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Cryptocurrencies function much like traditional currencies in that they can be transferred digitally and used to pay for goods and services around the globe. However, they also pose several benefits that fiat currencies lack, such as the fact that they operate using a decentralized network and not a bank or government agency (providing greater control to users) and can execute international payments in a fraction of the time and cost.

While many believe cryptocurrencies will eventually replace traditional currencies, there is plenty to be done before we get there. We are sooner more likely to experience cryptocurrencies working alongside traditional currencies than entirely replacing them, a movement that is generating momentum each day. 

Before we launch into what the industry needs in order to go mainstream, let's first observe how we reached this pinnacle moment in the history of finance. 

How crypto officially got on the map

Bitcoin was created to provide an independent financial system to people that were thrown into serious debt following the global financial crisis. The digital currency was created to provide individuals with the opportunity to control their funds independently from any financial institution.

Since the advent of Bitcoin in 2009, cryptocurrencies have experienced interest from many groups of people, largely outside of mainstream media. In 2017, following a wild bull run, Bitcoin was first thrust into the mainstream media spotlight as it fast became the main topic of conversation across various news channels around the world. 

Fast forward three years to the pandemic. Following global market crashes, Bitcoin displayed impressive resistance and built its wealth back more quickly than many other assets and stock markets. This caught the eye of many large corporations, dispelling scepticism and leading one in particular to move their USD reserves into Bitcoin. Following Microstrategy's decision to buy large amounts of BTC, many other large corporations followed suit, with companies like PayPal and Square even incorporating cryptocurrencies into their systems. 

This wave of institutional investment not only increased the value of the markets but also helped to build confidence for retail investors to invest in such "risky" assets. This also played a large role in major corporations embarking on serious research and development of both blockchain technology and cryptocurrencies. 

What crypto needs

Commonly used as an investment tool, cryptocurrencies were designed to facilitate faster and more economical transactions. Operating on a peer-to-peer basis, cryptocurrencies essentially cut out the middleman (and its fees) and make digital cash more readily available. 

As with most things in life, there are two significant camps for and against the mainstream use of cryptocurrencies. Those for the widespread adoption believe the spike in interest will continue on its upward trajectory, believing that very little could hinder its growth. Those against the growth argue that fluctuating market prices and uncertainty around the practical application will hinder its mainstream adoption. 

What cryptocurrencies likely need before any mainstream adoption is a well planned regulatory framework that can appease both the innovative technology and the merchants and consumers using it. Regulations are a necessary component to anything becoming mainstream, and the ones surrounding cryptocurrencies are vague at best. While many nations are working on creating and implementing these, there is still a gaping hole in the industry. 

Based on conversations taking place in the banking and fintech worlds, it is highly likely that in the coming years more traditional companies will expand to offer crypto-enabled financial services. As interest and access continue to grow, companies will need to follow suit if they wish to stay in the game. Large payment processing companies like Visa and Mastercard are already looking to provide crypto services, a key indicator as to where the market is headed.

What are the advantages of Bitcoin over existing currencies?

Bitcoin, and other cryptocurrencies, pose several advantages over fiat currencies. The biggest attribute to cryptocurrencies is that they are decentralized, meaning that they are not controlled by governments or banks, rather they are issued by the network and managed by the individual holding them. Instead of a government deciding to print more money thereby increasing inflation, cryptocurrencies are inflationary and instead created using a mining system that is controlled by various mechanisms.

Using blockchain technology, the digital cash systems provide an immutable and transparent ledger that records all the transactions and ownership, ensuring that funds are handled properly and with the correct measures. Cryptocurrencies also pose a much faster and cheaper means of sending money across borders, a huge advantage for businesses operating on a global level (i.e. sending funds from the U.S. to the United Kingdom).

The biggest advantage to crypto is that it is financially inclusive. Anyone around the world can partake in the payment system with no paperwork, previous financial statements or tedious processes required, it simply requires an internet connection.

What are the disadvantages of Bitcoin compared with existing currencies?

