Meanwhile, Ether – the world’s second largest cryptocurrency – saw a 40% drop in price from a peak of $4,382 per coin to over $2,600 per coin. Bitcoin price plummeted after Tesla CEO Elon Musk announced that the company would stop accepting Bitcoin payments. Along with that are regulatory risks from the Chinese government. However, experts say that the fall of cryptocurrencies could be an opportunity for Ether to surpass Bitcoin. The explosion of decentralized finance and non-fungible tokens has pushed the price of Ether to skyrocket over the past 12 months. Photo: Coin Desk. “More Useful Than Bitcoin” “A sell-off will cause investors to reconsider and choose to buy the cryptocurrency they think can be most successful. And most importantly, that coin needs to survive the ‘regulatory storm’ ‘ is about to come,” said financial expert Edward Moya at consulting firm Oanda (USA) in an interview with Mr. Zing . According to the expert, Ether will benefit after this sell-off. “Ethereum’s blockchain is widely used. The coin may outperform other competitors after the storm is over,” he added. Yao Qian, director of the Science and Technology Supervision Bureau under the China Securities Regulatory Commission, said that central bank digital currencies (CBDCs) are set to become smarter. According to him, they could one day work on blockchains like Ethereum. Mr. Yao Qian said that CBDC should not try to be a form of digital currency, but incorporate smart contract functionality. Even after the decline, Ether price is still up 243.67% since the beginning of 2021. Meanwhile, Bitcoin has only increased in price by 25.93%. Todd Morley – co-founder and former CEO of investment firm Guggenheim Partners – thinks that Ethereum is “more useful than Bitcoin” and is “where it really works”. The increase since January 1, 2021 of the Bitcoin price has shrunk to nearly 26%. Photo: Coin Desk. “To me, Ethereum is much more useful than Bitcoin thanks to smart contracts,” he told Bloomberg . “Ethereum’s application developers are growing at 20x for 6 years in a row, much faster than Moore’s Law,” he added. Moore’s Law refers to the prediction by engineer Gordon E. Moore, co-founder of Intel, that the number of transistors on a chip would double every two years while the price of computers halved. Over the past 12 months, the popularity of DeFi (decentralized finance) has skyrocketed, pushing up the price of Ether. DeFi projects pay interest on Bitcoin or Ether deposits, mortgage loans or cryptocurrency swaps on decentralized exchanges. Soon to surpass The Ethereum network is therefore used for financial management, lending, and collateral. All without banks and brokers. Along with that is the hot development of non-fungible tokens (NFTs), a virtual item authenticated by blockchain technology, with the digital signature of the owner. NFT is an indivisible, indivisible, blockchain-based smart contract, indestructible, verifiable, and no-second duplicate asset. Everydays: The First 5000 Days by crypto artist Beeple sold for $69.4 million at a Christie’s auction. According to part of a report by Wall Street giant Goldman Sachs shared on Twitter back in May, Ether has many opportunities to “overtake Bitcoin as the dominant store of value” and the “Amazon of information.” . Ether has a high chance of surpassing Bitcoin as a store of value Golmand Sachs analysis team “Given the importance of its use in defining a store of value, Ether has a high chance of overtaking Bitcoin as the dominant store of value,” commented analysts at Goldman Sachs. According to the data of Coin Desk , Ether’s market cap currently stands at $305 billion, almost half of Bitcoin’s $691 billion capitalization. Some are also looking to upgrades to the Ethereum network, allowing Ethereum to scale and reduce costs. “Investors often see Ether as a growth investment. They bet on the growth of a decentralized ecosystem built on top of Ethereum,” said Phil Bonello, Research Director at Grayscale Investments. , comment. The Ethereum network is more used than Bitcoin and countless developers are still working. Bitcoin now accounts for about 42.3% of the total cryptocurrency market value, down from 70% at the beginning of the year. Ether’s rate is 18.65%.

