LayerTwoLabs co-founder and CEO Paul Sztorc believes the so called drivechains he is creating for the Bitcoin network will “make everyone in the world a Bitcoin user” in the long term and sees the crypto asset reaching the price of $20 million per coin.
“The lack of sidechains is the biggest problem [in the crypto industry],” Sztorc of LayerTwoLabs tells MetaNews, referring to the fact that a countless number of copies of Bitcoin have been promoted. Instead of working on expanding Bitcoin, newcomers want to issue their own coin, often lamenting “old” Bitcoin as out of touch.
“It destroys the truth and turns everyone into a propagandist for their coin. It ruins everything,” Sztorc, the author of two Bitcoin improvement proposals (BIPs), BIP 300 and BIP 301. Sidechains provide an avenue for a new type of “altcoin” – one that is connected directly to the Bitcoin network. He says drivechains have the potential to “revolutionize” the way Bitcoin is used by enabling “greater scalability, extensibility, privacy, and flexibility on the network.”
“We believe that drivechains have the potential to kill altcoins, increase Bitcoin adoption, and provide the catalyst for hyperbitcoinization,” his company announced this week.
Crypto markets in trouble
He alludes to the fact that the crypto markets are in trouble, but Sztorc believes this is a function of what he described as “naïve greed” on the part of industry players.
The problems the cryptocurrency industry face are a “combination of factors but one big one is that the culture of Bitcoin no longer emphasizes use, causing the soul of the project to decay into naive greed instead of creation,” he says.
Technically, drivechains spell out a specific way to create Bitcoin sidechains. Sidechains, on the other hand, are parallel blockchains to Bitcoin that enable BTC to “flow” between the two networks in a two-way peg.
And because Bitcoin can’t actually leave the Bitcoin network, sidechains accomplish this task by locking up BTC on the Bitcoin blockchain and representing them in different ways in the sidechain. The goal is that the representation of BTC in the sidechain maintains a 1:1 peg to the actual BTC locked on the Bitcoin network.
Drivechains are not entirely new
Sztorc’s plan is not an entirely new one. Liquid is the most popular sidechain in the Bitcoin ecosystem today, but it is not a genuine two-way peg.
Liquid’s model leverages a federation to handle the on-chain lock-up and withdrawals, as well as sidechain block creations. Drivechains attempt to shift from a federated model and favor something it considers more decentralized – Bitcoin’s own miners.
$3 million in fresh funding for drivechains to become a reality on top of #Bitcoin
— Will Foxley 🧭 (@wsfoxley) December 20, 2022
Layer 2 Labs successfully closed a seed round recently and raised $3 million in funding.
Under its drivechain model, bitcoin miners also mine sidechain blocks, albeit blindly. This way, the miner doesn’t need to run software for that specific sidechain, while still accruing from the value being transacted on that parallel chain, most fees paid on the sidechain go to the bitcoin miners. Ultimately, this also contributes to greater fee revenue in Bitcoin.
Bullish on bitcoin
In the long term, Sztorc is bullish on Bitcoin and sees it reaching $20 million per coin. Yes, $20 million.
But he sees the extinction of the US dollar.
“In the long term Bitcoin is going to $20+ million per coin, though there will not be a USD at that time so the phrase will not be used. Short term who knows. Anything like Solana that gave its founders 20+% allocation, will pump for 0-18 months then die. It’s a certainty,” Sztorc says.
He says that although exchanges are “enormously profitable”, they are also vulnerable to enormous hacks and embezzlement. In the future, he hopes exchange failure will be come rare. “Exchange failure used to be the norm, but got rarer over time. Probably that will continue,” he said. “Have we seen the worst (for cryptocurrencies)? Probably not. Worst would be everything going to zero.”
He says his company has designs for several drivechains. “We have 6 sidechain-designs in development already, including two which are exact clones of Ethereum and zCash (but BTC-only),” he said.
“These allow for immediate global scale, impenetrable easy-to-use privacy, and complete freedom (for users and developers).”
Sztorc says he is also seeking to improve the user experience in Bitcoin with more focus around activities necessary for “self-sovereign” bitcoin ownership.
