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New milestone reached as 100 cryptocurrencies attain a $1B market cap

04/05/2021

Up to now two months, the variety of crypto tasks with a $1 billion market cap doubled as elevated adoption pushes token valuations larger.

Within the final two months, the variety of cryptocurrencies with a $1 billion market cap has doubled for the reason that final time Cointelegraph reported on the milestone. As issues at the moment stand, there are 100 tasks which have reached a $1 billion market capitalization.

Unicorns are sometimes privately held startup firms valued at greater than $1 billion, however conventional finance is more and more making use of the time period to high-value cryptocurrencies that establishments are solely now gaining publicity to.

The doorway of institutional buyers into the cryptocurrency sector over the course of 2021 has been one of many driving forces of progress for the ecosystem as an entire as multi-billion greenback firms like Tesla, Sq. and MicroStrategy have transformed a portion of their money reserves into Bitcoin (BTC) and different high altcoins.

Decentralized finance (DeFi), nonfungible tokens (NFT) and oracles have been among the hottest progress sectors of the cryptocurrency ecosystem, serving to propel a number of tasks to Unicorn degree standing, whereas stablecoin-related protocols have additionally vaulted in worth as they assist present a stable basis for the trade to develop from.

On that thread, right here’s an replace on among the high crypto unicorn tasks, in addition to an introduction to among the latest arrivals to the billion greenback membership.

Nonfungible tokens steal the highlight

Nonfungible tokens took the world by storm over the previous two months as celebrities, influencers, quick meals eating places and established public sale homes jumped on the bandwagon to participate within the creation, sale and distribution of one-of-a-kind digital property.

Enjin Coin (ENJ) has been one of many largest beneficiaries of the rise of NFTs which helped rocket the worth of ENJ to an all-time excessive of $3.08 on March 15 and firmly elevated the challenge to Unicorn standing with a $2.6 billion market cap.

ENJ/USDT 4-hour chart. Supply: TradingView

The upcoming launch of JumpNet on April 6, will allow the zero-fee creation and distribution of ERC-1155 tokens within the Enjin ecosystem and neighborhood pleasure over this launch seems to be conserving buyers bullish on ENJ.

Different notable NFT-related arrivals to the Unicorn membership embody the digital actuality platform Decentraland (MANA), which permits the acquisition of digital plots of land that may be developed and monetized, and Movement (FLOW), a developer-friendly blockchain designed to be the inspiration for “the subsequent technology of video games, apps, and the digital property that energy them.”

The DeFi ecosystem expands

The affect that decentralized finance has had on the cryptocurrency ecosystem is simple as a lot of the expansion within the sector over the previous two years may be attributed to DEXs like Uniswap and yield-farming platforms like Yearn.finance (YFI).

Excessive transaction prices and community congestion on the Ethereum community triggered an exodus of customers and liquidity to cross-chain suitable platforms and in addition helped to boost a number of DeFi protocols constructed on the Binance Good Chain (BSC) above the billion-dollar mark.

PancakeSwap (CAKE) has been one of many shining stars of BSC, quickly climbing up the charts through the months of February and March to hit a market cap of $2.55 billion.

Complete worth locked on PancakeSwap. Supply: Defi Llama

Information from Defi Llama reveals that CAKE is now ranked because the fifth-largest DeFi platform by complete worth locked with $6.18 billion at the moment locked within the protocol.

One protocol that operates on the Binance Chain and the Ethereum community is THORChain (RUNE), whose 700% worth progress since January 1 has lifted the challenge’s complete market cap to $1.95 billion.

Latest optimism for the challenge has been centered across the launch of THORChain Multichain, which dedicated to genesis on April 2 and is anticipated to launch between the thirteenth and sixteenth of April.

Cross-chain bridges and interoperability protocols soar

Platforms that provide a decrease price surroundings to that of Ethereum, together with layer 2 options and separate blockchain networks, have acquired further consideration over the previous two months because of record-breaking gasoline prices.

Because the token that powers transactions on the BSC, Binance Coin (BNB) has seen its worth surge sufficient to vault the token into the highest 3 by market capitalization, which now fluctuates round $53.55 billion.

Polygon (MATIC) has additionally risen in stature to turn out to be one of many chosen layer 2 protocols for the Ethereum community following its pivot to turn out to be the “Polkadot on Ethereum” and assist stem the tide of tasks and liquidity leaving the community.

With many well-liked unicorn-level tasks already operational on the Polygon protocol, together with Aave (AAVE) and SushiSwap (SUSHI), MATIC seems well-positioned to proceed its gallop larger as a rising unicorn star.

Stablecoins and storage platforms develop in power

Stablecoins and their related protocols acquired a lift early in 2021 when the U.S. Treasury’s Workplace of the Comptroller of the Foreign money gave the inexperienced gentle for nationwide banks to run unbiased nodes for distributed ledger networks.

Prime stablecoin market capitalizations. Supply: CoinGecko

After Bitfinex and Tether settled their landmark case with the Workplace of the New York Lawyer Basic, enthusiasm for stablecoin tasks additional elevated because the market caps for Tether and USD Coin (USDC) elevated by billions of {dollars}.

One protocol with a stablecoin element that has made nice strides in serving to set up a steady retailer of wealth in international locations experiencing hyperinflation like Venezuela is Reserve, whose Reserve Rights (RSR) token has elevated by greater than 400% in 2021.

One other new entrant to the stablecoin discipline is TerraUSD (UST), whose market cap skyrocketed from $182 million on Jan. 1 to $1.66 billion on April 2 as its native Terra (LUNA) blockchain protocol, which specializes within the creation of fiat-pegged stablecoins to energy price-stable international funds techniques, has seen its worth rally 3,000% for the reason that starting of the 12 months.

Actual-world use instances and partnerships drive altcoins larger

A number of tasks with particular use-cases and first-mover benefit have joined the unicorn herd by providing distinctive options to issues confronted in each the cryptocurrency and conventional sectors.

Theta (THETA) has been a stand-out performer for the blockchain trade in 2021 because the streaming video-focused platform has seen its token worth swell greater than 900% since early January after a number of high-profile bulletins led to record-high buying and selling volumes for the token.

The blockchain-based internet browser and digital promoting platform Fundamental Consideration Token (BAT) managed to attain a unicorn-level valuation because of its personal NFT and DeFi associated bulletins, with the challenge unveiling plans to launch a DEX aggregator and NFT pockets in its subsequent browser.

Helium (HNT), a decentralized blockchain-powered community for the Web of Issues (IoT) units by a community of nodes (hotspots), has additionally just lately joined the unicorn membership.

Helium hotspot protection map. Supply: Helium

Working a hotspot on the Helium community provides the consumer a low-cost alternative to take part in mining to assist preserve community safety at a fraction of what it prices to mine Bitcoin and Ethereum.

That is helped create a world community of greater than 25,000 hotspots and a complete market cap of $1.12 billion for the HNT.

HNT/USDT 4-hour chart. Supply: TradingView

Now that institutional buyers are slowly gaining publicity to the cryptocurrency asset class, the variety of unicorn-level tasks is prone to proceed to extend as conventional finance embraces the rise of DeFi and digital property.

The views and opinions expressed listed below are solely these of the writer and don’t essentially mirror the views of Cointelegraph.com. Each funding and buying and selling transfer entails danger, you need to conduct your individual analysis when making a call.