Who buys this amount of PRV? Is there any use case of PRV?
Not sure myself… Lol
There are a lot of coins pumping without even having a real project. If you’re thinking prv is overpriced, just look at yearn.finance or other pumped theoretical projects.
Incognito is a running project, we’re all using already in real life and is giving us utility already. Tell me which other project is developed as far as Incognito is please! Spreading fud is not constructive here!
Bringing a privacy layer to the whole blockchain industry is huge. Even right now we can trade on the biggest defi exchange uniswap privately thanks to incognito. Send major coins privately and with super low fees and so on. And this is just the beginning use your imagination. In the near future almost everything will be tokenized on the blockchain like your house, your car etc. If necessary you can quickly take a small credit and put your house or car as collateral/deposit all this will happen trustless on defi platforms but without incognito there would be no privacy for these sensitive stuff. Do you want people to know how many houses, cars you own or if you had to borrow money? I guess you won’t at least most people do not like this idea, because of this all these smart contracts could operate on incognito in order to keep these things confidential. Especially rich people have no interest that everyone knows how much btc, eth or sport cars etc. they own because this makes them and their family to targets for certain people, so they will look for a privacy solution as well. I could continue with arguments for hours, use your imagination
Good points @sato and as you said many more use cases, we can’t even imagine
Hello @Hau, welcome to the Community the Incognito Team is not mainly focused on the price as many other projects do without even having a working platform.
Incognito is focusing on the project and it’s long term utility and that’s what Incognito makes so great
I’m sure that long term the project will succeed and we will all be rewarded for having joined the project in these early stages, but at the moment we’re still waiting for the listings and the team is improving the platform steadily to be prepared for the big success.
I’m convinced that the value of the project is huge, it’s a multi billion dollar industry and we’re bringing privacy to it. So the price will follow the value of the project for sure sooner or later. I can see easily 150-200$/ prv within the next year.
Calm down, champion It was just a joke.
In fact, its journey started from ~0.13. However, initially, because the liquidity was so low, the price jumped quickly.
The reason for the pump was because of a BTC dump. User drops a bunch of BTC into the network, then everyone buys PRV with USDC/USDT to make money on the arbitrage opportunity. This increases the price of PRV.
I think no need to Added other exchange because Incognito very good Project and powerful
No fud, just nothing really new to constitute the huge jump. That’s all.
Hi @Revolve, I was just wondering whether you could elaborate on why an arbitrage opportunity existed and how it is or was seized in that particular instance? I know it may be tedious to explain, but want to fully understand. Thanks in advance!
Yes of course. Since Incognito doesn’t use buy and sell orders to determine price, it uses AMM’s (Automated Marketing Making), when someone dumps a large quantity of coins into the network the price of that coin drops down really hard. The more liquidity that is provided for that coin, the less of an effect dumping large quantity of coins has.
However since there was a pretty large dump of BTC into the network, the price of BTC fell dramatically. This means people were able to buy BTC for cheap. In this instance about $2000 cheaper then market price. This means there is a demand for PRV because the only way you can get that BTC for that cheap is by using PRV. So people dump USDC and USDT into the network to buy PRV so they can purchase this cheap BTC and sell it on the outside markets. This raises the price of PRV significantly. It also means that the person who dumped BTC in to the network get’s his value back from the price increase in PRV.
Ok, so the person who dumped the BTC must have traded it for PRV?
That is correct. I also believe they got a lot less PRV then it was worth, but the price of PRV increased by everyone buying it with USDC and USDT, which eventually evens everything out.
I’d also like to mention, during this time there is arbitrage opportunity between USDC and USDT. If a majority of users buying this BTC, trade USDT for PRV, then people can buy PRV with USDC for a cheaper price and make some money that way.
I feel kinda dirty exposing all the big boi trader secrets like this . But people jump on those opportunities pretty fast, and you need a large amount of capital inside the network already because shielding coins takes a while and you might miss the opportunity if you try to bring in money that way. That knowledge is coming from experience.
I think PRV price now is bounce back from the support line, and good for buying now to hold for longterm
Yes I agree with you. Charts would indicate a minimum hold at $1.25 per PRV.
I’m holding 4200 prv so if anyone can pump prv more, i’ll thankful for that :3