Currently, the disadvantages of cryptocurrencies are that they are not freely accepted around the world (yet). While the adoption levels are rising there is still a gap in how and where users can spend their cryptocurrencies. Another disadvantage is the market's volatility, posing potential inconsistencies between the price when making a payment and once the payment is received.

El Salvador leads the pack

In late 2021 El Salvador became the first country to initiate Bitcoin as a legal tender alongside the US dollar. The decision has accumulated many mixed reviews, with some hailing the president a revolutionary and others concerned he will crash the country's already fragile economy. Should his plan work out we're likely to see this happen again. 

In conclusion: Crypto is on an upward trajectory

With all things considered, cryptocurrencies and blockchain technology are here to stay. While cryptocurrencies might be a significant distance from becoming mainstream, they are far too integrated into our society and financial landscape to all but disappear. All things considered, the money is too great, the technology too innovative and the thought of financial inclusion too promising for any of it to go away. 

There is seldom a dull moment in the cryptosphere. In a matter of weeks, crypto winters can turn into bull runs, high-profile celebrities can send the price of a cryptocurrency to an all-time high and big networks can go from hero to bankruptcy. While we await the next bull run, let’s dissect some of the bigger moments of this year so far. 

In a matter of weeks, we saw two major cryptocurrencies drop significantly in value and later declare themselves bankrupt. Not only did these companies lose millions, but millions of investors lost immense amounts of money. 

As some media sources use these stories as an opportunity to spread FUD (fear, uncertainty and doubt) about the crypto industry, in this article we’ll look at what affected these particular networks. This is not the “norm” when it comes to investing in digital assets, these are cases of not doing enough thorough research. 

The Downfall of Terra

Terra is a blockchain platform that offered several cryptocurrencies (mostly stablecoins), most notably the stablecoin TerraUST (UST) and Terra (LUNA). LUNA tokens played an integral role in maintaining the price of the algorithmic stablecoins, incentivizing trading between LUNA and stablecoins should they need to increase or decrease a stablecoin's supply. 

In December 2021, following a token burn, LUNA entered the top 10 biggest cryptocurrencies by market cap trading at $75. LUNA’s success was tied to that of UST. In April, UST overtook Binance USD to become the third-largest stablecoin in the cryptocurrency market. The Anchor protocol of the Terra ecosystem, which offers returns as high as 20% APY, aided UST's rise.

In May of 2022, UST unpegged from its $1 position, sending LUNA into a tailspin losing 99.9% of its value in a matter of days. The coin’s market cap dipped from $41b to $6.6m. The demise of the platform led to $60 billion of investors’ money going down the drain. So, what went wrong?

After a large sell-off of UST in early May, the stablecoin began to depeg. This caused a further mass sell-off of the algorithmic cryptocurrency causing mass amounts of LUNA to be minted to maintain its price equilibrium. This sent LUNA's circulating supply sky-rocketing, in turn crashing the price of the once top ten coin. The circulating supply of LUNA went from around 345 million to 3.47 billion in a matter of days. 

As investors scrambled to try to liquidate their assets, the damage was already done. The Luna Foundation Guard (LFG) had been acquiring large quantities of Bitcoin as a safeguard against the UST stablecoin unpegging, however, this did not prove to help as the network's tokens had already entered what's known as a "death spiral".

The LFG and Do Kwon reported bought $3 billion worth of Bitcoin and stored it in reserves should they need to use them for an unpegging. When the time came they claimed to have sold around 80,000 BTC, causing havoc on the rest of the market. Following these actions, the Bitcoin price dipped below $30,000, and continued to do so.

After losing nearly 100% of its value, the Terra blockchain halted services and went into overdrive to try and rectify the situation. As large exchanges started delisting both coins one by one, Terra’s founder Do Kwon released a recovery plan. While this had an effect on the coin’s price, rising to $4.46, it soon ran its course sending LUNA’s price below $1 again. 

In a final attempt to rectify the situation, Do Kwon alongside co-founder Daniel Shin hard forked the Terra blockchain to create a new version, renaming the original blockchain Terra Classic. The platform then released a new coin, Luna 2.0, while the original LUNA coin was renamed LUNC. 

