3 reasons to Ankr . to buy

For cryptocurrency investors who think long term, ankr (CRYPTO:ANKR) is arguably one of the best crypto games on the market today. Ankr, an emerging force in decentralized finance (DeFi), has been making some serious gains lately. In fact, ANKR is up about 40% in the past month.

Ankr has a lot to offer investors. This blockchain network enables cloud computing providers to provide underutilized resources to users who need cloud infrastructure. Cloud computing providers are rewarded in ANKR tokens as compensation.

In addition, there are other great benefits that users receive on the Ankr network. Let’s see why this is now a top cryptocurrency on my watchlist.

Person in front of three laptops on a desk.

Image source: Getty Images.

1. Ankr changes the game

The world of cloud computing is relatively well defined and only a handful of major players dominate the market. With such an oligopolistic structure, the price power lies mainly with cloud computing providers. This is great for someone who owns it Amazon stock, but not so great for businesses or users who need cloud infrastructure.

Ankr wants to change that. This network takes existing underutilized hardware from cloud computing providers and rents it out. In exchange for ANKR tokens, cloud computing companies can maximize the use of their computing power. Waste is a big problem in any industry and Ankr helps minimize this problem to a great extent.

The idea of ​​maximizing underutilized assets is a very eco-friendly venture. Of course, not all blockchains are ecologically progressive. Much has been made about how much energy Bitcoin consumed every year. (Hint: almost as much power as the entire country of Thailand.)

Ankr has found a way to create end-user tools. This blockchain network aims to do this by leveraging what already exists, rather than adding to the energy consumption issues plaguing this sector.

2. Ankr offers a decentralized service

Back to the decentralized part of the equation. Decentralization is a buzzword in crypto for a reason. By cutting into the centralized market power of a few companies controlling a particular sector, blockchain projects like Ankr aim to democratize parts of the economy (and perhaps one day the entire economy).

At a high level, these goals sound idealistic and unattainable. However, the implications of Ankr’s cloud computing potential are huge.

Most centralized cloud computing services have one or only a few points of failure when several central locations lose power. For decentralized cloud computing players like Ankr, this risk is minimized. By leveraging a decentralized network of providers, Ankr can provide network stability and relatively inexpensive cloud computing services to businesses looking for decentralized options.

As the demand for decentralized solutions grows, Ankr could see increased adoption drive the value of its network higher. Therefore, those who bank on the value of ANKR tokens as representative of the value the ecosystem creates can view ANKR as an intriguing growth option.

After all, this is a network looking for new solutions to modern problems. Investors should enjoy that a lot.

3. Ankr Takes Strike To A New Level

In addition to the cloud computing angle (which I think is a real thing), Ankr also offers unique value in how investors deploy tokens. Staking refers to placing tokens or locking them into a particular blockchain protocol to allow validation of transactions. People who wager their tokens usually receive interest in the form of additional tokens. Accordingly, this is a passive income opportunity that many crypto investors are looking for.

However, Ankr offers an intriguing way for investors to stake tokens, while making much smaller capital investments to do so. How?

Ankr’s StakeFi product allows investors to wager as little as 0.5 Ether to earn staking rewards. Currently 32 ETH are required to bet on Ethereum‘s (CRYPTO:ETH) beacon necklace. This would currently require the equivalent of over $125,000.

The platform does this by using synthetic derivatives to essentially limit the amount of seed capital investors have to put in. Like options in the stock market, Ankr is becoming a revolutionary force in this growing area of ​​decentralized finance.

Sure, Ethereum is moving towards Ethereum 2.0, which will likely streamline the staking process considerably. However, the delays in the switch to Ethereum 2.0 have persisted. For now, Ankr has the opportunity to expand its market share in this emerging DeFi category.

A network that adds real value

Investing in cryptocurrencies is inherently risky, and Ankr is no exception. This crypto network faces the same systemic risks and competitive environment as its peers.

However, Ankr creates real value with its network. The fact that companies can use Ankr’s protocol to maximize their return on assets while providing decentralized cloud computing services to users is impressive. Plus, I think there’s a lot to like about Ankr’s DeFi potential.

The ANKR token is one that represents a blockchain of enormous (and growing) value at the moment. Accordingly, I am closely watching this sign.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a premium consulting service from Motley Fool. We are fur! Questioning an investment thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and wealthier.

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