Crypto taxation: the new budget law
The Elite Real Estate (€ERE) token sale is here
Simon Dee: the interview with the NFT artist on The Nemesis
Interview with Matter Labs, the team building behind zkSync
Crypto taxation: the new budget law
Securities and Exchange Commission (SEC) doing all it can to delay ruling on Ripple
Binance Joins Chamber of Digital Commerce to Support Building a Regulatory Framework for Crypto
ISO 20022: the revolution in financial messaging and the crypto world
Hack against Ankr protocol: over $5 million in crypto stolen
Crypto hack also causes damage to FTX: $600 million lost. Could it be an internal entity within the company?
Rubic DEX loses $1 million in crypto to hacker attack
Warning about Bitcoin Bank and Intesa Sanpaolo
Switzerland’s Premier Crypto Conference, CryptoSummit.ch, returns in 2023 with a deluxe two-day format in Zurich & Davos.
Tether: the second Plan B Forum in Lugano
Blockchain Life 2023, Dubai, February 27 – 28
Blockchain, Metaverse and NFT ́s arrive in Granada in January with Block Wold Tour
Simon Dee: the interview with the NFT artist on The Nemesis
Interview with Matter Labs, the team building behind zkSync
Cardano NFT Column: Mandala Metaverse
Noku: the interview with the blockchain project in The Nemesis metaverse
Bitcoin mining difficulty is still declining
Bahamian authorities deny they have asked crypto exchange FTX to issue new tokens
Predictions about Bitcoin by El Salvador’s president for 2022: were they all wrong?
A look at crypto amid meme coins and unexpected surprises: Shiba inu, TRX, Terra Luna and Cronos
Predictions about Bitcoin by El Salvador’s president for 2022: were they all wrong?
Lightning Network: new services coming soon from MicroStrategy
The latest news on Bitcoin
Mark Cuban: investment in Bitcoin is a smart move
Negative news about the crypto Ethereum
What is an Ethereum node and how it works
Ethereum staking: unlocking test coming soon
Proof-of-Stake: Ethereum launches “Ethereum climate platform” initiative
Bitcoin mining difficulty is still declining
Bitcoin mining: another company goes bankrupt
Bitcoin mining: the problems are not over
Hashrate low: Bitcoin mining difficulty collapses
USD Coin is back on the rise
Ripple and collaboration with Palau: toward the launch of the national stablecoin
Tether stablecoin is back in the game in Japan
Jewel Bank launches a stablecoin issued on Polygon
Crypto: Bitcoin, Ethereum, Polkadot Price Analyses
Analysis of the value of Bitcoin (BTC)
Crypto: Bitcoin, Ethereum, Polkadot Price Analyses
Bitcoin, Ethereum, XRP value Analyses
Crypto price analysis of Terra Luna, Monero, Shiba Inu, Ripple, Aave and Polygon
Collapse of crypto TVL in 2022
Binance: Patrick Hillman says the crypto-exchange has an expiration date
MakerDAO: DAI savings rate increased by 1%
Compound suspends operations of four crypto
The CEO of Binance says the future will be DeFi
The NFT Magazine 2023: news for the monthly collectible magazine
The best NFTs of 2022
Calvaria, the new play-to-earn crypto game
The Sandbox: NFT sales in the metaverse down 20% in the last 24 hours
Calvaria, the new play-to-earn crypto game
A Historical Perspective on 3D Game Development Platforms and Their Integration with Ethereum
PokéWorld NFT sued by the real Pokémon Company
Axie infinity: the blockchain-based play-to-earn and NFT game
The Sandbox: NFT sales in the metaverse down 20% in the last 24 hours
“NirvanaVerse”: a new exciting project by The Nemesis and Rai Cinema
The Sandbox, not just land but also sports and crypto
Sandbox and its Sand crypto announce new lands in the NFT metaverse
Opportunities for Artists from The NFT Magazine on Nifty Gateway
Hivearium NFT: artist Roberto Giavarini exhibits at Ceribelli Gallery
Poseidon DAO, Deploy Collection #02 sold out in 2 minutes
Paulo Renftle: an interview with the NFT artist and photographer in The Nemesis metaverse
Visa: the 5 trends of 2023 for digital payments
Tesla: head of China market becomes company’s No. 2
Stock analysis of Enel, Unicredit, Saipem, Nio, Azimut and Generali
An overview of the stocks of Coinbase, Enel, UniCredit, Intesa Sanpaolo and Azimut
Visa: the 5 trends of 2023 for digital payments
China: the digital Yuan
Venmo amid convenience and controls
Revolut surpasses one million customers in Italy
How to mine Bitcoin in 2022
The price of Ethereum is very low again
Cryptosmart, cryptocurrency tax problem solved by Italian exchange
Binance will auto-convert the main stablecoins into BUSD
How to use Solidity from Ethereum
Ethereum: how do smart contracts work?
What exactly is a smart contract?
How to use Polygon in DeFi and earn MATIC on AAVE
The price of Ethereum is very low again
Cryptosmart, cryptocurrency tax problem solved by Italian exchange
Binance will auto-convert the main stablecoins into BUSD
UK: new rules for cryptocurrency exchanges
Continuously losing money in the Crypto Market? A 20-year trader share his ways to profit
How to buy, sell and create NFTs on OpenSea. The ultimate guide
How Compound works for lending with cryptocurrencies
Crypto gadgets: new physical device for tracking cryptocurrencies
Bitcoin Beach: the wallet project born in El Salvador expands.
