Top gainers from August. Three tokens have managed to buck the trend and post substantial gains in August. In this article, we will learn about these three tokens and how they managed to rise against the tide last month reports CNBCTV18.
The cryptosphere is undergoing turbulent times, with Bitcoin dipping below $20,000 more than once in August. The remaining tokens in the top ten list by market capitalisation have also found themselves in red for the last 30 days.
Despite these circumstances, three tokens have managed to buck the trend and post substantial gains in August. In this article, we will learn about these three tokens and how they managed to rise against the tide last month.
Nexo is a Swiss-based crypto lending platform. Its native cryptocurrency (NEXO) rose from $0.70 at the end of July to $1.12 at the end of August. That’s a 60 percent rise in a matter of 30 days. There are several reasons for this rise.
For starters, while other lending platforms were dragging through the mud thanks to their sketchy investment strategies, Nexo repeatedly stressed that it did not take similar risks. It also made it clear that it did not dip into customer funds to meet its financial obligations.
Aside from the multiple reassurances, Nexo also said it would repurchase $50 million of its supply as part of its buyback program. The purchased tokens will be stored in the company’s on-chain Investor Protection Reserve. The address for this reserve has also been shared to ensure transparency.
Buying such a large chunk of the currency is like a shot in the arm for its price valuation. It will help reduce volatility and encourage long-term growth. Besides these factors, Nexo also listed two more tokens on its platform and announced support for post-merge ETH.
Chiliz is a fan engagement token that allows supporters of various sports clubs to engage with their favourite teams. Those who hold these tokens will be privy to exclusive team events, merchandise giveaways, player meet and greets, etc. They will also be allowed to vote on things like jersey design, stadium stand names, and other decisions that impact their favourite teams.
Chiliz almost doubled in August, going from $0.12 to about $0.21 between the start and end of the month. The token is also up 73 percent over the last 90 days.
The rise in the price of $CHZ can be attributed to the announcement that Chiliz will soon be migrating from its current home in Ethereum to its own blockchain. The company has already managed great partnerships with over 120 leading sports teams across the globe, and the token is available on the most popular crypto exchanges. The move to its blockchain will further reduce transaction costs and increase its popularity among investors.
Anker provides an ecosystem that includes staking and API integrations for other blockchains like Polygon and more. It recently piqued the interest of Binance Labs, which has invested a part of its $500 million web3 fund in the platform.
This sent the platform’s native token to the moon, surging from $0.03 to $0.05 in a few days. The price has since come down but ended the month higher than it began, unlike most cryptos during the same period.
Anker is often seen as a cross between Amazon Cloud and blockchain technology, and this investment could see the company improving its platform for decentralised gaming and NFT projects.
Besides Nexo, Chiliz and Ankr, other projects like Celsius (CEL), EOS and Cosmos (ATOM) have also performed well in August. Perhaps the most surprising token on the list is CEL, the native currency of the bankrupt crypto lender Celsius.
The firm has a $1.2 billion hole in its balance sheet, yet somehow it has managed to catapult from $1.09 at the start of August to $1.49 at the time of writing, representing a 36 percent increase. CEL even touched a high of $4.41 on August 15. Takeover rumours and an army of retail investors organising a short squeeze are believed to be the reasons for CEL’s uptick.
EOS is also showing a 25 percent increase over the last 30 days, going from $1.17 on August 2 to 1.51 at the time of writing. The growth can be attributed to EOS moving to its own blockchain, like Chiliz.
We also have Cosmos, which has registered 23 percent gains over the last 30 days. The platform’s native cryptocurrency, ATOM, went from $9.87 at the start of August to $12.56 at the time of writing. Some other tokens that find themselves in the green over the last 30 days include Decred (DCR), Huobi Token (HT), Flow, eCash (XEC), Shiba Inu (SHIB), and PancakeSwap (CAKE).
The crypto market is highly volatile. However, two things that usually help tokens beat this volatility are investor trust and tech potential. Notice that all three tokens in the spotlight have these traits in common, which has held them in good stead while the rest of the crypto market struggled to stay above water.