Kategorie: Crypto News

• New meme sensation Shiba Memu has raised $1.697 million

• Shiba Memu gears to be a sustainable meme cryptocurrency

• The token has a huge potential of up to 50x

There is a lot of enthusiasm around the launch of a new meme cryptocurrency, Shiba Memu. The lovely puppy of a cryptocurrency has caught the eye of investors looking for a meme out of the ordinary. Unlike its siblings like Shiba Inu, Shiba Memu is an AI-led meme cryptocurrency. As such, it has greater capabilities, making it a worthy rival with huge potential. That partly explains the fast-selling presale, which has raised $1.697 million in a few weeks.

Leveraging the power of AI through Shiba Memu

Shiba Memu is unique to other meme cryptocurrencies in that it incorporates AI. AI enables Shiba Memu to maintain momentum and be a sustainable project. That’s due to the fact that Shiba Memu doesn’t rely on human-led PR to increase popularity. It can sniff out the best creative ideas in advertising, generate hype and drive growth. 

Shiba Memu also grows and becomes better each day. As an autonomous marketing machine, Shiba Memu can learn from its successful marketing interventions. It can also improve its own strategies and apply marketing strategies that align with new trends. 

But Shiba Memu can also forecast trends and tailor its marketing. It does it through its predictive analytics capabilities, which make the puppy move with time. As you may be aware, the meme landscape generates a lot of online chatter and sentiment. Shiba Memu can use its sentimental analysis to distinguish between important and unimportant messages. This way, it can craft objective responses to keep its community informed.

Finally, Shiba Memu can build positive interactions with users. It does so through an AI dashboard. Users can ask questions, provide feedback, and get informed on the latest in creative advertising. The engagement could drive hype for the project and allow Shiba Memu to remain sustainable. 

The unique Shiba Memu presale

Forget those endless weeks or months of presale. Shiba Memu’s presale occurs in eight weeks. After this, the presale will close with whatever amount is raised and tokens released to the holders. 

However, the best part is that the price of SHMU increases daily at 6 PM. By the end of the presale, the price will be $0.0244, up from the initial $0.011125. With this price dynamic, Shiba Memu generates value for investors daily.

What is the price potential of Shiba Memu?

Given the early subscription for the project, it is interesting to think about the potential of Shiba Memu. As a snapshot, meme cryptocurrencies rose from a valuation of $0 in early 2020 to $20 billion in early 2022. Investors see them as vehicles for quick gains, a task they have delivered.

Shiba Memu enters the meme space, riding on the momentum that started in 2020. In the past, meme cryptocurrencies have risen by up to 1000% in a few days after going live. Shiba Memu stares at a similar potential once it launches on exchanges. 

But Shiba Memu could go the extra mile. AI is fast growing and is hype in itself. Shiba Memu could ride on the meme and AI hype to become an overnight sensation. 

There is also the question of the future potential of which other meme cryptocurrencies have fallen short. With the capability of AI, Shiba Memu could tap into more use cases to sustain growth. This means the potential for Shiba Memu to become a 50x investment is nearly an expectation.

Should you invest in Shiba Memu now?

A lost opportunity to invest in a good project could haunt. As we saw with the meme tokens of the past, procrastination always brings lamentation. These tokens have returned big to its early movers.

Any ideal investment like Shiba Memu is best taken when the project is launching. This is when the price is low and demand is locked. Thus, investing in the meme token could be right now than when the token has been listed.

The post Huge anticipation as Shiba Memu clocks nearly $1.7M in presale appeared first on CoinJournal.

Key Takeaways

• Ethereum completed its long-awaited Merge upgrade in September 2022
• Stakers are currently earning approximately 4% APY from their Ether tokens
• 19% of the total Ether supply is staked, the lowest ratio of any of the leading coins
• Staking rewards are divided among stakers, meaning the APY earned decreases as more users stake
• Demand on the network increases gas fees and ultimately contributes to more APY, meaning there are several factors at play when trying to assess where the yield may land
• All in all, it remains up for debate as to where the yield is headed, despite many analysts predicting basement-level yields of 1%-2% are inevitable

 

The fundamentals of Ethereum were entirely transformed in September 2022 when the Merge went live, the blockchain officially becoming a proof-of-stake consensus. The implications for this are many, however one of the more fascinating aspects is that investors can now earn a yield from staking their Ether tokens.

Let’s dive into how popular staking has been, where it’s trending going forward, and speculate about where the all-important APY may land.