On May 18, ETC (Ethereum Classic) was trading for $89, while ETH (Ethereum) was up to $3,407. It can be seen that, with a cheaper price, ETC is a superior choice to own Ethereum that investors should consider switching. In terms of features and structure of the Ethereum Classic (ETC) coin, there are some differences compared to other cryptocurrencies, but the most important is still buying in large quantities and owning a lot of cryptocurrencies with low price less costly payments. In terms of arbitrage performance, as of May 2021, the price of Ethereum (ETH) has increased by 367%. Besides, the results of the tally on the floor Yahoo Finance The end of 2020 also shows the ETH price ending at $730.37. As of May 18, it was at $3,407. That shows that the value of ownership has increased 4.67 times compared to the end of December 2020, equivalent to an increase of 267%. According to the data of Yahoo Frinance, c We should look at the net worth of ETC at the end of 2020 at $5.70. This means that ETC has increased by 15.64 times (equivalent to a performance of 1,464%). It is clear that the above indicators have shown that Ethereum Classic has significantly outperformed Ethereum, equivalent to an increase of 1,464% compared to 367%. That’s 4x better performance. Ethereum Classic is up 1,464 percent compared to ETH’s 367%, which translates to four times the performance. Photo: Internet. Outstanding Features of Ethereum Classic Ethereum Classic (ETC) is a cryptocurrency created and developed from the Blockchain technology of Ethereum (ETH) after the DAO fund of Ethereum investors was hacked which stole more than 50 million USD. From the moment it was created, Ethereum transactions have been running on the Ethereum Classic Blockchain platform until it is done.” hard fork” then these two blockchains officially operate separately. The result of the split process due to the policy adjustment but the project development participants did not agree and a batch “fork” is the split among crypto developers that took place in 2016. Ethereum Classic still carries the same features as Ethereum such as the implementation of smart contracts and distributed applications. Ethereum Classic has similar specifications to Ethereum such as average block time, size, and block reward. Ethereum Classic has a circulation limit of 210 million tokens, which is different from Ethereum’s unlimited issuance. According to the Coinmarketcap , ETC was issued 116.3 million tokens, representing 55.4% of the total expected. The circulating supply of Ethereum Classic reaches 50% and is likely to be “squeezed” by the number of tokens like Bitcoin – as the double mining difficulty caused Bitcoin’s price to surge earlier this year. Photo: Coinmarketcap. As predicted by technology experts, ETC’s token is similar to a tight squeeze like Bitcoin (BTC) in the near future. Bitcoin had 18.7 million tokens issued out of a total of 21 million, or 89% of the total. Since less than 11% of all Bitcoins currently available can be mined, there is a marked increase in production rate pressure on investors once the price rises as with Bitcoin. At the end of 2020, Ethereum Classic Labs allowed ETC holders to gain access to the DeFi (decentralized finance) market. They introduced “Wrapped ETC” (WETC), which allows ETC holders to “stake” their tokens. This is where they agree not to trade tokens for a specific period of time and in return receive interest payments in “Wrapped ETC”. In fact, it’s the same way a certificate of deposit works at a bank. WBTC allows users to transfer their tokens from one Blockchain to another, extending the utility of the token to work across multiple networks. Easy migration brings greater liquidity to the Ethereum ecosystem including decentralized exchanges (DEXs) and financial applications. What to do with Ethereum Classic? Some see the Ethereum Classic (ETC) token as a way to make money faster on the Ethereum Blockchain platform. The current market cap is $10.3 billion and that of Ethereum (ETH) is $395 billion. So the value of ETC is only 2.6% of ETH. Assume that, ETC achieves a market cap of $39.5 billion (10% of ETH). At that point, ETH will be boosted by at least 50%, which equates to an ETC market cap of $60 billion (10% of $600 billion). Equivalent to the growth rate of ETC is 600% compared to 50% of ETH. Let’s say it’s going to take us three years for this to happen. That implies a gain of 482.5% over three years representing a very attractive return on investment (ROI) rate for investors. That’s 90x faster than ETH’s 50% gain. ETC-USD is likely to ‘catch up’ and grow 90 times faster than ETH-USD over the next three years. Photo: Tygia.vn Given the meteoric rise of Ethereum (ETH) this year and ETC’s ability to “catch up” seems possible. Therefore, many investors in Ethereum should think of diversifying crypto trading by buying more ETC as an alternative to ETH.

