May is right there, just around the corner. Have you ever stopped to think about which crypto allocations would be worth making this coming month?
We're going to tell you about five currencies that could come on your radar and, of course, the reasons for this.
It is important to mention that more than half of these projects are already listed on Binance, and the other part may soon join.
Let's look at each of these 5 opportunities below.
Renzo: possibilities in DeFi Ethereum
The cryptoRenzo is a specific token in Decentralized Finance: it is a project that works as restocking within the Ethereum network for DeFi. We may speak Greek, so it's worth a little more detailed presentation.
Restaking is the process that seeks to optimize traditional staking transactions on a blockchain network. In this case, crypto Renzo works in the EigenLayer ecosystem, which is a derivative of the Ethereum network and seeks to bring better delivery of activities to users.
If it still seemed a little complicated, understand it this way: this crypto is a token from a network that seeks to optimize transactions on what is the second most relevant network that exists in the crypto universe. And what this network on which Renzo works means is that whoever uses it is participating in these restoking activities directly.
Through an advanced network of smart contracts, transactions carried out on this network bring greater usability to the ability to perform restocking.
And, with a huge advantage: indirectly associated with Ethereum! It is worth noting that the price of the Renzo crypto moves as a reflection of Ether, the native currency of the Ethereum network.
BounceBit: restaking em Bitcoin
If you thought the idea of restoring in Ethereum was interesting, know that there is also the possibility of doing this with Bitcoin. That's right: in addition to being able to participate in this type of transaction with the second largest crypto in existence, you can also participate in the one that opened the doors to the crypto universe and is the most relevant of all (in market value and presence). This project is BounceBit.
The big difference with this crypto is the existence of a different network: the CeDeFi architecture network. What this network does, in a simplified way, is add an additional layer of security and confirmation of transactions: they occur in a decentralized manner, but are confirmed at another centralized end.
It is important to emphasize: there is only confirmation in this centralized network, not full operationalization - so the risk of centralization as a “possible complication of activities” is very low.
Saga: collective stablecoin
Possibly the largest and most concrete integration between the crypto universe and more traditional financial markets is in the so-called stablecoins. In case you don't know, stablecoins are digital currencies that seek to track their value on a par (or in some pre-defined relationship in their project) with fiat currencies, those issued by central banks.
Saga, in this case, is a stablecoin that seeks to follow the dollar, but with an eye on a basket of different fiat currencies. In direct terms, buying a stablecoin is the equivalent of buying that fiat currency, only in the crypto universe - with greater security, decentralization and without the need to pay huge local fees (which is what happens in each country's foreign exchange market).
Oh, and of course, with the possibility of carrying out transactions around the globe, which takes freedom one step further.
What sets Saga apart is that it comes with a basket of fiat currencies, with only the exchange rate being in dollars. It is analogous, for example, to the DXY index, which tracks a basket of currencies (such as the euro, pound sterling, yen and even the Canadian dollar) in relation to the US dollar.
If having a stablecoin linked to a fiat currency is already an interesting idea, imagine several! Just look at the price movement of this token, considering the last 7 days:
Tensor: vitrine NFT
Just like the crypto universe as a whole in recent years, NFTs have gone through a difficult winter and have made a comeback in recent times.
But, within this recent positive flow to this specific part of the crypto market, there is a project that allows you to closely monitor what is happening. This project is Tensor.
Tensor is a project specifically focused on being an NFT marketplace within the Solana network. And, more than “just another marketplace”, this platform is actually responsible for a relevant part of all NFTs traded: two out of every three items of this type undergo negotiations on this platform.
There are basically two direct advantages of having this token in your wallet: the first is to follow the NFT market as a whole, since the relevant flow of everything that happens on the Solana network in relation to these items passes through the platform; and, considering the indirect effect of the increased use of Solana, the increase in the number of people starting to use this platform is also good news and points to a likely increase in demand for Tensor as a marketplace.
Or, more directly: you enjoy NFT and Solana cycles at the same time! In the last 7 days, the coin has shown this price behavior:
Wormhole: cross-functional and efficient operation
A brief nerd reference: if you've watched Interstellar, you may remember the scene in which the main characters' spaceship crosses an immense amount of space through a so-called wormhole - which is a fold in space-time. These folds in space-time are, in a very simplified and visual way, as if you wanted to get from one end to another on an A4 sheet more quickly: instead of going from one point to another, you fold the sheet in half and “crosses” it.
Whether the nerdy reference was useful we don't know, but the equivalent of this in crypto is what Wormhole (which is a direct translation of “wormhole”) promotes: the integration between different blockchain networks.
Unlike projects that only work within a network, what this project allows is precisely for integrations to be carried out between the thirty largest different networks.
Ultimately, this enhances transactions - almost like a simple fold of paper - within the crypto universe. Having this token in your wallet means monitoring its incalculable potential! In the last week, this token had this variation in traded value:
5 promising projects, but you can't be too careful!
These are the five projects we noticed that maybe weren't on your radar but could be on it now in May 2024.
It is worth mentioning that it is super important to look individually at each project, what problem it seeks to solve, the companies or people behind the development and other factors that are related to the long-term value of this token.
In fact, depending on the moment in the crypto market, even good projects and tokens devalue along with the entire market - who remembers crypto winters? Therefore, the moment to enter a given project is also important in the total return on investment.
And you, what allocations will you make this month that begins?
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Image by Art Rachen on Unsplash