Reviewing the situation in hindsight, a Web3 investor and venture partner at Farmer Fund, Stuti Pandey said, “What the Luna ecosystem did was they had a very aggressive and optimistic monetary policy that pretty much worked when markets were going very well, but they had a very weak monetary policy for when we encounter bear markets.” 

Then Celsius Froze Over

In mid-June 2022, Celsius, a blockchain-based platform that specializes in crypto loans and borrowing, halted all withdrawals citing “extreme market conditions”. Following a month of turmoil, Celsius officially announced that it had filed for Chapter 11 bankruptcy in July. 

Just a year earlier, in June 2021, the platform’s native token CEL had reached its all-time high of $8.02 with a market cap of $1.9 billion. Following the platform’s upheaval, at the time of writing CEL was trading at $1.18 with a market cap of $281 million. 

According to court filings, when the platform filed for bankruptcy it was $1.2 billion in the red with $5.5 billion in liabilities, of which $4.7 billion is customer holdings. A far cry from its reign as one of the most successful DeFi (decentralized finance) platforms. What led to this demise?

Last year, the platform faced its first minor bump in the road when the US states of Texas, Alabama and New Jersey took legal action against the company for allegedly selling unregistered securities to users. 

Then, in April 2022, following pressure from regulators, Celsius also stopped providing interest-bearing accounts to non-accredited investors. While against the nature of DeFi, the company was left with little choice.  

Things then hit the fan in May of this year. The collapse of LUNA and UST caused significant damage to investor confidence across the entire cryptocurrency market. This is believed to have accelerated the start of a "crypto winter" and led to an industry-wide sell-off that produced a bank-run-style series of withdrawals by Celsius users. In bankruptcy documents, Celsius attributes its liquidity problems to the "domino effect" of LUNA's failure.

According to the company, Celsius had 1.7 million users and $11.7 billion worth of assets under management (AUM) and had made over $8 billion in loans alongside its very high APY (annual percentage yields) of 17%. 

These loans, however, came to a grinding halt when the platform froze all its clients' assets and announced a company-wide freeze on withdrawals in early June. 

Celsius released a statement stating: “Due to extreme market conditions, today we are announcing that Celsius is pausing all withdrawals, Swap, and transfers between accounts. We are taking this necessary action for the benefit of our entire community to stabilize liquidity and operations while we take steps to preserve and protect assets.”

Two weeks later the platform hired restructuring expert Alvarez & Marsal to assist with alleviating the damage caused by June’s uncertainty and the mounting liquidity issues. 

As of mid-July, after paying off several loans, Celsius filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the Southern District of New York.

Final Thoughts

The biggest takeaway from these examples above it to always do your own research when it comes to investing in cryptocurrency or cryptocurrency platforms. Never chase “get-rich-quick” schemes, instead do your due diligence and read the fine print. If a platform is offering 20% APY, be sure to get to the bottom of how they intend to provide this. If there’s no transparency, there should be no investment. 

The cryptocurrency market has been faced with copious amounts of stressors in recent months, from the demise of these networks mentioned above (alongside others like Voyager and Three Anchor Capital) to a market-wide liquidity crunch, to the recent inflation rate increases around the globe. Not to mention the fearful anticipation of regulatory changes. 

If there’s one thing we know about cryptocurrencies it’s that the market as a whole is incredibly resilient. In recent weeks, prices of top cryptocurrencies like Bitcoin and Ethereum have slowly started to increase, causing speculation that we might finally be making our way out of the crypto winter. While this won’t be an overnight endeavour, the sentiment in the market remains hopeful. 

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Cryptocurrency forks play a significant role in the development and evolution of blockchain technology. Crypto forks occur when a blockchain network undergoes a split, resulting in the creation of two or more distinct chains, each with its own sets of rules and often its own cryptocurrencies. This division can happen through different types of cryptocurrency forks, namely hard and soft forks.

Understanding blockchain forks is an essential element for those interested in understanding and/or trading cryptocurrencies. They represent pivotal moments in the blockchain's journey, where decisions are made, new features are introduced, and disagreements are resolved. By comprehending the concept of cryptocurrency forks, investors, users, and developers can navigate the landscape of digital currencies more effectively.