“We want REAL bitcoin users –– users who run nodes, and hold keys,” he added. “This requires a revolution in UX and education… which we aim to bring about. Nodes should be easy to run and do useful things that any layperson can understand and appreciate.”
Lastly, Sztorc says his firm will work on what he says are “high-risk, high-reward problems.”
These include prediction markets and a resurrected Namecoin, Sztorc revealed. “These services will revolutionize media and telecommunications, just as Bitcoin will revolutionize Banking.”
Drivechain allows for sidechains
Drivechain is a type of blockchain technology that allow for the creation of sidechains, which are separate blockchain networks that are connected to the main BTC blockchain (also known as the parent chain). Sidechains can be used to perform a variety of functions, such as testing new features or protocols, conducting transactions with different types of assets, or running smart contracts.
A functioning drivechain allows users to transfer assets between the main blockchain and sidechains in a secure and trustless manner. This is achieved through the use of special two-way peg systems, which allow users to lock up their assets on the main chain and then release them on the sidechain, or vice versa. Thanks to this, it’s possible to create “altcoins” that interact directly with the Bitcoin main chain. Bits of bitcoins “can become” altcoins. These versions of bitcoin can use different rules, like altcoins do. Still, miners need to agree.
Drivechains also have the potential to improve the scalability and efficiency of blockchain networks, as they can be used to offload certain types of transactions or processes from the main chain. This can help to reduce congestion on the main chain and improve its overall performance.
AI and Big Data Tokens Are Exploding with Fetch.ai (FET) Soaring More than 200%
AI and Big Data tokens have joined metaverse tokens and industry-related cryptocurrencies to spike substantially in price. Among the hundreds of AI and Big Data tokens in the market, Fetch.ai (FET), Ocean Protocol (OCEAN), and The Graph (GRT) have brought awesome gains to their holders in the first three weeks of January.
Fetch.ai (FET) has soared more than 200%
Fetch.ai was created in 2017 as an AI laboratory that builds open, decentralized, and permissionless machine learning networks within the crypto economy.
After shedding more than 80% of its value in 2022 due to an industry-wide bloodbath that wiped off more than $2 trillion from the crypto market, FET rebounded strongly in 2023.
After opening the year on Jan. 1 with a trading price of $0.09166, the coin reached a monthly low of $0.09041 on Jan. 2. On Jan. 13, Binance announced the launch of FET/USDT Perpetual Contracts across multiple margin assets. The largest cryptocurrency exchange by trading volume followed this up by opening trading for FET/TRY (Turkish Lira) on Jan. 26. On Jan. 17, another exchange Bitrue also listed FET/USDT on its futures platform. In the crypto space, staking, the adoption of a crypto asset by a mainstream institution as well as token listing by reputable exchanges (in this case Binance and Bitrue) are major drivers of price.
The listing of the coin led to it reaching a monthly and yearly high of $0.3045 on Jan. 23. After seeing a low daily volume of $5.5 million, increased demand for the coin on the more than 30 exchanges that supports it led to the new high daily volume of $170 million.
In the process, FETs market capitalization has risen by 232% from $75 million on its opening day to over $230 million.
Ocean Protocol (OCEAN) spiked over 130% due to the Hackathon progress
As a blockchain-based ecosystem that allows individuals and businesses to unlock the value of their data and monetize it via the use of Ethereum-based tokens, OCEAN has benefitted immensely from the cryptocurrency market rebound of 2023.
Ocean has built on top of several mainstream blockchains in the industry and the highlight was when it partnered with Moonbeam Network on Polkadot to allow stakeholders of the Polkadot ecosystem to buy, stake, and publish data.
OCEAN, like more than 90% of cryptocurrencies shed around 80% of its value in 2022 after opening and closing the year at $0.8586 and $0.1633 respectively. OCEAN opened 2023 with a price of $0.1633, reached a monthly low of $0.1592 on Jan. 2, and since that day, the token has benefitted from the Data Builders Hackathon the Ocean Foundation launched with Gitcoin which launched on Jan. 5 and it’s slated to end by the end of the month. Through this Hackathon, $40,000 in bounties will be shared among participants.
