The cryptocurrency market has been going all out since the beginning of the year. Because of all the bullish breakthroughs, it is difficult to discern which projects are only driven by macro trends and which projects are profitable based on solid technological development and continuous improvement.
As the price of Bitcoin Fell more than $11,000 Between January 10 and January 11, many altcoins experienced double-digit losses, but some DeFi and 2-layer oriented coins bucked the trend and quickly recovered as the BTC price consolidated.
For example, the price of TomoChain (TOMO) doubled from $0.65 on January 2 to $1.29 on January 12. With such a strong performance during one of the biggest Bitcoin sell-offs in crypto history, TOMO should take a closer look to see what fundamentals support this strong move.
An important interoperability announcement boosted popularity
Over the past year, with the rise of the DeFi sector (most of which run on the Ethereum network), interoperability with top altcoins has become a necessary feature for any project that hopes to attract users and a large user base.
The demand for low-cost, scalable Etheruem alternative products seems to be one of the factors driving the price increase of TOMO.
On January 7, the team released updates to the TomoIssuer and TomoBridge platforms. The upgrade allows any user to issue packaged ERC-20 tokens and list them on TomoBridge as TRC-21 tokens.
As the cost of the Ethereum network soars again, developers and traders can choose to use TomoBridge to exchange ERC-20 tokens, which is more efficient than the Ethereum network.
Recently, TomoChain also launched Published by Zorro It includes an upgrade to its Ethereum Virtual Machine (EVM) and the current version of Solidity. With this upgrade, developers can “easily deploy code from other EVM chains to TomoChain with minimal customization”.
The Zorro version, TomoIssuer and TomoBridge have the potential to capture some liquidity and transactions from the Ethereum-based DeFi space, while also helping to alleviate the current congestion and high fees that plague the Ethereum network.
There are still some challenges
Like most crypto projects, attracting an active user base is a challenge facing TomoChain.
The team launched the first decentralized exchange, TomoDEX, supported by the TomoChain Masternode network and protected directly through it in May. 14, but it has been working hard to gain traction.
To date, TomoDEX trading is still inactive, with a trading volume of only $13,117 in the past 24 hours. Whether the Zorro release and TomoIssuer will provide greater incentives for ERC-20 token holders to start migrating to the TomoChain network remains to be seen.
Despite the low level of participation on the network, TOMO developers continue to move forward by upgrading the protocol and improving the code. Evidence of the legitimacy of the project can be found among the many partnerships that the platform continues to build.
The recent upgrade has made the packaging of ERC-20 and the upgrade of the Zorro mainnet have a positive impact on the public’s perception of the project. TheTie data shows that TOMO’s 30-day average sentiment score is now at the second highest level ever and is consistent with the recent price increase.
November 28, 2020, Ministry of Education and Training (MOET) Government of Vietnam Announce The partnership with TOMO, “aims to design, develop and utilize the National Qualification Archives System (NQA), which will obtain recognized diplomas and certificates on the TomoChain public blockchain.”
This is a major development for the platform, as it is one of the largest adoptions of public blockchains by major governments to date.
Even more encouraging is that the Vietnamese have recently identified blockchain technology as their top priority, and TomoChain has been established as one of their top choices. More and more investors may shift their attention to TOMO on.
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