Ethereum stakers are increasing

Ethereum staking has proved wildly popular. There is currently almost 18.75% of the total supply staked. The below chart from CryptoQuant shows that not only has the increase been consistent, but the rate of increase has steepened noticeably since the Shapella upgrade in April.

Shapella finally allowed staked Ether to be withdrawn, with some early stakers having had tokens locked up since Q4 of 2020. There was hence some concern that Ether would be withdrawn en masse once the Shapella upgrade went live, the subsequent sell pressure bound to dent the price. Not only has this happened, but staking has only become more popular since the upgrade.

Despite the popularity of Ethereum staking, and the lack of withdrawals sparked by Shapella, the network’s staked tokens as a percent of the total supply still pale in comparison to other proof-of-stake blockchains.

The chart below highlights Ethereum in yellow, its 19% ratio far below the other major proof-of-stake coins. Assessing the rest of the top 10 by staked market cap, these coins average a 53% stake ratio, with only BNB Chain remotely close to Ethereum, sitting at 15%.

If we then shift the chart to assess the total market cap of the staked portion of coins, Ethereum’s dominance is clear. Its 19% staked tokens carry a value of $43 billion – more than the other nine cryptos’ staked market caps combined.

Ethereum’s low staked ratio implies that it should have more, at least if other coins can be used as a benchmark. This is especially true when considering recent bullish developments on the Ethereum network which suggest it may be solidifying its place as the market-leading smart contract platform. Most notable of these could be discussion around potential Ether futures ETFs, as well as the announcement that PayPal is launching a stablecoin on the network this week.

So, what happens to the staking yield if the amount of staked Ether does indeed continue to increase? Remember, the total annual yield paid out to stakers is calculated as follows:

[(gross annual ETH issuance + annual fees*(1-% of fees burned)]

These total staking rewards are then divided by the average ETH staked over the year to commute the APY.

In other words: The amount of ether staked is in the denominator of the fraction. So as the amount staked gets bigger, the APY shrinks. This effect can already be seen in what has happened to date. Analysts had predicted a yield of 10%-12% ahead of the Merge, however today it is closer to 4%.  And that is 4% with its staking ratio completely out of whack compared to other proof-of-stake coins, as mentioned above.

What happens next?

With the amount of Ether staked increasing incessantly, is the yield therefore primed to collapse?

Some analysts believe it is headed towards 1%-2%; some even think less. The reality is that nobody really knows because, as always, demand relies on a variety of factors.

We need to remember, as we often say in these columns, that speculating on the future of crypto is so difficult because we have such little data to work with. This is true for Ethereum as a whole, which only launched in 2015, but especially so regarding the yield, as the Merge has only been live since September (or since April if you count the “true” completion date as post-Shapella).

Hence, it is a challenge to forecast the staking yield going forward. We have focused on the impressive growth of staking thus far, and while this will drive the yield down, demand on the network will increase the numerator of the aforementioned formula and kick the yield up.

Indeed, looking at total transactions, the rate has been quite resilient throughout the last eighteen months, despite the bloodbath in the sector last year.

Then again, crypto is changing quickly. It remains difficult to foresee how regulation, infrastructural development (restaking and Eigeanlayer spring to mind as an example) and the macro landscape, just to name a few factors, will affect the climate going forward.

Speaking of macro, there is also the matter of trad-fi yields. Currently, the Fed funds rate is 5.25%-5.5%, having been near-zero prior to March 2022. Backing out probabilities from Fed futures implies the market is expecting the end of the cycle is near. Not to mention, with the mammoth amount of debt in the current system, rates cannot stay high forever.

Could falling trad-fi yields affect demand for staking yield? Perhaps – while it is hard to separate the overall liquidity drain and suppressing of risk assets that occurs out of hiked rates, the superior (and risk-free) return is definitely a key reason why capital has flooded out of DeFi in the last year. While previously-dizzying DeFi yields have collapsed, trad-fi yields have rocketed as the Federal Reserve has scrambled to rein in rampant inflation.

Furthermore, if yield does fall down towards 1%-2%, stakers could begin to pull out and search elsewhere for income. This would therefore create a reflexive relationship with regard to the yield.

All in all, it remains too early to speculate about where the Ethereum staking yield is ultimately headed, at least with any degree of confidence; it depends on too many factors and the sample space is too brief to date. It does seem likely, if not inevitable, that the yield will decline to some degree, but the question of how much is a difficult one to answer. While many are adamant the APY will cascade downwards to uber-thin levels – and for the avoidance of doubt, it may do – we have presented here at least some points of consideration as to why the situation may not be as clear cut.

The post What will happen to Ethereum’s staking yield? appeared first on CoinJournal.