, whereas top Bitcoin (BTC) mining country Kazakhstan turned off the internet amid protests. In light of El Salvador’s recent state visit to Moscow, and pro-crypto proponents such as Chebeskov popping up in the Kremlin, Russia may surprise the crypto industry in 2022.

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Indonesian regulator takes cue from Islamic NGOs, bars crypto sales for institutions

Indonesia’s financial watchdog the Otoritas Jasa Keuangan (OJK) warned financial institutions in the country against offering or facilitating crypto-asset sales.On Tuesday, the official Instagram account for OJK posted a warning against the growing number of crypto Ponzi schemes and risks of crypto investments owing to the market’s volatility. The official post also quoted the chairman Wimboh Santoso who said financial institutions are strictly prohibited from offering crypto sale services in any form. The official post read:“OJK has strictly prohibited financial service institutions from using, marketing, and/or facilitating crypto asset trading.”The current warning against crypto investments and prohibition of crypto trading services for financial institutions comes on the heels of several calls for a ban on crypto use from the country’s leading Islamic non-government organizations (NGOs). As Cointelegraph reported earlier, a total of three Islamic organizations have issued a fatwa against crypto use by Muslims, deeming it haram.In October 2021, major Islamic organization the Nahdlatul Ulama deemed crypto haram due to its allegedly speculative nature. A month later, the Indonesian Ulema Council, declared crypto haram as a transactional tool. However, it noted that cryptoassets can be used as an investment tool if they abide by Sharia tenets. Muhammadiyah became the third Indonesian Islamic organization to issue a fatwa against cryptocurrency use as a payment and investment tool.Indonesia over the years has grown to become one of the leading crypto economies in Asia. The total crypto transaction reached 859 trillion rupiahs ($59.83 billion) in 2021, up from 60 trillion rupiahs ($4.18 billion) in 2020. Related: Vibe killers: Here are the countries that moved to outlaw crypto in the past yearCrypto assets are regulated as tradable commodities in Indonesia, governed by the trade ministry and the Commodity Futures Trading Regulatory Agency. The ministry is currently working on setting up an independent market for digital assets called the Digital Futures Exchange, expected to be launched in the first quarter. However, crypto as a form of payment tool is illegal in the country. 

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McDonald’s jumps on Bitcoin memewagon, Crypto Twitter responds

Prominent crypto entrepreneurs and supporters, who shared memes on Twitter about doing odd jobs amid an ongoing market crash, were joined by global fast-food giant McDonald”s — the brand infamously linked with temporary Bitcoin (BTC) market crashes. BTC’s price has seen a steady downfall ever since breaching an all-time high of $69,000 back in November 2022. Eventually, as Bitcoin started trading below the $40,000 mark, crypto millionaires and investors on Twitter started sharing memes about getting jobs at fast-food restaurants.Source: Twitter/PlanBSalvadoran President Nayib Bukele, too, embraced the meme culture and uploaded a new profile picture that shows him at one of his speeches sporting a badly photoshopped McDonald’s branded cap and T-shirt.#NewProfilePic pic.twitter.com/YVDlBoA2Cq— Nayib Bukele (@nayibbukele) January 22, 2022Joining in on the fun with numerous others, McDonald’s acknowledged the ongoing developments within Crypto Twitter by following influential members of the community such as Cardano founder Charles Hoskinson and Altcoin Daily. The account drew more attention as it tweeted:how are you doing people who run crypto twitter accounts— McDonald’s (@McDonalds) January 24, 2022

While Binance responded to the question with a picture of a crying face hidden behind a smiling mask, McDonald’s consoled the world’s biggest crypto exchange with a “wagmi,” short for “we are gonna make it.”wagmi friend— McDonald’s (@McDonalds) January 24, 2022

Bukele, however, seems to have bigger plans in mind.Related: Bitcoin could outperform stocks in 2022 amid Fed tightening — Bloomberg analystDespite the uncertain market condition, Bloomberg commodity strategist Mike McGlone believes in the possibility of BTC’s comeback as investors recognize its value as a digital reserve asset.As Cointelegraph reported, McGlone stated:“Cryptos are tops among the risky and speculative. If risk assets decline, it helps the Fed’s inflation fight. Becoming a global reserve asset, Bitcoin may be a primary beneficiary in that scenario.”The analyst expects the “enduring trio” — BTC, Ether (ETH) and USD-pegged stablecoins — to maintain dominance throughout 2022.

