The cryptocurrency market has no shortage of options. You can currently trade in thousands of different crypto coins. Most of them remain irrelevant, but a handful of alt-coins have found a way to carve a niche suited to their particular characteristics by targeting the industries that can benefit the most from them.
So, for instance, Tron is going for full web decentralization while Stellar and Ripple are trying to become the standard in international bank transfers. So what is Verge’s (XVG) deal? Let’s find out.
Verge’s XVG usefulness
If a cryptocurrency is going to succeed it has to be useful. Some of them are actually designed to be used in a particular way or to provide a distinct characteristic that will be attractive in a specific market. Verge’s (XVG) supply is limited, so demand creates value.
Usability, in turn, creates higher demand and drives prices up, so they become good choices for investors who are trying to profit from the trade. Verge’s XVG was created as a retail crypto coin, something you can use on an everyday basis to pay for goods and services. While it’s not confined to any specific industry, it’s more useful to make personal payments than to deal in cross-border financial transactions, for instance.
Bitcoin‘s massive rise in price has to do with the fact that it offers a safe environment in which it’s easy (if slow) to make payments of many different kinds.
Banks have recently embraced Verge, so soon you could find your local bank offering you a Verge debit card. As Bitcoin, despite being the most prominent player, still is not fully trusted by markets and institutions, other crypto coins that offer a comparable type of functionality are rising in popularity among investors and users.
Anonymity: Verge’s hallmark
Guaranteeing security, privacy and anonymity have been Verge’s top priorities since the beginning. It combines anonymizing protocols such as TPR and I2P to ensure every user’s anonymity on every transaction by masking their IP addresses.
That way you just cannot trace transactions back to individuals, and this is a feature that attracts many users in the world who care about their privacy but still want or need to be a part of the digital economy.
Open source technology
Some cryptocurrencies have been developed for profit by private corporations. Verge, on the other hand, is a fully open source project with a very committed community that keeps its development going on and manages the environment and functionality. Profits are not on the table for them (as developers or community members).
This means that any XVG holder can interact and work with members of the platform’s core developers and contribute to any of the different ongoing projects aimed to make the platform better. The kind of alt-coin based on a community instead of a company has become quite popular recently because it brings users to the project’s heart.
It taps into a large pool of intellectual resources and skills, and it creates incentives to join the platform. It also brings transparency and accountability to these projects and promotes innovation. This is the very same model in which projects like Mozilla, the Linux kernel, and other open source initiatives have thrived in recent decades.
Cheap transaction costs
Besides protecting privacy, speed and low cost of transactions are also core values for Verge. Low speeds and high fees have been the way to do business involving fiat currencies for a very long time, and Verge aims to tackle that problem.
The platform was released with a large number of tokens in circulation in order to promote mass adoption. The more users they have, the better the liquidity becomes. It also allows for transactions among other blockchains, so it’s even more useful that way.
The right partnerships give digital currencies credibility, brings them attention from outside the crypto word, and expand their user base. Verge has recently scored some that could make all the difference.
Many more cryptocurrencies continue to join the market. But only those that offer some added value in the form of utility and benefits will have a chance to compete. The value for users becomes the value for the coin and, in this regard. XVG has proven to be ready to take on the market and make itself valuable both in price and usefulness.
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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.
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