LaLiga Names Divi Official Crypto Wallet for MENA, SEA, & China, in World’s First for a Football League
How to configure a MetaMask wallet
Recover a Bitcoin wallet.dat password in 2 minutes!
By Marco Cavicchioli – 2 Jan 2023
AVAX is the native cryptocurrency of the Avalanche blockchain.
Avalanche is a project similar in some ways to Terra/Luna and was born as a kind of competitor to Ethereum.
The blockchain was born in 2020, although the development of its basic principles began in 2018.
The distinguishing feature of the Avalanche network are the so-called subnets, which are independent subnetworks with their own autonomous logic, but leaning on the original security of the parent network.
Summary
Avalanche’s native cryptocurrency, AVAX, only made its debut in the crypto markets in September 2020, and a price that was initially around $5.
Until early January 2021, its price lateralized between $3 and $4, but when the latest big bull run began for altcoins, its price soared.
2021 was a very striking year for AVAX, so much so that already by the end of January its market value had risen to $12.
It had its first resounding peak in February, when it touched $55, then dropped to $10 in July.
It had its second peak in November, when it went as high as $146. At that point, the gain since its debut only 14 months earlier was 2,800%.
While it was nowhere near one of the highest-gaining cryptocurrencies in 2021, the one formed on its price nevertheless remains a major speculative bubble.
In fact, as early as January 2022, which is two months after the peak at $146, its price had already fallen below $60.
The main collapse, however, occurred between April and June, with a drop all the way below $17.
The thing is, since Avalanche is perceived as a project similar to Terra/Luna, the implosion of the latter triggered panic among AVAX holders. Not least because Avalanche is too recent a project to already be considered solid.
While in August it was already almost back to $30, by November it was back below $20, and with the collapse of FTX it plunged below $12. The last figure is in line with that of January 2021, so at that point it might have seemed that the price of AVAX had lost everything it had gained during the most recent big speculative bubble.
Instead, it suffered another collapse on 16 December, bringing it below $11.
The current value is still well above both the placement value and the December 2021 value, but the trend still seems to be downward.
The Avalanche protocol is specifically dedicated to decentralized finance, with decentralized exchanges, lending platforms, smart contracts, token creation, and NFTs.
It has long been among the top ten blockchains for TVL DeFi, whereas by market capitalization AVAX has fallen to 19th place after being close to the top ten.
Very interesting is the parabola of Avalanche’s TVL, particularly in 2021.
In fact, until August, it had never risen above $1 billion, only to suddenly surge and reach first $2 billion at the end of August, and then $12 billion in December.
In 2022, however, its TVL literally plummeted. As early as January it had fallen to 7 billion, and then plummeted from April to June to just over 2 billion.
From August 2022 it began to fall again, even returning below 800 million in December.
By far the DeFi protocol with the most TVL on Avalanche is Aave, which is a lending protocol that originated on Ethereum. The second, Benqi, is specific to Avalanche, but has less than half the TVL of Aave. The third protocol on Avalanche for TVL, Stargate, is also not native to this platform.
In particular, the collapse of Benqi, which has had its TVL reduced more than tenfold in less than a year, from $1.8 billion down to $140 million, seems very significant.
From this data, it seems clear that there are specific problems related to the Avalanche ecosystem, not so much from a technical point of view, but mainly from the point of view of utilization and perhaps even from the point of view of trust.
Indeed, it is not strange that at critical times like this many DeFi users prefer to opt for more solid and secure solutions, primarily those on Ethereum or born and tested long ago on Ethereum.
Therefore, it is hard to imagine that Avalance can boom in the short term and return to the glories of 2021. There is a lot of competition, and in times like these more solid competitors with more history behind them are inevitably favored.
Expectations on Avalanche have always been very high in the past years, although with the current bear market they have been scaled back quite a bit.
In particular, these concern the potential for integrating crypto and blockchain tools with the world of finance and big business.
In fact, Avalanche is a complex network designed for even complex, though primarily financial, uses.
The most interesting aspect seems to be precisely that related to the possibility of creating private or permissioned blockchains through the use of subnets, with their own rules and autonomous and independent functioning mechanisms.
It is precisely because of this functionality that Avalanche would like to become a real hub for interfacing the real economy with the blockchain world.
This of course should be done through tokenization, which is the creation of digital assets referring to objects or assets in the physical world. For example, it is possible to create Fixed-Cap Assets, which are tokens that are fungible but have a maximum number beyond which none can be issued.
The goal is to allow anyone, and especially companies, to easily create their own blockchain, with their own tokens and NFTs, their own smart contract rules, and their own decentralized applications. In other words, offer everyone the opportunity to create their own blockchain network without having to build it from scratch, but by backing it up to Avalanche’s existing blockchain infrastructure.
The AVAX cryptocurrency could play a crucial role in this project, partly because it is only by staking it that one can participate in the governance of Avalanche.
Therefore, on the one hand, the prospects remain attractive, while on the other hand, the bear market is testing its survival among the leading of crypto projects.
Born in 1975, Marco has been the first to talk about Bitcoin on YouTube in Italy. He founded ilBitcoin.news and the Facebook group” Bitcoin Italia (open and without scam) “.
Andrea Porcelli – 3 Jan 2023
Reporting the future.
The latest news about Bitcoin, ICO, trading, blockchain and fintech.
Stay updated on all the news concerning cryptocurrencies and the whole world of the blockchain
We use cookies to make sure you can have the best experience on our site. If you continue to use this site we will assume that you are happy with it.
Author
Administraroot
Related Posts
