In the letter
- Uniswap trading reached a record level yesterday.
- Personal tokens have also been moved.
- However, trade is still small in relation to the overall market.
Love them or hate them, personal crypto Token have their moment on Uniswap. Trade for $ ALEX and $ KERMANThe respective tokens of two entrepreneurs in their early 20s, Alex Masmej and Kerman Kohli, have experienced a boom in recent weeks.
The two tokens were trapped in Uniswap’s record trading volume yesterday. Uniswap’s volume broke records yesterday as trading rose from $ 117.82 million on August 9 to $ 193.36 million on August 10, an increase of 64%.
Those represented by personal tokens give them out to fans as a kind of loyalty program. If you hold $ 100 worth of $ ALEX, you can vote on his life choices (last month his fan base got him to walk three miles every day) or exchange your tokens for services like counseling. And for those who symbolize themselves, it’s a way to build a clique, raise money, and bet on their own success.
However, these systems have their share of critics, some of whom say these “personal tokens” are fair ICOs with a different name. Token sales for $ ALEX and $ KERMAN both rose by nearly $ 25,000 – Masmej’s was even referred to as the “Initial Alex Offering”. Masmej said he intends to use the money to fund a trip to San Francisco, where he hopes to make it as a tech entrepreneur.
Some believe the token sales will take the same legal action that has put so many ICOs down. Although their token sales made it clear to investors that they were not investing at all – the tokens are useful, they claim – attorneys still believe the courts will not be convinced.
No legal advice, but if you are thinking of raising capital by selling a personal token in the US to fund your career with the promise of returning profits to investors as a result of your future endeavors, you may just not do it.
– Jake Chervinsky (@jchervinsky) May 6, 2020
Trade with $ ALEX, the Token representing the French crypto preneur Alex Masmej, started rising on July 27th as the daily liquidity for the ETH pair more than doubled in one day from $ 12,691 to $ 26,167 by July 28th. Liquidity continued to surge until it peaked on August 7th when it hit $ 77,826. That’s an increase of 513% in 11 days.
The mark for Kerman Kohli, the Australian entrepreneur who wrote this DeFi Weekly Substack, was listed on Uniswap on July 28th. Trading in $ KERMAN also spiked around the time Masmej’s token was peaking. On August 9, his token was trading for just $ 120.17. The next day, it hit $ 3,691, up 2975% overnight. The price of a $ KERMAN at Uniswap also doubled from $ 0.12 to $ 0.24.
The bubble appears to have popped since then and trading, liquidity and the price for both coins have since declined. And not all human tokens received a trading dent. Although daily trading volume JOON, the mark of the former managing director of CoinDesk rose from $ 0 to $ 95.27% on August 10th, not many people are trading the coin on Uniswap.
The increase is likely due to the coins being swept in the humidity DeFi Storm. The DeFi mania or decentralized financing, began in late June when certain DeFi credit protocols offered their customers additional incentives in the form of governance tokens. The resulting practice, known as income farming, spawned dozens of DeFi tokens and Altcoins gain in value.
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The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment or other advice.
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