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3 reasons why IOST price has risen 650% in 2021


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Maintaining with the most recent traits in cryptocurrency is a should for initiatives that wish to keep related and proceed to realize market share. The hype is at the moment swirling round decentralized finance (DeFi) and nonfungible tokens (NFTs) — and IOST is one protocol that has been capitalizing on these growing movements to assist broaden its group.

Information from Cointelegraph Markets and TradingView reveals that the worth of IOST, the 78th-ranked digital asset by market capitalization, has risen 650% since Jan. 8, from $0.0058 to $0.045 on Feb. 17, its highest degree since June 2018.

IOST/USDT 4-hour chart. Supply: TradingView

Three causes for the robust value efficiency to date in 2021 embody its entrance into the DeFi area, the addition of NFT performance mixed with a brand new market the place customers should buy and promote gadgets, and elevated assist for staking from prime exchanges, which led to a big enhance within the token’s buying and selling quantity.

IOST enters the DeFi area

DeFi’s central function in increasing the cryptocurrency ecosystem is now simple, and the builders at IOST lately took steps to capitalize on this rising pattern.

Community congestion and high gas fees on Ethereum have led cryptocurrency merchants to hunt alternate options exterior of the Ethereum community, and IOST is now rising as a type of choices because of its partnership with the brand new DeFi platform Donnie Finance.

The partnership was initially announced on Dec. 4, 2020 and is now making ready for its official launch on Feb. 18, which is able to allow IOST holders to stake their tokens within the protocol to take part in platform governance in addition to earn native DON tokens.

IOST token value additionally obtained a lift after it was introduced that 10% of the whole provide of DON could be airdropped to IOST tokenholders as a approach to assist get them concerned within the newly launched DeFi platform.

NFT introduction helps enhance group involvement

Just like the CryptoKitty craze within the bull market of 2018, NFTs have again emerged as a hot topic within the cryptocurrency house.

Following the discharge of its IRC-722 NFT customary in April 2020, IOST jumped into the NFT area by way of a partnership with the Japanese blockchain recreation developer and consultancy firm Platinum Egg and the creation of the TokenLink NFT market.

TokenLink was designed to permit IOST avid gamers to commerce NFTs and recreation gadgets in a safe method.

The beta model of {the marketplace} launched in January and is out there for group members to check out by buying and selling gadgets from CrossLink, a GPS-linked technique recreation developed by Platinum Egg that was launched in September 2020.

IOST has additionally been chosen by Japanese regulators to display how NFT expertise could be utilized to peer-to-peer electrical energy buying and selling and medical information sharing by using NFTs to function liquid mental property in secondary markets.

Change staking assist and will increase in quantity

The third driving power behind the current value progress of IOST is the addition of staking on a number of prime cryptocurrency exchanges together with Binance and Huobi.

As DeFi grows and presents methods for tokenholders to earn a yield on their holdings in a decentralized method, centralized exchanges have more and more needed to supply higher-yielding funding merchandise with a purpose to entice liquidity and customers.

Throughout the month of January, a number of prime exchanges introduced that they’d be including assist for IOST staking, with an annual proportion yield starting from 20% on Huobi to a excessive of 54.49% on some Binance contracts.

The partnership with Huobi additionally included the addition of the HUSD stablecoin to the IOST ecosystem, an essential growth, as it’s the first stablecoin on the IOST blockchain, which ought to carry contemporary liquidity to its DeFi ecosystem.

Rising fundamentals and market sentiment enhance IOST

In accordance with information from Cointelegraph Markets Pro, market situations for IOST have been favorable for a while.

As an illustration, the VORTECS™ rating, unique to Cointelegraph, is an algorithmic comparability of historic and present market situations derived from a mix of knowledge factors together with market sentiment, buying and selling quantity, current value actions and Twitter exercise.

Cointelegraph Markets Pro – VORTECS™ Rating (inexperienced) vs. IOST Worth

As seen within the chart above, the VORTECS™ rating for IOST started to select up on Feb. 15, round 48 hours earlier than the worth elevated 80%.

Since Jan. 8, buying and selling quantity for IOST has additionally seen new report every day volumes, which have surpassed $1 billion as curiosity within the protocol continues to develop.