Why Elrond (EGLD) Is Up 12% Today
KEY POINTS
- The Elrond blockchain offers lightning transaction speeds with very low fees, and has the potential to leap ahead of competing blockchains such as Ethereum.
- Elrond’s native token, EGLD, stands to gain through the adoption of the Elrond blockchain by more high-profile organizations.
Elrond leads the charge today, gaining 12%. What made the token jump?
In today’s cryptocurrency news, the market is seeing some short-term value recovery, and leading the pack is EGLD, the native token of the Elrond blockchain network. As many tokens remain stuck at low values, a few tokens are seeing surges of recovery. With EGLD’s position as the native token of the innovative Elrond blockchain, which promises impressive transaction speeds and low fees in a time when many users are struggling to find such convenience, it stands to become an even bigger player in the crypto space.
Efficiency with Elrond
Elrond provides transaction efficiency through a technique called "sharding." The blockchain is broken up into four major parts, known as shards. Three execution shards handle transactions simultaneously, while the fourth shard coordinates the information that the other three produce. With this layout, the Elrond blockchain holds the capability to process over 15,000 transactions every second, keeping transaction costs down to $0.001. With so many institutions finding frustration and low productivity with big blockchain platforms like Ethereum, Elrond’s reliability could be incredibly valuable to high-profile investors with enough successful stress testing.
EGLD going forward
With so many users seeking a solution to slow and overly costly transactions on the blockchain, EGLD is seeing a larger jump than many other digital currencies. If blockchain-operating organizations choose to put their trust in Elrond rather than Ethereum, the blockchain’s native token stands to fly even further. The more that Elrond becomes a viable blockchain option, the more that big businesses will require sums of EGLD to fuel their transactions within the blockchain itself.
The bottom line
Elrond’s native token, EGLD, is rising faster than others in a difficult time for crypto. This could be due to the current frustration with the slow and expensive transactions that are offered by the Ethereum blockchain. Elrond offers the better, more cost-effective transaction solution that many blockchain projects are currently looking for. If well-known Ethereum-based projects begin to shift over to Elrond, the network and its token could see major success, with EGLD pushing its way above the top 30 types of cryptocurrency in the world.
Are all these different coins and tokens getting confusing? Check out our guide to the different types of cryptocurrencies to make sense of it all. And take a look at our list of best cryptocurrency exchanges when you're ready to dive in.
Our Research Expert
Katie Clinebell is a freelance content creator and digital marketing strategist for FinTech, blockchain, and crypto brands. She has created award-winning campaigns for Snapple and Tai Pei Frozen Asian Food and received an Adobe Academic Achievement Award for content about Olympic athletes.
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