Scam notice on DeFi100 website. Screenshots. “We fooled everyone and nobody could do anything about it,” said the statement, signed by Devsin, who is said to be the head of the DeFi100 project. According to the above information Coinmarketcap , DeFi100 is a project to create a simulated value fund, that is, the value of D100 issued will depend on the total value of the decentralized financial market (DeFi). The team that developed this project took the name Wrapp3D, but all members hid their true identities. This project’s D100 coin has been released on the Binance Smart Chain network since February. After that, some users warned about the dangers of DeFi100. On Twitter, user Tom suggested that DeFi100 was originally intended to issue a token with a price-adjusted supply (rebase token). However, when this plan failed, they planned to switch to the liquidity pool model. “This whole project is a scam. Devsin manipulates and deceives investors,” user Tom asserts. The price of D100 coin has been decreasing steadily over the past week, and dropped sharply after the scam information. Screenshots. According to the account Mr. Whale on Twitter, who claims to be a crypto analyst, total scams from the DeFi100 project amounted to $32 million. “When the market is no longer going up, many projects will disappear. Don’t be surprised that many scam projects will be reported in the next few months. Never invest in projects that are too new, with development teams. anonymous development, created as a joke and has no real purpose”, account Mr. Whale warned. According to the CoinDesk , does not rule out the possibility that DeFi100’s website was hacked to post the aforementioned notice. By the morning of May 23, the notice on the DeFi100 website had been removed. The value of the D100 coin has fallen nearly three times in the past week, from $0.2 to $0.077. DeFi100’s Twitter account has had no new announcements since March. In the crypto world, a developer scam is also known as a “rug pull”. This is a fairly common form of fraud, especially with decentralized finance (DeFi) projects, when all transactions are conducted by code, not by an organization.

This achievement is not made by shark pumps or mentioned by celebrities. In fact, there are three main reasons why Internet Computer has achieved unprecedented success. Internet Computer development team. The first is that Internet Computer was posted on all major exchanges at the same time, thereby creating the effect of fear of missing out (FOMO). This is an extremely important factor, because most virtual currencies will go to small exchanges or decentralized exchanges first (DeFi), making its liquidity and attractiveness much less than on exchanges. big. Next, this project has been cherished for a long time with a very clear information about the developer. The project has been developed by a team of nearly 200 engineers from the UK and Switzerland since 2016. The organization behind Internet Computer then raised about $121 million and began technical development for the coin. The head of this organization, Dominic Williams, also regularly goes on the media to talk about Internet Computer’s 20-year long-term vision and goals. By 2018, the new developer gave more than 50,000 subscribers a certain amount of Internet Computer virtual currency. At the end of last year, the process of testing the official network (mainnet) of Internet Computer has just begun. And on May 10, Internet Computer officially went on the floor. There was a time when the value of Internet Computer was more than 500 USD, equivalent to a capitalization of over 68 billion USD. Finally, the most important is the algorithm and the purpose that Internet Computer aims at. This project aims to provide users with the ability to create supporting software applications themselves instead of using server service providers like Amazon, Microsoft or third parties like Facebook, Google. In other words, Internet Computer is all about replacing DNS, firewalls, antivirus, databases, cloud services, and even VPNs. With decentralization, Internet Computer is expected to break the monopoly of Big Tech giants in the Internet environment. With an ambitious project, developed by a reputable team, it is not difficult to understand when Internet Computer has had an ICO in the Top 10 most successful virtual currencies ever, reaching the market capitalization record $ 68 billion and at one point broke into the Top 4 largest cryptocurrencies in the world before falling to about $ 45 billion with prices fluctuating in the range of less than $ 400.