Crypto forks not only provide opportunities for innovation and technological advancements but also hold implications for the broader community. They can spark debates, divide communities, and even impact the market dynamics of cryptocurrencies. 

What is a soft fork?

A soft fork is a type of cryptocurrency fork that generally introduces backward-compatible changes to the blockchain protocol. Unlike hard forks, soft forks do not require all participants to upgrade their software to continue using the network. This means that users can choose whether or not to adopt the new features or rules implemented by the soft crypto fork.

For example, a soft fork that increases transaction speed doesn’t require everyone to upgrade their software. If you don’t upgrade your software, however, you will not be able to take part in any future transactions using the new feature (ie: faster transaction speeds). 

These types of forks are a great way for new changes to be implemented without creating an entirely new cryptocurrency. Below we review two notable soft forks.

The SegWit fork

In 2017, the Bitcoin blockchain underwent a soft cryptocurrency fork known as the Segregated Witness (SegWit) Bitcoin protocol update. It aimed to address the scalability issue of the Bitcoin network by separating transactional data from signature data, allowing for more transactions to be included in each block

Before the SegWit upgrade, Bitcoin's protocol was both more expensive and slower, with transactions costing about $30 each and taking around an hour to complete. The inventors of the SegWit change recognized that signature data accounts for 65% of a transactional block. As a result, SegWit proposed moving the effective block size from 1MB to 4MB.

The motivation for this increase was to separate or delete the signer data from the transactional data on every blockchain block, allowing for greater transaction throughput per block.

With the new fork, the old Bitcoin blockchain was able to accept both new 4MB and 1MB blocks at the same time. The soft fork enabled the existing nodes to validate the new blocks via a clever engineering approach that formatted new rules without breaking existing ones.

The Byzantium and Constantinople soft forks

These were two consecutive soft forks on the Ethereum blockchain, implemented in 2017 and 2019, respectively. These forks introduced new features to the blockchain's protocol, such as improved security and privacy, as well as changes to the Ethereum Virtual Machine (EVM).

Soft forks have a relatively lower impact on the blockchain and crypto community compared to hard forks. Since they are backward-compatible, users who don't upgrade their software can still participate in the network, although they may not be able to take advantage of the new rules and features introduced by the soft fork. 

Soft forks generally aim to improve the efficiency, security, or functionality of the blockchain without causing a complete split in the network.

What is a hard fork?

Hard forks are more disruptive and result in the creation of two separate blockchains, each with its own set of rules and cryptocurrencies. A hard fork occurs when there’s a fundamental change to the blockchain, such as upgrading one of its core technical components (ie: blocksize). 

This requires everyone who uses that blockchain to upgrade their software or else they will no longer be able to participate on the network. Users can also opt to be a part of both networks that result from the blockchain split. For example, Bitcoin Gold is a hard fork of Bitcoin that aims to decentralize the mining process offering two very different use cases.

Hard forks are a common occurrence in the cryptocurrency industry, with many big cryptocurrencies being the product of a successful hard fork. Below we explore two notable hard forks. 

The Bitcoin Cash fork

The Bitcoin Cash fork is a prime example of a hard fork. In 2017, following a disagreement within the Bitcoin community about the future of the original cryptocurrency, a group of developers and miners got together to form a new and improved version of the cryptocurrency's network known as Bitcoin Cash. The Bitcoin Cash hard fork was implemented with the upgraded blockchain utilizing a new version of the underlying code, and a new cryptocurrency labeled BCH.

The most significant change to the Bitcoin Cash network was the block size increase to 8MB, allowing for faster transaction speeds, more transactions to get verified at once, and lower transaction fees. The new version of the network also increased the difficulty to ensure the security of the network would not be compromised. In March 2022, the block size limit was increased to 32MB.

There have been many Bitcoin forks over the years, with Bitcoin Cash and Litecoin being the two most well-known.

The Ethereum Classic fork

Ethereum Classic originated from a hard fork of the Ethereum blockchain in 2016. The fork occurred due to a disagreement over how to handle a security breach in the DAO (Decentralized Autonomous Organization). Ethereum Classic maintained the original blockchain, while Ethereum (ETH) continued on the new forked chain.

