Record Network Activity and Second NFT Boom Drive WAX ​​Prices Up

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Just days before the price of Bitcoin (BTC) plunged below $ 30,000, the NFT sector dominated the headlines for the second time in 2021, led by a 972% rise in the price of Axie Infinity for a month.

Another NFT-focused protocol that has gained strength in recent months is Worldwide Asset eXchange, also known as WAX – a protocol that claims to “provide the safest and most convenient way to create, buy, sell and trade virtual items to anyone. , worldwide.”

4 hour WAX / USDT chart. Source: TradingView

Data from UKTN Markets Pro and TradingView shows that between June 27 and July 9, the price of WAX’s WAXP token climbed 70% to a high of $ 0.151 before the Bitcoin-led sell-off reduced the price at its current value of $ 0.11.

Three reasons for the WAXP rally include the growing list of well-known brands launching collectibles on the project’s blockchain, an active network with fast transaction times, and its integration into decentralized finance via cross-chain compatibility with the network. Ethereum (ETH).

Popular brands launch NFT projects on WAX

Nostalgia can be a powerful source of attracting an audience eager to engage with a product and WAX has managed to capitalize on this by partnering with well-known brands in the United States.

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Current partners include Atari, Topps, William Shatner and Capcom, and a scroll from the project’s Twitter feed shows recent campaigns for Street Fighter V Series 2 cards and special edition Bratz collectibles.

Popular collectibles like Baseball Cards and Garbage Pail Kids, as well as more modern games like Alien Worlds (TLM) provide users with a variety of options that help attract large audiences to the WAX ​​Network, which has resulted in increased on-chain activity.

WAX has the highest activity of all networks

A second sign of the growing strength of the WAX ​​network can be found by looking at the 24-hour activity of top-ranked blockchains, which WAX leads by far.

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Top 6 most active blockchain networks. Source: Blocktivity

Data from Blocktivity shows 24-hour activity on WAX now exceeds 17 million operations and more than double that of Stellar (XLM), which is its closest competitor. WAX more than six times more activity on EOS, the creator of the EOSIO software used by the WAX ​​network.

Yield opportunities arrive via DeFi and staking

The recent introduction of an inter-chain bridge on the Ethereum network has allowed WAX to harvest and stake the protocol, which has been improved by the introduction of an inter-chain bridge on the Ethereum network.

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The WAX ​​blockchain works with a delegated proof of stake consensus model, which means the easiest way for token holders to earn a return on their holdings is to stake WAXP on the network to earn an annualized reward rate. by 4.42% based on Staking Rewards data.

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Token holders can also convert their WAXP to WAXE, a version of the token that can run on Ethereum and be used to participate in decentralized finance (DeFi) by providing liquidity on decentralized exchanges and yield farms.

By providing opportunities related to NFTs and DeFi, two of the hottest sectors of the cryptocurrency ecosystem, the WAX ​​network is well positioned to continue to attract new users and maintain a high level of on-chain activity. .

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of UKTN.com. Every investment and trading move comes with risk, you should do your own research before making a decision.