OCEAN tested a monthly high of $0.3834 on Jan. 24 after seeing its least daily volume rise from $6.6 million to the highest of $143 million.
Within 25 days, OCEAN’s price ascended by 134% which increased its market value from $100 million to more than $220 million.
The Graph (GRT) is increasing due to positive market sentiment
As an indexing protocol for querying data for networks like Ethereum, The Graph has helped power many applications in the decentralized finance (DeFi) space and the broader Web3 ecosystem.
Renewed interest in cryptocurrency coupled with the awarding of funds to hackers by The Graph Foundation to build bold new decentralized applications (dApps) with sub-graphs has contributed to GRTs price spike. GRT, which is the novel token of the Graph lost 91% of its value in 2022. The token has impressed so far in 2023 recouping more than 70% of investor losses after opening at $0.05538 and reaching a monthly high of $0.0963 on Jan. 24. The significant rise in daily volume from $9 million to $86 million has also led to a rapid rise in market capitalization from $493 million to over $800 million.
Other AI and Big Data coins and tokens that have spiked in value include, but are not limited to, Singularity NET (AGIX), Phala Network (PHA), Phoenix (PHB), and Covalent (CQT), Alliance Block (ALBT).
SHIB The Metaverse at Texas Film Festival: Here’s What You Can Expect
Shiba Inu (SHIB), the popular dog-themed meme coin that started as a joke, will showcase its developing immersive metaverse experience at the upcoming Southwest Film and TV festival (SXSW) in Texas in the U.S.
It comes as the creators of SHIB announced on Jan.15 the impending launch of Shibarium, a layer-2 (L2) solution built on the Ethereum blockchain. The new network will help to make transactions faster and cheaper – and even improve user experience for metaverse and gaming apps.
According to a recent blog post, Shiba token was invited to participate at the annual festival where visitors will get a first-time preview of the ecosystem’s WAGMI Temple, the first of 11 hubs in SHIB The Metaverse.
“Hubs are epicenters of activity within the [SHIB] metaverse, offering distinctive experiences rooted in each hubs’s theme,” said Sherri Cuono, metaverse advisor to Shiba Token. “Each offers special attractions that may only be experienced in that hub.”
SXSW is known for its conferences and festivals that celebrate the convergence of tech, film and television, music, education, and culture. The festival runs from March 10 -19, and will also feature exhibits covering experiences in augmented reality (AR) and virtual reality (VR).
What is SHIB The Metaverse?
Shiba Inu was created to make up for what rival Dogecoin (DOGE) lacked in functionality. Itself, Dogecoin started as a joke, just like Shiba Inu, but has since acquired meme status thanks to billionaire Elon Musk’s backing.
SHIB gained the limelight when it sent half of its initial supply of one quadrillion tokens to Vitalik Buterin. The Ethereum co-founder immediately sold about $1 billion worth of SHIB and donated the proceeds to India’s pandemic relief fund.
For immediate release: Shiba Inu & SHIB The Metaverse have been invited to exhibit at this year’s SXSW XR Experience. The VR/AR experience showcase is open to all badge holders at SXSW March 2023 in Austin, Texas @sxsw
Read more: https://t.co/51Oa3DwshY
— Shib (@Shibtoken) January 12, 2023
However, without utility, meme coins like Shiba Inu and DOGE “are examples of speculative hype-coins better classified as fun for gamblers on an unprecedented 24/7 global scale,” as Mike McGlone, Bloomberg senior commodity strategist, previously said.
SHIB has not grown at the scale that its pseudonymous creator Shytoshi Kusama hoped it would. The crypto token is now building on strong community support in addition to a series of improvements being made on the network to boost its token price and improve utility.
On Oct. 6 last year, Shiba Eternity game was launched, and now the launch of Shibarium is imminent. Shiba Inu already operates a decentralized exchange (DEX), allowing users to transact peer-to-peer. The DEX is to be upgraded to ShibaSwap 2.0.