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Cardano projects SundaeSwap and CardStarter squabble over failed promises to investors

The ongoing drama between two projects built on the Cardano (ADA) blockchain escalated across multiple social media platforms Monday, much to the dismay of the ADA community.The issues began in April when accelerator program CardStarter announced it would launch its own decentralized exchange or DEX. Shortly thereafter, its founders incentivized investors to provide liquidity for the project on Uniswap in exchange for native CSWAP tokens. The platform’s developers landed an agreement with a third-party DEX called SundaeSwap sometime later, marketing the deal as a “merger” last June. As per the agreement, CardStarter would no longer develop its promised DEX, and would instead provide liquidity to the existing SundaeSwap DEX.As told by Reddit user “Environmental-Law768”, investors were later promised “great benefits” during a YouTube ask-me-anything session for CSWAP holders in the SundaeSwap DEX. Last week, however, it was revealed that these so-called benefits would simply be a conversion from CSWAP to CardStarter’s native CARDS tokens ($3.14 at time of writing), at a rate of 400:1. Holders who had locked in $15M (at the time of reveal) worth of liquidity on the platform seemed to feel this was a slap in the face, amounting to no meaningful reward for their efforts. Allegations of a rug pull soon followed.Both SundaeSwap and CardStarter took to social media to place blame over the investor fallout on each other — much to the disapproval of ADA enthusiasts and Cardano founder Charles Hoskinson.In light of SundaeSwap’s announcement, we share the following documents which we feel speak for themselves.We will continue to fight for the CSWAP community. pic.twitter.com/6oM2rdcKYF— CardStarter (@CardStarter) January 24, 2022According to a SundaeSwap statement cited by Hoskinson, the June deal was purely a marketing and collaboration agreement. However, the SundaeSwap team acknowledged using misguided terms on multiple occasions when communicating with users. To make matters worse, the freshly launched SundaeSwap DEX has already suffered from numerous user reports of failed transactions. During a YouTube stream Monday afternoon, Cardano founder Hoskinson condemned the heated exchanges between the parties. Hoskinson elaborated it was unacceptable for the fiduciary organizations involved, SundaeSwap and CardStarter, to use Twitter, Reddit, Telegram, and other channels in social media to make their case. “It’s despicable. It doesn’t do anything other than try to abdicate your personal responsibility and damage the brand of the ecosystem as a whole,” said Hoskinson, continuing:Please, people, get your shit together. Both sides come together, agree to arbitration, talk to each other, and figure out whatever the hell you agree to get done. And if you can’t somehow survive the arbitration process, the courts are always available to you.

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Here’s 5 altcoins to study as crypto prices drop close to a 1-year low

