- Phoenix Community Capital is a community investment project.
- It is aimed to build a shared asset pool and generate yield by investing assets into on-chain and off-chain investment instruments.
- The FIRE crypto operates on the Avalanche (AVAX) blockchain network.
Many new crypto categories are created even as the market size grows. There are over 150 categories for nearly 19,000 cryptos, as per coinmarketcap.com. And despite a slowdown in the market, it has not stopped drawing investors' interest.
The Phoenix (FIRE) crypto saw significant traction on Friday. Its trading volume soared over 17.8% to US$2.98 million in the trailing 24 to Friday morning. However, there was no apparent reason for the token’s upswing.
Let's understand what this project is.
What is Phoenix crypto?
The Phoenix Community Capital is a community investment project that creates a shared asset pool and generates yield by investing assets into on-chain and off-chain investment instruments. The community's large capital pool allows it to make exclusive large-scale investments unavailable to average investors.
It also claims to share the return on investment with the community. The profits are said to release into the community members’ token exchange.
According to its whitepaper, Phoenix’s primary investment project is called Nest, a tool where users can generate FIRE token rewards. The Nest funding is expected to ensure the token’s growth. Also, it claims Nest owners benefit in two ways: first, they would receive token rewards, and second, they reap the gains from the token’s value appreciation.
According to the company, one can create a Phoenix Nest using 10 FIRE tokens. After creating the Nest, rewards are automatically generated regularly.
What Is Phoenix (FIRE) Crypto?
Also Read: Why is Celer Network (CELR) crypto rising?
As per the company’s tokenomics, out of the 10 tokens, seven FIRE tokens are transferred to the rewards pool, one FIRE token is added to the liquidity pool, and the balance two tokens are transferred to the treasury wallet for investments.
The accumulated FIRE tokens can be sold in the open market or reinvested to generate further tokens. According to its whitepaper, the community members have complete autonomy over buying, selling, or reinvesting FIRE tokens. The project is CertiK audited, says the whitepaper.
The token operates on the Avalanche (AVAX) blockchain network and has a total supply of one million FIREs. The Phoenix (FIRE) token rose 1.38% to US$179.13 at 9:16 am ET on Friday.
The details of the token's circulating supply and market capitalization were not immediately known. The token is available for purchase on Bitrue and BKEX crypto exchanges.
Interestingly, its whitepaper mentions that the project was formed to give voice to the community regarding investments. It also says that there will be times when the Phoenix management will make operational decisions without a community vote. It said it reserves the right to take any necessary action for the benefit of the community members.
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