There are plans to unveil a metaverse, which is still in development, part of which will now be showcased at SXSW. According to its creators, SHIB The Metaverse is “a virtual representation of Shiba Token’s collective history.”
It “is home to immersive experiences that will allow people to explore, learn from and interact with the Shiba Inu ecosystem.” At the Texas festival, visitors will experience WAGMI Temple, so named to reflect crypto’s rallying cry of “We’re All Going to Make It”.
“The common thread is digital-plus-IRL utility including activities, commerce, customization, expression, events, education and exploring,” said Sherri Cuono, the Shiba Token metaverse advisor. She added:
“Users will be able to earn passive income, collect in-game resources, generate rewards, and even have their own space to build and manage their projects in SHIB: The Metaverse.”
What’s it like in the SHIB WAGMI Temple?
WAGMI Temple “is a zen-like realm with calming sensations, meditation, natural beauty, and spiritual connections to the world. Echoes whisper through the region, with a rich history and discovery of SHIB’s birth and its decentralized roots,” the blog post claims.
The Shiba Inu team at SXSW is hoping to use the showpiece to help participants learn how to connect their digital wallets, purchase metaverse land, and explore the WAGMI Temple. It believes that SHIB’s presence “will make it easy for people to take part in the metaverse.”
The metaverse enables new online social interactions and group experiences, such as virtual reality and gaming, according to experts. It is providing new ways for people to connect and collaborate, as well as new types of digital services that go beyond physical limitations.
Shibarium launch imminent
The Shiba Token team announced on Jan. 15 the imminent launch in beta of the Shibarium layer 2 blockchain, which is expected to make SHIB transactions faster, cheaper, and more private.
Shibarium runs on top of the Ethereum (ETH) network, and will also serve as a transitional evolution to the Shiba Inu ecosystem, centering around metaverse, Web3 innovation, and gaming. The team wrote in a separate blog post that:
“This is primarily due to the commonality of scalability and performance limitations of current existing blockchain networks.”
Shibarium’s layer 2 blockchain tech can enable a new decentralized metaverse and gaming ecosystem, “where players can interact and transact in a trustless and decentralized way and where players can own, buy and sell the digital assets they acquire.”
🍖 Introduction to Shibarium: Shiba Inu's Layer 2 Network — Rejoice #ShibArmy! Shibarium Beta is about to be launched, and through this article we want to introduce some basic concepts in order to provide clarity to the community.
Read more: https://t.co/xWyPaVlQQ4
— Shib (@Shibtoken) January 15, 2023
Shiba Inu token price action
After a massive rally two years ago, Shiba Inu has crashed 88% since peaking at $0.000086 on Oct. 28, 2021, according to CoinGecko. While the token fell in line with the rest of the crypto markets, investors have also sobered up about their expectations of the asset.
Despite the decline, SHIB remains the 15th largest cryptocurrency, with a market value of $5.78 billion. That compares with DOGE’s $11 billion, making it the ninth largest crypto asset. Dogecoin is down 89% from its all-time high of $0.7315 reached on May 8, 2021.
As of writing, SHIB is down 1.8% at $0.00001052.
Metaverse Tokens See Price Spike with MANA Soaring More than 100%
Metaverse tokens have soared massively in the first two weeks of January with many cryptocurrencies seeing a price spike of more than 50%.
Many analysts have attributed this to positive market sentiment for cryptocurrencies, renewed demand for non-fungible tokens (NFTs), and the quest by many individuals and companies to be a part of this growing sector.
Decentraland (MANA), The Sandbox (SAND), Flow (FLOW), and Immutable X (IMX) are among the metaverse tokens that have brought more than 50% gains to investors.
Decentraland (MANA) has recouped some of 2022’s losses
Decentraland is among the most recognizable metaverse platforms in the decentralized finance (DeFi) space as it allows users to experience shared digital experiences.
MANA plunged by more than 90% in 2022 due to negative market sentiment that wiped off trillions of dollars from the crypto economy. Despite this, the token has recouped some of the losses by increasing by 145% from an opening price of $0.297 on Jan. 1 to reaching a yearly high of $0.7278 on Jan. 16.