A hard fork can have significant implications for the blockchain and its community. They often result from divided opinions or visions within the community, leading to the creation of new cryptocurrencies. A hard fork can bring about new features, address scalability concerns, or resolve contentious issues, but it can also cause community divisions and introduce volatility into the market.

Market effects and price volatility

Crypto forks can have a significant impact on the cryptocurrency market, often leading to price volatility and market reactions. The effects are driven by a combination of factors, including investor sentiment, community support, and the perceived value of the newly forked cryptocurrencies.

1. Forks can impact cryptocurrency prices by creating uncertainty and divergent market expectations. Prior to a fork, investors may exhibit cautious behavior, leading to increased selling pressure as they seek to secure their holdings or reallocate their assets. This uncertainty stems from concerns about the viability and market reception of the forked cryptocurrencies.
2. Market reactions to major forks have been observed in various instances. For example, during the Bitcoin Cash crypto fork in 2017, the anticipation and subsequent launch of the new cryptocurrency caused a surge in trading volumes and price volatility. Similarly, when Bitcoin Cash itself underwent a contentious hard fork in 2018, resulting in the creation of Bitcoin SV, the market witnessed significant price fluctuations and increased trading activity.

These reactions reflect the market's response to the perceived value and potential utility of the forked cryptocurrencies. Investors and traders assess factors such as community support, technological enhancements, and the ability to solve existing challenges. Depending on the market's reception, prices can experience both short-term spikes and long-term shifts as market participants adjust their positions and reassess their expectations.

It's important to note that the impact of crypto forks on prices and market dynamics can vary. While some forks generate significant market buzz and trading activity, others may have a more muted effect. Factors such as the size and influence of the community, the level of support from industry players, and broader market conditions all contribute to the overall impact of a fork on cryptocurrency prices.

Navigating the market effects of crypto forks requires vigilance and a deep understanding of the underlying factors at play. Investors and traders should carefully assess the potential risks and rewards associated with forked cryptocurrencies, keeping in mind the volatility and market reactions that can accompany these transformative events.

What to do when a fork is announced

When a cryptocurrency announces an upcoming fork, a rule of thumb in the crypto space is to wait for the dust to settle before making any big decisions. Keep in mind that sometimes forks can be contentious and not everyone will agree on the path forward, meaning that there may be a lot of confusion and volatility in the coming days as people react.

 In conclusion

A hard fork is when a blockchain network is split into two resulting in two unique blockchains with their own cryptocurrencies. A soft fork is when a blockchain simply upgrades or incorporates new features and allows users to decide whether they would like to continue using the old version or upgrade their software protocol to make use of the new features.

Either way, cryptocurrency forks are a common occurrence in the blockchain space and have been the start of many different networks. The most iconic hard forks include the likes of Litecoin, a hard fork from the Bitcoin network, Ethereum Classic, a hard fork from the Ethereum network, and Bitcoin Cash, a hard fork of the Bitcoin network.

Both soft and hard forks allow innovation within the blockchain space to evolve, making space for new features, more efficient means of executing an action, and other chain improvements. A hard fork in particular can shed light on new innovations without creating a blockchain network from scratch.

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As you become acquainted with the cryptocurrency industry there will be several new phrases added to your vocabulary. One of them is Hodl. While not a term used in the traditional finance industry, we'll cover the reason why hodl has become a treasured part of the cryptosphere. In this article, we explore the history of the infamous term, what it means, and why every crypto trader should be learning about the concept. 

What does hodl mean?

Hodl refers to holding a particular digital currency for a long period of time in order to make money from the price gains. In recent times, many in the crypto community have built the acronym into Hold On for Dear Life, however, this is not part of the origin story. 

Hodl has become synonymous with not selling a cryptocurrency during a bear market or period of heightened volatility. The term has become widely adopted by the crypto community and can be seen used in content across all platforms and calibres. 

Where does hodl come from?