Dogecoin – a cryptocurrency that was born as a joke – has a market cap of more than $ 66 billion. In addition to Bitcoin, Ether and Dogecoin, CoinGecko tracks more than 7,000 other cryptocurrencies. However, according to Bloomberg Most investors want to observe Bitcoin and Ether – the two largest cryptocurrencies in the world. Bitcoin is designed as an exchange currency without the need for any intermediaries. This is a new form of money, verified through encryption technology in peer-to-peer (P2P) systems. The ledger (blockchain) records all Bitcoin purchases. Bitcoin is a store worth more than $ 1 trillion. However, it does not contain any buildings, executives, lawyers, political structures or employment organizations. Bitcoin also does not need an accounting even if it is a digital ledger. Bitcoin and Ether are the two most popular cryptocurrencies in the world. Photo: Reuters. Digital gold Bitcoin token does central work, security, and upgrades for new innovations. Mid-sized computer companies that manage machines carry out transactions. These are called “miners”, just like a digital mining company that mines digital gold. Because there are no intermediaries, Bitcoin can efficiently, inexpensively and unpolitically solve the problem of long-distance value transfers. So far, the Bitcoin system proves to be one of the most versatile technologies we have ever had. Bitcoin has little or no value when it was first activated in January 2009. By April 2021, Bitcoin’s price hit a record of nearly $ 65,000. And Ethereum was developed by Vitalik Buterin – a Russian Canadian teenager – in 2013. Initially, Buterin loved Bitcoin but quickly became dissatisfied with its limits. Buterin is determined to start building a system that can do more. His vision is to create a blockchain that stores smart contracts – executing specific tasks in case certain conditions are met. In other words, the only limit to transactions running on Ethereum is the imagination of the developers. Bitcoin’s price has risen almost 100% since the beginning of 2021, while the price of Ether has climbed nearly 400%. The question is what Ethereum borrowed from Bitcoin. It’s the idea behind a decentralized network that records purchases. Both systems are public and are built on open source software. Both also have miners. They perform complex calculations used to verify transactions and receive new types of digital currencies. The system also received criticism for its high energy consumption. One estimate shows that the Bitcoin network used more electricity than Sweden within a year. Bitcoin has been referred to as a form of “digital gold”. Of course, this cryptocurrency is highly volatile and has seen bubbles crash many times. However, some investors hold Bitcoin as a hedge against inflation due to the limited supply. Bitcoin price is also unaffected by other assets. Therefore, many investors use them to diversify their portfolios. Investors often view Ether as a type of growth investment. They bet on the development of a decentralized ecosystem built on top of Ethereum Phil Bonello Ethereum is also going through a development process. But the first boom happened in 2017 with a series of ICOs (first cryptocurrency releases). Many cryptocurrencies were born, used to exchange Ether and most used the Ethereum blockchain. Ether price then hit a record of 1,200 USD / dong. The second boom comes in 2020 as decentralized finance (DeFi) projects thrive. These startups pay interest on Bitcoin or Ether deposits, mortgage lending or cryptocurrency swaps on decentralized exchanges. The Ethereum network is therefore used for financial management, lending and mortgages. All without banks and brokers. Along with that is the hot development of irreplaceable tokens (NFT), a kind of virtual item that is authenticated by blockchain technology, with the digital signature of the owner. NFT is an indivisible, intact asset stored on the blockchain platform through a smart contract, non-destructive, verifiable, and has no second copy. The work has a name Ev erydays: The First 5000 Days Crypto artist Beeple’s was sold for $ 69.4 million at an auction by Christie’s. Threats of Bitcoin’s monopoly position The prices of Bitcoin and Ether have not fluctuated much between 2018 and 2020, also known as the “crypto winter”. But both benefit when governments pump money heavily into the economy to deal with the effects of the Covid-19 epidemic. MicroStrategy Inc. – a software and consulting firm – and billionaire Elon Musk’s electric car company Tesla has invested in Bitcoin. Wall Street and many other financial institutions are also starting to accept Bitcoin. Morgan Stanley and PMorgan Chase & Co. All open digital tracking channels for customers. Meanwhile, the price of Ether is driven by the activities going on on the world’s most popular blockchain. The company has undergone several upgrades to improve its network. The change is also likely to reduce supply. That will drive up the price by increasing the attraction and limiting the amount of Ether available. “Investors often see Ether as a type of growth investment. They bet on the development of a decentralized ecosystem built on top of Ethereum,” said Phil Bonello, Research Director at Grayscale Investments. , comment. Ether price peaked at more than 4,200 USD / dong on May 10. Photo: Coin Desk. The Ethereum network is used more than Bitcoin, and countless developers are still working on. Bitcoin currently accounts for about 46% of the total cryptocurrency market value, down from 70% earlier this year. The rate of Ether is 15%. However, extreme legal or tax risks could threaten the growth of Bitcoin and Ether in a number of countries. Along with that is the risk of fraud or investors forget the digital financial code. Some observers consider the cryptocurrency boom a bubble. Large institutions – often referred to as “whales”, which hold huge volumes of cryptocurrency – can also adjust prices at will. Even crypto proponents argue that the sector is very volatile. However, Bitcoin and Ether have recovered from a downtrend over the years and are increasingly adopted as a mainstream financial asset.