The pain trade has been an unwelcome sight across the cryptocurrency market since the start of 2022 and over the past 24 days Bitcoin (BTC) and the altcoin prices have drifted, leading some analysts to suggest that a bear market is at hand.Despite traders’ concern that another extended crypto winter could be starting, it times like these when investors can capitalize on great opportunities to pick up fundamentally sound cryptocurrencies at a discount.Crypto Fear & Greed Index. Source: Alternative.meIn that vein, here’s a closer look at several projects with strong fundamentals and a proven use case that could be good candidates for accumulation during the current market correction. Polygon (MATIC)The Ethereum (ETH) layer-two scaling solution Polygon (MATIC) is currently down 50.76% from its all-time high of $2.92 which was established on Dec. 27, 2021. MATIC/USDT 1-day chart. Source: TradingViewPolygon saw a tremendous amount of growth and adoption over the course of 2021 because its compatibility with Ethereum and low transaction costs made it a destination for users and protocols that were looking for a way to remain on the Ethereum network and avoid the high cost of transactions. Total MATIC wallets over time. Source: Dune AnalyticsThe network is capable of hosting all manner of decentralized applications including lending protocols like AAVE, decentralized exchanges like Uniswap or gaming and nonfungible token projects like Aavegotchi. With the capabilities and final date for the rollout of Eth2 still unknown, layer2 solutions like Polygon are likely to continue to see increased engagement as users seek lower-fee transactions. Fantom (FTM)Fantom (FTM) is a layer-one blockchain protocol that also rose in prominence over 2021 as its low fee environment and Ethereum Virtual Machine (EVM) Compatibility helped attract new users and protocols to the network. FTM/USDT 1-day chart. Source: TradingViewData from Cointelegraph Markets Pro and TradingView shows that the price of FTM is currently down 36.3% from its December highs and trading at a price of $2.15 at the time of writing. The bullish case for FTM is backed by the continued rise total value locked (TVL) on the Fantom network despite the market-wide pullback, with data from Defi Llama showing that the Fantom TVL is currently at an all-time high of $12.07 billion. Total value locked on Fantom. Source: Defi LlamaWhen compared to competing networks such as Solana (SOL) which has a TVL of $7.62 billion, Fantom holds more value and has not experienced any major network disruptions like Solana,  yet it trades at a significant discount when compared to the price of SOL. TVL of #Fantom and #Solana are nearly the same now (10.67B vs 10.31B)Buy $FTM now like buy $SOL at 23$#fantomseason #solanawinter #fantomnews pic.twitter.com/eeUop6biZJ— Fantom News (@fantomnews) January 15, 2022With the current price of SOL standing at roughly $90, the price of FTM would need to be $18.10 to have a matching market cap, suggesting that Fantom is undervalued relative to its layer-one competitors and has the potential to close that gap as 2022 progresses. Polkadot (DOT)Another token that could potentially be in a good accumulation zone is Polkadot (DOT), a sharded multi-chain protocol whose goal is to facilitate the cross-chain transfer of any data or asset types across multiple blockchain networks. Data from Cointelegraph Markets Pro and TradingView shows that the price of DOT has been on the decline since early November 2021 as the token underperformed its cohort of layer-one projects possibly due to the lack of a functioning bridge to Ethereum.DOT/USDT 1-day chart. Source: TradingViewThis all changed on Jan. 11 when Polkadot’s Moonbeam (GLMR) parachain officially launched and established the first cross-chain bridge for the Polkadot network. As of Jan. 24, Moonbeam has processed more than 1,329,000 transactions and supports more than 700 ERC-20 tokens. As other parachains officially launch on Polkadot in the months ahead, DOT has the potential to see a rise in demand and token price as users look to get involved with the Polkadot network. Polkadot ecosystem. Source: PolkaProjectCurve (CRV)When it comes to the increasing importance of the stablecoins in the crypto market, Curve DAO token has emerged as one of the most sought-after tokens by investors and protocols who have been vying for control of governance on the platform. CRV/USDT 1-day chart. Source: TradingViewAfter hitting a record high of $6.80 on Jan. 4, the price of CRV has fallen 60% and now trades at $2.76 according to data from TradingView. Even with the drop in CRV price, the ongoing ‘Curve Wars’ suggest that demand for the token is likely to rise once the current weakness in the market subsides as decentralized finance projects attempt to accumulate governance powers over the Curve ecosystem.At the time of writing, a total of 49% of the circulating supply of CRV is locked in veCRV, the voting token for the Curve protocol. Percentage of CRV tokens locked on Curve. Source: Dune AnalyticsRelated: Does a Fed digital dollar leave any room for crypto stablecoins?Frax Share (FXS)Another protocol that looks to play a larger role in the stablecoin sector is Frax Share (FXS), the first fractional-algorithmic stablecoin system in the crypto sector that began to gain traction near the end of 2021. FXS/USDT 4-hour chart. Source: TradingViewThe protocol’s FRAX stablecoin has emerged as a fan favorite of the DeFi crowd in large part thanks to its decentralized nature in a field dominated by centralized projects like Tether (USDT) and USD Coin (USDC). As a result of its adoption, the total volume of FRAX transacted has risen over the past six months and is currently at an all time high of $6.3 billion. FRAX monthly volume. Source: Dune AnalyticsFXS’s bullish momentum is backed by a steadily increasing total value locked, which increased by 30.53% over the past week and 86.9% over the last month to hit a record high of $2.28 billion on Jan. 24. This climb to a record TVL comes even as the prices of nearly every other asset fell across the crypto market.Total value locked on Frax Share. Source: Defi LlamaWith FRAX now being adopted across DeFi by users looking for more decentralized stablecoin options, FXS could likewise see an increase in demand and token price as the importance of reliable stablecoin protocols intensifies. The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

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