Altcoins Can Rescue Crypto Markets

This report is not about if, whether and when, Bitcoin would cross the $100,000 mark. It is also not about ETH reaching for the moon. We will talk about one major narrative that have brought, crypto markets to a fragile position. The fundamental problem with crypto markets is that, they are built on a handful of cryptocurrencies. We will also suggest how, Altcoins can improve crypto markets by making them sturdier and more resilient. 

No secret that Bitcoin is concentrated (in terms of volume) in the hands, of a small group of big investors. The other fact is that, Bitcoin forms a sizeable chunk of total crypto market value. These two factors combined, make the ‘king of the crypto world’, susceptible to price manipulation and price pumping. We obviously use more tame vocabulary when, we talk about millionaire and billionaire investors trying to influence BTC prices.  

When you talk about ETH, the price behavior of the crypto in relation to BTC trends, throws up some interesting details. For some reason, both ETH and Bitcoin, seem to be exhibiting the same mood at the same time! This in all probability indicates an overlap of investors. Not alarming and not something to be negative about. Just to mention that, ETH itself happens to be an Altcoin. Factually it is one of the 5,000+ Altcoins in existence today. 

Irrespective how the price of Bitcoin moves, the fact is that it will always be a ‘puppet’ in the hands, of a small group of large investors. Simply put, micro and mini investors could always be taken for a ride. High pitched paid marketing campaigns, have misled thousands of BTC enthusiasts. 

So how can Altcoins rescue crypto markets. What is really required is a widening of crypto markets – more investors and more active cryptocurrencies. To increase the number of active cryptocurrencies, it is important to pick the brightest Altcoins with potential. Glitzkoin has consistently maintained that, this selection needs to be unbiased. 

Let’s look at some numbers here. CoinMarketCap the leading crypto portal, claims to list close to 10,000 Altcoins (mid 2021). If we discount 50% of those as being irrelevant, the remaining would make up around 5,000 Altcoins. It should surely be possible to handpick at least 200 to 300 Altcoins from these – Altcoins with potential and ideally, even backed by a thorough project. 

The idea is to develop crypto markets that, have a wider base of actively trading cryptocurrencies. This would ensure that market trends, would not be dominated by the performance of a handful of cryptos. In recent months Glitzkoin has been advocating the 30/70 ratio for crypto markets. This implies that 30% of total market value is held by Bitcoin, the rest is defined by a group of Altcoins. 

While the numbers presented in this report could be debated, the call for more mature and resilient crypto markets cannot be ignored. It is time that crypto stakeholders, gave a serious thought to the concept. 

GLITZKOIN: A quick recap of the Glitzkoin project and the GTN crypto token.  The project was launched to improve the demand for natural diamonds and to enhance, the efficiency and productivity of the multibillion dollar industry. 

The DiaEx diamond trading platform was developed using Stellar blockchain resources. The GTN token was launched as part of the project and is designated, as the mode of payment on DiaEx. Promoted by second generation diamond veteran Navneet Goenka, Glitzkoin assigned a multifaceted role to the GTN token.  

The trading platform was completed in 2019 and was put through rigorous testing in early 2020. A team of diamond dealers subsequently did a pilot run on DiaEx with, actual transactions made on the platform.  This process was largely successful and revealed a few areas for improvement. The Glitzkoin tech team was handling the minor adjustment when, the pandemic and subsequent lockdowns slowed down the process. The management will reschedule the full launch of DiaEx once the health crisis eases. 

 

Talking about the multifaceted nature of the GTN token, the project is also focused on further increasing usage for the crypto – this aside from crypto exchange trade and the payment usage on the DiaEx platform. The concept is to have operators of various businesses, accept the GTN token as a mode of payment in their operations. Moving this idea forward Glitzkoin has confirmed a partnership with online ticketing giant Myticket.asia, wherein clients of the ticketing portal could use the GTN token as a mode of payment. Technical requirements for the integration of systems on both sides is at an advanced stage, nearing completion. Reviewing the challenges that the entertainment industry has been going through during the COVID pandemic, both managements have decided to set a launch schedule when the situation starts to normalize. The arrangement setup between Glitzkoin and Myticket.asia will form the blueprint, for similar deals to be negotiated with other business operators.  

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