Original title: “Foreseeed from Convergence: DeFi “Broken the Circle” Road to Real World Assets”

Written by: Rilak

Ethereum It brings decentralized transactions, lending and income to anyone connected to the Internet. In the past few years, a decentralized ecosystem with multiple types of digital assets has been realized-with secure tokens (STs) and practical Tokens (UTs) and non-fungible tokens (NFT). UTs are limited to untrustworthy crypto-finance native protocols, while STs attract financial institutions that focus on private equity market innovation, equity crowdfunding, and ownership, while NFTs are linked to fields such as crypto art, games, and voxel 3D.

Now, the vane of these digital assets is changing. The native protocol is opening up exposure to real-world assets such as tokenized stocks; the DeFi protocol is beginning to try the physical assetization of NFT; digital asset exchanges have also lit the green light to seize the share of unicorns in the traditional market.

A trend: the multi-dimensional integration of DeFi and CeFi

DeFi is increasingly embracing real-world assets, such as Convergence, Persistence, Centrifuge , Naos Finance, ShuttleOne, etc. are committed to the bridge connecting DeFi and CeFi, bringing all kinds of real-world income rights assets to the chain, expanding the DeFi world while providing impetus for the innovation of traditional finance.

Taking the innovation of traditional market stock claim as an example, the Convergence platform allows equity to be traded in the form of encapsulated securities tokens. This form of innovation has brought unprecedented advantages in the market:

Under this decentralized equity trading model, individual investors can invest in assets that could not be invested before, such as unicorn company stocks, private funds, and even a small part of real estate projects; at the same time, it solves the problem of investing in private equity The main pain point of trust funds-low liquidity. Data shows that in February 2021, the total monthly transaction volume of all decentralized exchanges has reached a new high since January reached 58 billion U.S. dollars, breaking through 60 billion U.S. dollars. The market urgently needs asset chain agreements to act as a channel to connect liquidity from the DeFi space; in addition, these securities tokens on Convergence are backed by physical assets, and their ownership is legally recognized. This may be essential for some institutional investors.

In addition to Convergence, agreements like Centrifuge focus on rethinking how companies trade with each other. It is a project dedicated to supply chain finance, founded by a group of Silicon Valley entrepreneurial veterans. They have rich experience in the field of payment processing and financial technology, and are currently solving bill processing, the resulting payment delays, and liquidity of funds by liberating data in isolated corporate systems.

There are also many similar agreements that bridge DeFi and CeFi well, bringing various real income rights assets such as corporate credit, supply chain finance, consumer finance, and real estate rental income rights to the chain, greatly expanding DeFi and traditional finance The intersection of the world.