Hodl was first conceptualised in a BitcoinTalk forum in 2013 when a user by the name of GameKyuubi misspelt the word “hold”. The inebriated user posted the following message: 

“I type d that tyitle twice because I knew it was wrong the first time. Still wrong. w/e," GameKyuubi wrote about the now-famous misspelling of "holding." "WHY AM I HODLING? I'LL TELL YOU WHY," he continued. "It's because I'm a bad trader and I KNOW I'M A BAD TRADER. Yeah you good traders can spot the highs and the lows pit pat piffy wing wong wang just like that and make a millino bucks sure no problem bro.”

In 2013, the price of Bitcoin went through a volatile period, soaring from $130 in April to $950 in December. The user encouraged fellow Bitcoin investors not to sell and rather “hodl”. 

Within an hour of the post, the new term had become a widespread meme and continues to be used a decade later. 

Hodl as a trading strategy

In cryptocurrency investing, price volatility is a constant concern. However, the concept of "hodling" offers a strategic approach to weathering these fluctuations. Hodling refers to holding onto your investments for an extended period, regardless of short-term price movements. Despite market ups and downs, hodling can provide stability and potentially lead to long-term gains. This strategy allows investors to navigate price volatility with patience and confidence in future growth.

The concept has been widely adopted by a large portion of the Bitcoin and greater cryptocurrency community as a strategy to earn gains. For Bitcoin maximalists, it’s a way of life. Many maximalists have taken on the hodl strategy to avoid any profit-eroding moves, including reactions to FUD (Fear, Uncertainty, and Doubt) and FOMO (Fear of Missing Out), more on this later.

When is the best time to hodl?

Much in the same way as the Chinese proverb, “The best time to plant a tree was 20 years ago. The second best time is now,” the best time to hodl is now. As an investment strategy, buying and holding an asset in any market is always believed to be lucrative as its value grows over time. 

Hodling is an ideological belief in the long-term prospects of blockchain technology, cryptocurrencies, and the communities that have formed around them. Some stock market traders have even adopted this mindset, although the term "hodl" remains predominantly used when referring to crypto.

Other important crypto terms to know

As you continue to build your crypto vocabulary, here are several other terms you are likely to come across. These include:

BTFD (buy the f***ing dip)

A slang term commonly used on Twitter, BTFD encourages traders to buy when the prices are low (when coins are in a dip) with the intention to make profits when the prices return to normal levels. 

FUD (fear, uncertainty, doubt)

As mentioned above, FUD refers to misinformation spread by individuals and organisations that typically encourages traders to sell. 

FOMO (fear of missing out)

Content creators or the mainstream media might use FOMO as a way to entice people to buy a coin. They play on the emotion that traders might miss out on big profits or the next big thing. 

Lambo

Short for Lamborghini, lambo refers to asset prices becoming so high that the user can sell them and buy the luxury vehicle. “When Lambo?” is a common phrase which asks when the price is going to reach such levels. 

To The Moon

Used to describe prices reaching extraordinary levels, as if they’re going so high they’re going to the moon. 

Whale

A crypto whale is an individual or organisation that holds a large amount of a particular cryptocurrency. This is generally considered to be around 10% of that cryptocurrency's total supply.

Closing thoughts

Hodling refers to a buy-and-hold strategy created from a typo in a BitcoinTalk forum in 2013. The concept remains relevant a decade later with many traders and maximalists opting to use this approach. The goal of hodling is to experience the benefits of substantial price gains and mitigate volatile markets. 

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In March 2022, Onyx Protocol (formerly Chain) rebranded its token from CHN to XCN and saw widespread success. The shared, multi-asset, cryptographic ledger has seen considerable market attention and increased in value by almost 50% in the first few months post-launch. 

Then, after implementing upgrades that included the likes of Chain Decentralised Autonomous Organisation (DAO), the beta release of the Onyx Cloud product, XCN staking, as well as listing on several crypto exchanges, Onyxcoin (XCN) reached its a new all-time high price. An honorable feat for the Onyx ecosystem considering that the greater crypto market was in a decline. 

What Is Onyx protocol?

Onyx is a cloud blockchain infrastructure that allows companies to create and provide improved financial service solutions through their unique closed-ended blockchain network. This gives them the opportunity to upgrade to blockchain technology without carrying the risks linked to bigger public networks. The platform then allows them to issue, store and transfer digital assets on the company's private independent networks through several Chain ecosystem products.

