One of the first NFTs on the market, CryptoKitties, brought the market to a standstill due to an overload. The Ethereum blockchain, at the core of the project, had one of its major flaws exposed in the process – scalability.
Several different approaches were tried and tested by the developers, Dapper Labs, to cope with the issue. And the solution they came up with was Flow.
Flow is built by the team behind CryptoKitties and aims to make apps run smoothly without compromising quality or decentralisation. It now supports a wide range of apps and games, as well as their in-app purchases.
What is the Flow Coin?
Flow is built for the interactive crypto experience that is slowly gaining prominence. The token was offered initially in October 2020 but was unavailable within the USA or Canada. The initial supply was locked up for a year, so they can’t be circulated unless they are unlocked.
FLOW is the fuel that the network requires to power itself, and it is designed as a payment method that aims to power the entire ecosystem. Coin owners can use the token to participate in the Flow network and receive rewards. It can also be used to participate in the governance of the project in the future.
Benefits of Flow
Here are the benefits of the project and the coin:
The project was designed for mainstream consumers and tries to build a safe and quick path from fiat currencies to cryptocurrencies.
Extremely Scalable Architecture
Flow’s unique design allows it to be scaled to great extents. It can handle billions of users without sharing or reducing decentralisation of consensus.
Partnerships With Global Brands
Flow is the only blockchain network in the world that builds usability improvements into the protocol layer. Some of the largest brands in the world have already started to build on Flow. This has resulted in the development of high-quality content and experiences for consumers.
Some of the big names in partnerships with the network are – UFC, La Liga, NBA, NFL, Ubisoft, Samsung and Warner Music Group. All these companies are working to develop exclusive NFT collectables with Flow.
Alongside strong partnerships, Flow is also building out its own infrastructure. The company has announced its FUSD project, which is the first USD-backed stablecoin on Flow.
Developers can use the FLOW token as the main mode of payment in their decentralised apps. This can also qualify users to earn rewards by using the dApps. FLOW has value mainly because it is a vital part of the operation of the network.
Price Analysis for Short and Long Term
The FLOW coin has been made available on a wide scale since early 2021. At the time of writing, it is trading at $7.77. The circulating supply of the token is 318 million, while the total supply is 1.3 billion, and the maximum supply is not specified.
PricePrediction estimates the token to double in value by 2023, with a projected value of $16.36. The average price by 2026 is around $49.22.
Over the last month, the coin has been very bearish, and it is expected to continue for the short term. According to WalletInvestor, the price of the token is expected to crash, with a projection of $0.6 in one year. That seems unlikely though unless we see some major shift. While negative sentiment has been growing a bit for the coin, primarily because it’s been unable to break out for a while, it still remains strong on the fundamentals.
However, over the past year, the resistance level for this crypto has been over $7 consistently. While we have seen the resistance level broken before, the coin has more or less followed an ascending and descending triangle pattern over the past year. It’s unclear as to when and if it will break out, but the current resistance levels do remain around $7.
Contrasting reports suggest that the token has a chance of crashing in the near future. As a result, there is a considerable amount of risk involved with the Flow token.
But, it also has several significant partnerships and new developments in the offing. In the long-term, these could positively influence the price as well.