Nigerian News

Here’s Why Holo Looks Hot for the Rest of the Year

Holo (CCC:HOT-USD) has gained significant traction in the past year as it returned about 2,000%. HOT-USD is currently trading around $0.0119 (or 1.19 cents), and the market capitalization stands at $2.1 billion.

Holochain is the underlying software that the Holo crypto runs on. HOT-USD had its initial coin offering (ICO) in 2018. Through a demand-determined process, 177.6 billion Holo coins were minted. Of that amount, 75% have been allocated for public sale, while the remaining 25% has been allocated for the company and its team.

Holochain website displayed on smartphone screen.

Source: Grey82 / Shutterstock.com

Most of the recent run-up in price occurred in 2021. At the end of Dec. 31, 2020, the price of HOT-USD  was less than $0.0006 (or 0.06 cents). Then it followed in the footsteps of many other cryptocurrencies, such as Dogecoin (CCC:DOGE-USD), which is up nearly 10,000% in 2021. HOT-USD hit an all-time high of $o.o3157 (or 3.157 cents) on April 5 at the peak of the recent crypto rally. Since then, profit-taking has kicked in.

Investors in the Holo crypto believe the technology behind Holochain could be a game changer. Therefore, today, we will look at what could be next for HOT-USD in the months ahead.

Understanding Holo

Holo is a distributed cloud-hosting network. Its aim is to bridge the gap between the Holochain platform and mainstream end-users by allowing ordinary web surfers to use peer-to-peer (P2P) Holochain apps. The role of Airbnb (NASDAQ:ABNB) in the leisure space and what the company does to hotels could be a good analogy to better appreciate what Holo does to app hosting.

The framework offers developers a cheaper and more scalable alternative to traditional blockchains, where transactions are not logged on a public ledger. You might already know that scalability refers to the ability to handle large volumes of transactions at high speeds. On Proof of Work (PoW)-based blockchains such as Bitcoin (CCC:BTC-USD), there is a public log of every Bitcoin transaction ever made.

Recent research points out that blockchains “currently offer a transaction throughput of about 10 transactions per second. With simple technical tweaks, those could potentially be improved to about 100 transactions per second, without deteriorating their security provisions of an open and decentralized network. This comparably low throughput is a 1 challenge for blockchain adoption.”

Unlike blockchain networks, on the Holochain platform, transactions are not logged on a public ledger, but on individual user nodes. On this decentralized web platform, users do not need to receive confirmation from network participants or record it on the blockchain for every transaction within the network. Put another way, many regard Holochain as offering a highly scalable solution.

Patent Approval

Earlier in the year, Holo Limited got approval for a U.S. patent for the rrDHT networking design. It is “a system of nodes communicating according to a relaxed, agent-centric distributed hash table. … This patent is a critical component of the open source license used for Holochain.”

The platform is expected to transform the paradigm of data-centric blockchains to a more efficient agent-centric system. In other words, P2P networking enables users to process agent-centric agreements and consensus processes.

Holochain highlights “a diverse community of developers, enterprises and researchers … using Holochain to solve challenging, real-world problems,” ranging from energy to social impact and data ownership. Investors in HOT-USD are betting on the future of this open-source framework.

Such users earn HoloFuel in return for sharing extra space and computing power to host apps. Put another way, the platform allows anyone with a computer to use a Holo hosting box to host distributed applications and receive payment in return.

The Bottom Line on HOT-USD 

The Holochain platform does not rely on a global ledger or crypto miners for validation of transactions. As a result, these transactions become more efficient and quicker. Thanks to Holochain apps, there is no need for an intermediary. As the Holo crypto powers the Holochain, it is not surprising that some investors are highly keen on the future of the crypto token.

Meanwhile, like many other altcoins in the market, the price of HOT-USD is greatly tied to the price of Bitcoin. Seasoned crypto followers would concur that Bitcoin typically has a cool-off phase after each major leg up. In that interim, altcoins gain significant attention when their prices can easily double in a matter of weeks, or even days.

Given the interest in the Holochain technology, expect HOT-USD to reach new highs before the end of the year. However, the altcoin space is extremely volatile, and the Holo crypto has proved to be a fast mover. Therefore, it would be best not to bet the farm on Holo or any other crypto.

On the date of publication, Tezcan Gecgil did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Tezcan Gecgil has worked in investment management for over two decades in the U.S. and U.K. In addition to formal higher education in the field, she has also completed all 3 levels of the Chartered Market Technician (CMT) examination. Her passion is for options trading based on technical analysis of fundamentally strong companies. She especially enjoys setting up weekly covered calls for income generation. 



From the desk of Efogator.com

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button