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Highlights
- Bitcoin is now under US$22,000, after having lost more than 3% over the past one day
- Rari Governance Token, however, has defied the wider bearish phase and is up almost 100%
- The RGT token allows the users of Rari Capital to decide on the protocol’s governance
Is it already the end of the road for cryptocurrencies? Are all assets of the cryptoverse losing value or is there any outlier? Bitcoin (BTC) has lost nearly 30% over the past seven days while Ethereum’s losses are even higher.
BTC, which started this year with a price of US$47,000, is now under US$22,000. But at least one cryptoasset’s gain over the past 24 hours might revive hopes of crypto enthusiasts. This token has appreciated nearly 100%, which is a remarkable feat in the wake of a sweeping bearish trend in cryptos.
Which crypto is rising at the moment and what it does? Let us explore.
What is Rari Governance Token?
Decentralised Finance (DeFi) protocols have come up in the crypto markets with a promise of “passive income” on crypto holdings. Rari Capital is a participant in the same field, with offerings like borrowing and lending of tokens. The protocol claims it is accessible to users cutting across countries.
One of the interfaces of Rari Capital is ‘Market’. Here, users can leverage any cryptoasset to earn yields. Market runs on both Polygon and Fantom networks. The platform claims it can add liquidity to all assets owned by the user, enabling yield faming.
Rari Governance Token or RGT makes the Rari Capital protocol decentralised and governed by users. The native token of the Rari ecosystem, RGT, is also used to incentivise protocol participants.
Also read: NikeCraft and PsychoKitties: Why these two NFTs are trending
Rari Governance Token price
RGT is not among the top 100 cryptoassets as of now, but of late, it has fared better than many other. As of writing, Rari Governance Token’s market cap is nearly US$95 million.
The price of the RGT token is nearly US$8, after having touched US$10 for a brief moment. The token’s price and trading volume over the past 24 hours have surged 100% and 2,500%, respectively. On a year-to-date (YTD) basis, the RGT token has fared largely like other cryptos. The price was nearly US$28 on January 1.
Why is Rari Governance Token rising?
One of the reasons could be the distress in one of other crypto lending platforms, Celsius Network. The users of Celsius Network have been prevented from withdrawing their assets. This could have sparked interest in Rari Capital, which is a decentralised protocol, with governance in the hands of users.
Data provided by CoinMarketCap.com
Also read: What future does Celsius Network hold after its suspension?
Bottom line
The RGT token has risen sharply of late, but the wider crypto market is trading in the red. Only time will tell if the token can build on these gains or will it peter off like other cryptos.
Risk Disclosure: Trading in cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory, or political events. The laws that apply to crypto products (and how a particular crypto product is regulated) may change. Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading in the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed. Kalkine Media cannot and does not represent or guarantee that any of the information/data available here is accurate, reliable, current, complete or appropriate for your needs. Kalkine Media will not accept liability for any loss or damage as a result of your trading or your reliance on the information shared on this website.