Much of the gains came from the introduction of new features in a tweet from Decentraland on Jan. 12. The features comprise the highlighting of avatars, new user profiles, links in profile, new friend request flow, and differentiated nametags.
This led to an increase in trading volume which reached a daily high of $879 million on Jan. 15 which has helped push MANA’s market capitalization from $560 million to around $1.3 billion.
The Sandbox spikes by more than 90%
Among the tokens that plummeted by more than 90% in 2022, SAND has also made decent gains in January 2023. The token has ascended by 95% in the first two weeks of the first month of the year from $0.3831 on the opening day to a monthly and yearly high of $0.7487 on Jan. 15.
SAND has been going up this year due to updates lined up for The Sandbox’s Game Maker 0.8. According to the Sandbox, Game Maker 0.8 will bring new multiplayer gameplay features, new lighting and visual effect features, video and audio streaming, and equipment and wearable support in social hubs.
This has created an enormous excitement within the Web3 community and many stakeholders of Play-to-Earn (P2E) platforms believe this can help transform the way many people engage with the Sandbox metaverse. While the trading volume for Jan. 5 (the day of Game Maker 0.8)’s announcement was $124 million, daily trading volume has gone, and has so far reached a monthly high of $624 million on Jan. 14. As of Jan. 16, The Sandbox NFT sales for January was approximately $262,000.
FLOW recovers 70% of its value in 15 days
The Flow blockchain which is NFT-specific has been integral to the fortunes of the NBA and NFL. NFT sales from NBA Top Shots and NFL ALL DAY have totalled $2.74 million so far in 2023 with $1.2 million and $1.5 million respectively.
This has transcended positively on FLOW which has seen a price rise of 73% from an opening day value of $0.6535 to a monthly high of $1.15 on Jan. 15.
IMX is up more than 50%
IMX is the novel token of Immutable X, a platform that tags itself as powering the next generation of Web3 games. There has been a growing demand for Immutable X NFTs due to their 100% carbon-neutral feature. As of Jan. 16, more than 58 million NFTs have been minted on the platform and more than 10 million NFT trades have been made in the process.
This has made Immutable X one of the biggest blockchains by all-time sales volume. Immutable X NFT sales have surpassed more than $300 million from the activities of over 124,000 buyers involved in more than 12 million transactions.
The boom in the demand for NFTs being minted and renewed interest in NFTs have reflected positively on IMX’s price. The token has rose by 56% year-to-date (YTD) after opening at $0.3835 on Jan. 1 and reaching a monthly high of $0.5986 on Jan. 16.
AI Discovers ‘8 Signals of Interest’ in Search for Extraterrestrials
ChatGPT Pricing and Professional Features Revealed
Microsoft CEO Talked Up Metaverse at WEF as Firm Shut Down VR Metaverse Unit
Meta Reportedly Defeats FTC to Receive Court Approval to Acquire Within
New Metaverse Product M3 is Focused on Senior Citizens Healthcare
‘AI Will Affect White Collar Jobs too’
CNET Suspends AI After Publishing a Series of Bad Articles
AISat 4 Feb 2023 08:10 GMT
Microsoft Warns Employees Not to Share Sensitive Data with ChatGPT
BusinessFri 3 Feb 2023 20:30 GMT
China Catches Up On Quantum Computers, Makes 1st Delivery
FeaturedFri 3 Feb 2023 17:30 GMT
OpenAI Develops Tool to Spot AI-Written Texts
FeaturedFri 3 Feb 2023 14:45 GMT
Twitter-Like Privacy App Damus Banned in China 48hrs After Apple App Store Approval
BusinessFri 3 Feb 2023 10:55 GMT
Meta Reportedly Defeats FTC to Receive Court Approval to Acquire Within
AIFri 3 Feb 2023 08:32 GMT
Gmail Creator Says AI Will Replace Search Engines Like Google in 2 Years
AIThu 2 Feb 2023 16:20 GMT
OpenAI Launches ChatGPT Plus for $20 a Month
AIThu 2 Feb 2023 10:05 GMT
‘AI Will Affect White Collar Jobs too’