According to the platform's whitepaper, the Chain protocol defines that it "allows participants to issue and control assets programmatically using digital signatures and custom rules."

Designed to improve on the current downfalls within the financial settlements industry, the Onyx protocol offers improved solutions for everything from transfer fees to transparency to settlement delays, as well as security issues and the reversibility of transactions.

Other Onyx ecosystem products include a standard and premium option of both an RPC/API (Remote Procedure Call API) product and a ledger-as-a-service option known as Sequence. 

The standard RCP/API provides users access to various services within the Onyx Cloud that allows them to develop products on public blockchains.  The premium access options provide added solutions and the opportunity to build on private networks. This option charges an annual fixed amount charged in XCN. 

Sequence provides users access to Onyx's cloud blockchain accounting service where they can manage balances in a tokenized format. Again, there is a standard option or a premium access option with added benefits, payable in XCN. 

The protocol also offers users end-to-end solutions covering the “design, development, compliance, sale and utilization” of NFTs through its Sequence NFT product. 

The Onyx Decentralized Autonomous Organization (DAO) runs the whole Chain Protocol, which is governed by XCN token holders. To participate in the Onyx DAO and governance of the Chain, XCN holders must stake their tokens.

Who created Onyx protocol?

The Onyx blockchain network was founded in 2014 by the venture capitalist Adam Ludwin with the backing of several other venture capital firms, providing a solution to modern financial systems. The developers launched Chain Core after raising over $40 million through funding and strategic partnerships from the likes of Nasdaq, Orange, Capital One, and Citigroup.

In 2018 the platform was sold to Lightyear Corp., a division within the Stellar Development Foundation, but as of 2021, the company is now operating as a privately held corporation with new offices, shareholders, and a new board of directors. 

How does the Onyx protocol work?

Onyx allows for multiple, independent blockchain networks to exist and work together, even if they're operated by different firms. Using the principle of least authority keeps control over assets separate from control over ledger synchronization so that everyone stays safe.

The Onyx cloud protocol allows any network participant to define and issue assets by creating their own "issuance programs." After they've been issued, units of an asset are kept in custody by "control programs," which are written in a flexible and Turing-complete programming language that may be used to create sophisticated smart contracts for blockchain networks.

A group of "block signers" secure each network. The system is protected against forks as long as a majority of the block signers follow the protocol. To make things more efficient, the protocol delegates block creation to a single "block generator." Any node on the network can validate blocks and submit transactions too.

The Onyx Core software is an enterprise solution that uses the Onyx Protocol. An open-source developer edition of Onyx Core is available for download, and Chain operates a freely accessible testnet to manage the Chain blockchain network.

What are XCN tokens?

XCN is the native token to the Onyx ecosystem and acts as both a utility token and a governance token. Holders are allowed to vote on community programs and protocol improvement plans through the Onyx DAO. The cryptocurrency also provides discounts on premium plans, a payment method for Onyx Cloud and Sequence fees, and node deployment. 

Alongside the rebranding of CHN to XCN, Chain also launched its new Onyx Token smart contract on the Ethereum blockchain. Holders of CHN were given XCN tokens at a 1:1,000 ratio. Onyxcoin (XCN) has a maximum supply of 48.4 billion. 

The Onyxcoin (XCN) has a total and maximum supply of 48,470,523,779 coins, with approximately 23,576,983,951 (44%) currently in circulation (at the time of writing). During the launch phase, 15 billion tokens were allocated to the foundation and ten billion to the DAO, with monthly distributions of 200 million and 100 million coins, respectively.

How can I buy the XCN token?

For those looking to incorporate Chain into their crypto portfolios, things just got a lot easier. The Tap app has recently added XCN to the list of supported currencies, allowing anyone with a Tap account to easily and conveniently access the Chain market. 

Users can buy /sell XCN by using balances in either their crypto or fiat wallets or can buy the cryptocurrency with traditional payment options like bank transfers. Through the integrated wallets on the platform, users can also store and manage their XCN holdings easily and conveniently. 

