Tech News, Magazine & Review WordPress Theme 2017
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Ripple and XRP
    • Altcoins
    • Trading
    • NFTs
    • Blockchain
    • Futuremash
    • Regulators
    • Scams
    • Crypto 101
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Your Guest Blog
  • INDUSTRY ANNOUNCEMENTS
    • Latest
    • Press Releases
    • ChainWire
    • Sponsored Posts
    • Submit Your Content
  • CRYPTO MARKETS
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Binance Coin (BNB)
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Example of Bitcoin’s Purpose
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • SUBMIT
    • Guest Blog
    • Press release
    • Sponsored post
  • Email Alerts
  • DAILY HODL MIX
No Result
View All Result
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Ripple and XRP
    • Altcoins
    • Trading
    • NFTs
    • Blockchain
    • Futuremash
    • Regulators
    • Scams
    • Crypto 101
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Your Guest Blog
  • INDUSTRY ANNOUNCEMENTS
    • Latest
    • Press Releases
    • ChainWire
    • Sponsored Posts
    • Submit Your Content
  • CRYPTO MARKETS
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Binance Coin (BNB)
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Example of Bitcoin’s Purpose
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • SUBMIT
    • Guest Blog
    • Press release
    • Sponsored post
  • Email Alerts
  • DAILY HODL MIX
No Result
View All Result
The Daily Hodl
No Result
View All Result

Polkadot (DOT) vs. Cosmos (ATOM): Coin Bureau Looks at Two Fast-Rising Ethereum Competitors

by Daily Hodl Staff
May 3, 2022
in Altcoins, Ethereum, Trading

A popular crypto analyst is looking under the hood at a pair of Ethereum (ETH) alternatives to see which one might come out on top.

In a new strategy session, pseudonymous Coin Bureau host Guy updates his 2.03 million YouTube subscribers about his expectations for cross-chain interoperability protocol Polkadot (DOT) as well as Cosmos (ATOM), an ecosystem of blockchains designed for both scalability and interoperability.

Three months ago, the analyst took a deep dive into DOT’s parachain auctions, a highly selective process of determining which project-specific blockchains will be integrated into the Polkadot network.

The host now says,

“[A] demand driver for DOT is coming from use cases on Polkadot’s parachains, notably Acala, which recently announced a massive incentive fund for its DeFi (decentralized finance) platform which leverages DOT.

A convenient side effect of Polkadot’s parachain slot auctions is that almost 15% of DOT’s circulating supply has been locked for two years, and when you add that to DOT’s staked supply of around 55%, it means only around 30% of DOT’s supply is readily available for trading.

This should translate to more price volatility for DOT when demand comes back around, but DOT’s massive market cap means it’ll have a hard time going higher than 3x in the short-to-medium term, especially with all the resistance that’s been built up around the $30 level.”

At time of writing, Polkadot is down 4.11% and trading for $14.94.

Moving on to Cosmos, the Coin Bureau host follows up on a February video and says he foresees decent growth, barring a crypto market collapse.

“Many projects in Cosmos’s ecosystem aren’t widely supported by centralized exchanges or even resist being listed on centralized exchanges. This only further increases the demand for ATOM as the bridge currency to these new chains.

Another advantage that ATOM has is a medium-sized market cap. This means that it takes less money to push up ATOM’s price in percentage terms. To put things into perspective, if ATOM saw the same level of investment as DOT, it would result in a 3x from its current price.

I reckon this is a realistic short-to-medium term expectation for ATOM, assuming retail interest returns. If that does indeed happen and at the rate that Cosmos ecosystem is growing, I think a 5x move is a possibility.

I will stress that this all assumes the crypto market will continue its rally, something which isn’t in any way guaranteed.”

Currently, Cosmos is currently priced at $17.79.

When it comes to which altcoin is better, Guy says it’s a tough call because in some ways each project is very similar.

“It’s uncanny just how similar these two crypto projects are. The only real difference is the purposes their blockchains serve, and it looks like they’re about to become similar on that side too.

