BEL token’s price up 30%: What is Bella Protocol?

Highlights

• Cryptos seem to have regained a little, with some tokens having surged heavily in the past 24 hours
• Bella Protocol provides yield farming, with the BEL token serving as native to the platform
• The BEL token price has recently surged, but over the past five months, it has largely traded in the red

Forecasting the near-term or long-term price movement of any cryptoasset can be difficult. The assets have exhibited wide price variations. In 2022, these variations have arguably heightened, with the stablecoin TerraUSD and its sister LUNA token losing sharply.

The recent upward price movement of Bitcoin might calm some enthusiasts. As of writing, Bitcoin’s 24-hour price gain was over 1%. Other biggies like Ether and XRP were also trading in the green, and a few like Monero and Shiba Inu had gained over 5% in the past 24 hours.

One crypto, Bella Protocol had registered over a 30% gain. What is Bella and how has its token performed this year? Let’s know.

What is Bella Protocol?

The project claims to be a DeFi participant in the cryptoverse. Such participants usually allow users to deposit their holdings and earn, what they call, “interest”. DeFi is being considered by some a formidable competitor to the traditional banking system.

In Bella Protocol, users can deposit assets, with advantages of low gas fee and better yields, it is claimed. Yield refers to returns on deposited assets. This arrangement is also called “yield farming” in the cryptoverse, with underlying smart contracts on the blockchain. Bella Locker, it is highlighted by Bella Protocol, offers a “fixed annual percentage yield”.

The protocol also mentions that there is no entry barrier like the minimum token requirement for users. The project seems to have two different products – one in the savings and the other in the locker account form. Commenting on Bella Protocol safety can be speculative, but hacks on DeFi platforms in the past suggest caution.

Also read: Will cryptocurrencies bounce back in June? Here are 3 cryptos to watch

BEL token

BEL is native to the wider Bella Protocol ecosystem. It is said to be a rewarding token for users. BEL trades as a variable return tradable asset on exchanges like Binance.

The maximum supply of the BEL token is restricted to 100 million tokens. According to CoinMarketCap, 48 million BEL tokens are currently in supply.

BEL token price

Also referred to as the Bella Protocol crypto, BEL’s price was over US$1 at the time of writing. The market cap was estimated to be over US$47 million. A major upswing in price and trading volume has been noticed over the past 24 hours.

During this time, price had gained over 30% and trading volume was up by almost 700%.

That said, the BEL token was trading at a year-to-date (YTD) loss. It started 2022 with a price tag of nearly US$1.5. The price had plummeted under US$0.3 earlier this month.

Data provided by CoinMarketCap.com

Bottom line

Bella Protocol, a DeFi and yield farming platform, has seen a surge in its price. How long will this last cannot be predicted. On a medium-term basis like YTD, the BEL token is trading at a loss.

Also read: What’s in store for Bitcoin in June 2022?

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