The post-pandemic working world is a different place entirely. These days, many people have given up their nine to five jobs to work from home, joining the gig economy where projects are more short-term and schedules are flexible. After all, all one needs is a reliable internet connection and a space to work.

These temporary projects allow for more freedom when it comes to creative license, time constraints and living a life best suited to the individual. And they just got a whole lot easier thanks to the electronic cash system that is Bitcoin (and other crypto assets).

The Gig Economy Meets Blockchain

There are plenty of upsides to working in the gig economy, most notably that you can pick your own hours. As you are in control of your schedule you can choose your vacation times, you’re your own boss, and you get to choose what jobs you take on.

In the UK alone the gig economy between 2016 and 2019 doubled in size, equating to a staggering 4.7 million workers. Meanwhile, in the European Union, the number of freelancers rose by 24% between 2008 and 2015, from 7.7 million to 9.6 million people.

The U.S. Bureau of Labor Statistics reported that 36% of all employees in the United States are part of the gig economy, approximately 57 million people. Unfortunately of these 57 million, 58% reported that they have not been paid for work that has been completed. 

This problem could be solved through the use of blockchain and smart contracts. Smart contracts are digital agreements that automatically execute once the criteria have been met. Say you agree to complete a project within a certain time frame, once the project is completed and submitted, the payment is released. No need to request or accept payment, the funds are cleared and deposited directly into the relevant account.

Another positive to merging the gig economy with blockchain technology is the use of cryptocurrencies. 

4 Reasons Why Getting Paid In Crypto Just Makes Sense

While smart contracts would need to be made in order for them to smoothen out the wrinkles of unpaid jobs, cryptocurrencies are available right now. The benefits of crypto transactions when it comes to working remotely just make sense.‍

1) Cryptocurrency transactions are fast and cheap
‍While the thought of using Bitcoin payments might sound scary, they are in fact incredibly simple to send, receive and withdraw. With the use of blockchain technology and the Bitcoin network, international transactions can be completed in minutes with considerably fewer fees. Not just Bitcoin, all digital currencies for that matter.

All you need to do is pick a cryptocurrency, share your wallet address and wait for the crypto transaction to clear. Through the Tap mobile app you can then use the funds to pay bills or sell them for fiat currencies and send them to your personal Tap account to spend as you please or directly to your bank account. 

2Anyone can make crypto payments
‍While opening a bank account is typically a very tedious task, opening a crypto account is very easy. Anyone anywhere in the world can easily create an account, add funds, and start transacting. As the network is entirely digital, employees and employers based anywhere in the world can tap into this and effortlessly make crypto payments.

3) You can work from anywhere
‍On that note, cryptocurrencies give you the freedom to work anywhere in the world as there are no constraints on receiving payments allowing you to sell your skills in the global market. There has also been an increase in jobs looking for freelancers that are willing to accept Bitcoin, goodbye central banks and hello digital assets‍

4)Low transaction fees make small jobs worth it 
‍If you've ever been hesitant about accepting small jobs, this is the one for you. When small jobs pay less, the payments might frequently be entirely overwhelmed by the transaction fees associated with receiving your payment for the job.

That is not the case when it comes to some cryptocurrencies, with Litecoin for example charging merely $0.02 per transaction. 

How To Get Paid In Cryptocurrencies

If you’ve decided to take the plunge, you can either request that your employer pays in crypto, or specifically look for crypto-paying jobs (more on this below). The next step is to set up an account from where you can receive said crypto.

The Tap mobile app will tick all the boxes, and opening an account is incredibly simple. First, you will need to download the app and then register. You’ll be asked to fill in some personal information and then verify your identity with a government-issued identity document. This is all very normal and is required by law. 

Once you are verified, head to the home page, select the Crypto wallet and choose a cryptocurrency you would like to receive / the cryptocurrency you will be paid in. Then select Receive and send the wallet address to your employer/contractor. You will get a notification when the funds arrive in your account. 

If you’re looking for jobs that specifically pay in crypto, look to Purse.io, Ethlance and Coinality. These are part of the gig economy and pay in cryptocurrencies. Good luck out there, it will 100% be worth it!

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