The crypto market experienced its worst year in the history of DeFi. Investors have witnessed the disappearance of tokens from the market, causing incalculable effects. A new season has arrived for crypto investors; with the new year comes a new investment mindset.
A crypto that exhibits inflation is one in which the total supply of tokens is growing. Mining, staking, and other techniques can increase the circulating supply of tokens. The token’s worth would decrease as its availability increased. Deflationary cryptocurrencies are those in which the supply of tokens would decrease over time. Consequently, even in scenarios with constant demand, the value of each coin would increase.
After the losses faced by crypto investors in 2022, it would be prudent to trade and invest where earnings are assured to make up for the crypto winter. So stay away from:
Toncoin started live on 26 August 2021 at a price of $0.41 and experienced steady growth in its first few months, leading to its largest breakout of $5.84 on November 12, 2021. On 19 December 2022, the price of TON was approximately $2.65 and a market cap of slightly under $3.3 billion.TON is currently valued at $3.3 billion, with over $8 billion in tokens to be released this is not good news due to inflation in a bear market
The popularity of the move-to-earn game STEPN, which emerged in early 2022, appears to have waned, as the Solana-native gaming program continues to suffer a reduction in its user base and a fall in GMT token prices. The collapse of FTX has additionally worsened matters at Solana. STEPN sits at a $1.6 billion valuation despite its massive price rises. In addition, it does not appear that daily token unlocks of $400,000 will benefit the project in 2023.
There are a total of one billion DYDX tokens, which will be distributed over the course of about 5 years. The recent performance of the token has been favorable, but future market performance will have a significant impact on its value. Also, just 7% of the available supply has been unlocked. To make matters worse, in February 2023 $25 m in investor tokens will be unlocked.
So far, 2022 has been a horrible year for crypto in general and for 1inch in particular. It appeared that the decline to $1.19 in the aftermath of Russia’s invasion of Ukraine was the low point, as the token rallied to $2.07 on 1 April. On February 6, 2023, $100M worth of tokens will be issued despite the continued poor performance.
Optimism is one of the available layer-2 scaling strategies. More than 234 million OP coins were in circulation as of 16 December 2022, out of a total supply of 4 billion. In May, more than $100 million in tokens will be issued. This is bad for OP investors.
If you intend to invest in cryptocurrency tokens, you should always do your own research. Before making an investment decision, consider the latest market trends, news, technical and fundamental analysis, and expert opinion. Remember that previous performance is not indicative of future results, and never invest money you cannot afford to lose.