That’s because Cosmos will be introducing inter-chain security later this year, which will allow smaller Cosmos cryptocurrencies to leverage its blockchain for additional security in a similar way that parachains do on Polkadot.”

The crypto analyst’s final verdict falls in favor of Polkadot due to its long-term potential to appeal to institutions.

“Unfortunately, ATOM’s tokenomics don’t translate to terrific economics. This is where DOT reigns supreme because even though DOT isn’t used to pay for fees on all Polkadot’s parachains, it has more than enough institutional interest to make up for it, never mind all the secondary utilities on parachains.

As for ATOM, its primary demand drivers are mostly temporary as centralized exchanges continue adding popular Cosmos projects. ATOM’s use as a bridge currency will decline especially since it hasn’t managed to turn itself into the interoperability hub it was hoping to become.”

I

Check Price Action

Don't Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox

Follow us on Twitter, Facebook and Telegram

Surf The Daily Hodl Mix

 
Check Latest News Headlines


 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured Image: Shutterstock/galacticus

Submit a Press Release

Industry Announcements

  • Swappi’s New Launchpad Feature To Bring IDOs to Conflux
    May 20, 2022
  • First Global Web 3.0 Eco Innovation Summit Comes to Singapore
    May 20, 2022
  • Wombat Soars to $40 Million in Total Value Locked While Still at Beta
    May 20, 2022
  • Babel Finance Used Collateralized eNote on FQX’s Solana DApp via Fireblocks
    May 19, 2022
  • Top Solana Play-to-Earn Contender DeFi Land Launches Its First Play-and-Earn Game
    May 18, 2022
  • Sneakmart Announces a Collaboration With StockX on Its First Metakicks Drop
    May 18, 2022
  • Everyrealm and Storyverse Partner To Create Interactive Stories for NFT Communities
    May 18, 2022
Submit a Guest Post
ADVERTISEMENT
Bitcoin
$29,955.00
$29,955.00
1.51%
Ethereum
$2,009.14
$2,009.14
1.21%
Cardano
$0.534791
$0.534791
0.87%
XRP
$0.417718
$0.417718
0.46%
Dogecoin
$0.085943
$0.085943
1.53%

Spotlight

  • Analyst Who Called 2021 Bitcoin Collapse Predicts BTC Bottom – Here’s When
    May 15, 2022
  • Ripple Signs New Partnership With International Money Transfer Firm To Use XRP for Cross Border Payments
    May 18, 2022
  • US Lawmaker Introduces Bill To Protect Bitcoin (BTC) 401(k) Investments
    May 21, 2022
  • Macro Guru Raoul Pal Unveils Portfolio Update Amid ‘Carnage’ in Crypto and Global Financial Markets
    May 16, 2022

Cryptocurrency news and analysis, covering Bitcoin, Ethereum, Ripple, XRP, altcoins and blockchain technology

Categories

Bitcoin • Ethereum • Trading •
Ripple and XRP • Altcoins •
Blockchain • Regulators •
Scams • Crypto101 • HodlX •
Futuremash •
Industry Announcements

ABOUT US | EDITORIAL POLICY | PRIVACY POLICY
TERMS AND CONDITIONS | CONTACT

JOIN US ON TELEGRAM

JOIN US ON TWITTER

JOIN US ON FACEBOOK

COPYRIGHT © 2017-2022 THE DAILY HODL

No Result
View All Result
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Ripple and XRP
    • Altcoins
    • Trading
    • NFTs
    • Blockchain
    • Futuremash
    • Regulators
    • Scams
    • Crypto 101
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Your Guest Blog
  • INDUSTRY ANNOUNCEMENTS
    • Latest
    • Press Releases
    • ChainWire
    • Sponsored Posts
    • Submit Your Content
  • CRYPTO MARKETS
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Binance Coin (BNB)
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Example of Bitcoin’s Purpose
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • SUBMIT
    • Guest Blog
    • Press release
    • Sponsored post
  • Email Alerts
  • DAILY HODL MIX

© 2022 The Daily Hodl