Specific measures for asset chain agreement

Taking the mechanism of physical assets on the chain in the securities tokenization platform Convergence as an example, we can get a glimpse of the whole picture. The information currently available is that its product can be disassembled into four components: ConvO, ConvX, ConvPool and ConvDAO.

ConvO

ConvO will enable asset owners seeking financing (such as shares of large investment institutions) to issue initial packaging security tokens (“WST”). They will set subscription prices for their WST and set up corresponding swap pools. Part of the tokens issued in WST will be reserved for the Convergence protocol to provide liquidity for ConvX. In addition to asset owners, ConvO also issues premium investment assets to CONV holders. In order to ensure the quality of the initial assets of the platform, the asset owner who set up the initial WST product will need to pass the inspection of the Convergence team first and obtain the final approval of ConvDAO before the asset can be listed.

ConvX

ConvX is an automated market-making mechanism (AMM) that allows users to convert between CONV and real-world assets on the Ethereum chain. Convergence will charge a 0.3% fee for each transaction, of which 0.25% will be used to reward liquidity providers, and 0.05% will be used for the effective operation of the agreement.

ConvPool

ConvPool aims to incentivize CONV or CONV-LP holders to put their tokens into the agreement, in other words, to provide liquidity for the ecosystem. In return, the liquidity provider will receive a 0.25% transaction fee from Convergence X. In addition, CONV or CONV-LP holders can mortgage it. In return, CONV rewards based on specific interest rates can be obtained.

ConvDAO

CONV token holders form a decentralized community for governance. They will publish proposals and vote on protocol upgrades. Users who use 2% of CONV in their addresses for voting will be eligible for governance actions.

Market acceptance of such agreements

After receiving the lead investment from Hashed in March and the participation of NGC, GBV, Alameda and other institutions in the multi-million dollar financing, Convergence launched IDO on Polkastarter on March 25. The progress of the projects after IDO has been significantly accelerated, and there is no shortage of giants in various fields. Support from partners.

Convergence first opened up the East Asian market. In terms of community cooperation, it announced on April 7 that it had reached a cooperation agreement with Winkrypto in Greater China. Winkrypto will help Convergence in its domestic brand and media strategy, and increase the participation of the domestic blockchain community in Convergence; on April 12, South Korea’s leading crypto community Ellipti announced a partnership with Convergence. South Korea’s encryption community is a fertile target market, with high-level encryption technology and an experienced user base. The cooperation between the two marks the beginning of its strategic entry into the Korean market.

Most importantly, in terms of traditional asset diversion, many investment institutions have begun to experiment with decentralized platforms. On April 9, Soul Capital announced a partnership with Convergence to find various assets outside the crypto world for Convergence users. Soul Capital is a family VC headquartered in Hong Kong, which has been focusing on investment in innovation and emerging technologies. Its invested companies include some well-known start-ups in the Asia-Pacific region, such as Hong Kong van rental app GoGoVan, 3D video game production agency EPIC Games, and Indonesian e-commerce giant Tokopedia. Through this cooperation, part of the assets in the portfolio of startups invested by Soul Capital can be traded on Convergence in the form of encapsulated securities tokens. Any DeFi user with an accessible wallet may be able to invest a small portion of the equity of those startups, which means that retail investors can use their crypto assets for such investments for the first time. At the same time, this can also be seen as an alternative to traditional exit strategies.

It is worth noting that, unlike other token-based economic platforms, it is not only unicorn stocks that can be traded on Convergence, but also fragmented NFTs (a way of sharing ownership) and tokens that are not listed on exchange projects. Options. Large investment institutions, as small as individuals with ownership, may become the main body of the platform.

This is just the beginning. Teams like Convergence have given us a lot of inspiration. Obviously, the digital asset economy is converging and bringing together traditional financial participants and cryptocurrency investors. The trustlessness agreement is reshaping the pattern of decentralized financial economy through the governance of “code is law”, smart contracts, and token economics. We believe that the integration of traditional finance and DeFi will unlock new synergies and promote financial technology innovation.

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