Moonbeam just won the Polkadot parachain auction – Moonbeam’s network is interoperable with the Ethereum and Bitcoin blockchains, providing existing decentralised apps (dApps) with a more cost-effective platform and decreasing the barrier of entry for new dApps. Moonbeam’s token GLMR has its initial coin offering (ICO) in early 2022. The Moonbeam flight crew, a global team of highly regarded developers, launched the project.
What is Moonbeam?
Moonbeam is an Ethereum and Bitcoin scalability and interoperability solution. Moonbeam is utilised as a parachain on Polkadot, which facilitates multi-chain interoperability by linking blockchains to the Polkadot network – a Layer Zero protocol that aims to enable all blockchains communicate effortlessly.
Interoperability has emerged as a primary priority in Web3, since it has become clear that the various blockchains would need to connect with one another. Moonbeam’s ability to connect Ethereum and Bitcoin to the Polkadot network might be useful. Moonbeam-based DApps, smart contracts, decentralised exchanges (DEXs), and non-fungible tokens (NFTs) may all be employed in the Ethereum ecosystem.
Gavin Wood, co-founder of Ethereum and Polkadot, wants Polkadot to be the blockchain of blockchains. Moonbeam might be critical in making this vision a reality. Much of the excitement around Moonbeam stems from the network’s acquisition of the second slot on the Polkadot parachain through an auction. According to Moonbeam, a crowdloan campaign gathered 35 billion DOT ($1.4 billion USD) to participate to the parachain slot auction. Moonbeam then became the Polkadot network’s first functioning parachain. Polkadot’s success is critical to Moonbeam’s success. The following image is from the Polkadot website. It depicts the several parachains that run parallel to the core relay chain.
Moonbeam Price History
Moonbeam (GLMR) has seen its price steadily decrease since its ICO, with an all-time high of just under $20 ending at less than $5. At the time of writing, the overall market cap is just around $750 million, with 21% of total supply in circulation. Like many previous initiatives, the maximum supply is one billion coins.
However, the token’s scarcity has not helped it retain its value in the face of the 2022 crypto catastrophe, in which the currency has dropped below $1. Time will tell if the token’s value can be recovered.
Moonbeam confronts several rivals, the most notable of which being the various parachains that operate on the Polkadot network. Moonbeam competes alongside Acala, Astar, Parallel, and Clover for one of the 100 spots on the Polkadot relay chain. While these parachains have distinct functions, several of them overlap with Moonbeam. Polkadot rents its slots, and Moonbeam’s lease expires in less than 96 weeks.
With the competition increasing, Moonbeam was able to become the network’s first active parachain, surpassing Acala, the network that won the initial auction spot. This accomplishment has given Moonbeam an edge in developing its ecosystems and attracting developers, with a number of large applications already running on the network.
How to Buy Moonbeam
GLMR can be acquired on a few cryptocurrency exchanges, the most popular of which are Binance and ByBit. After transferring USD, it may be exchanged into Moonbeam. You may need to wait a few days after purchasing GLMR on exchanges before you can transfer it off the exchange.
Best Moonbeam Hardware Wallet
Having a hardware wallet to safely store your Moonbeam and other valuables is a brilliant idea. Because the crypto sector is subject to frauds, having a set of private keys that are not available to the internet to protect your bitcoin is a good practise.
Ledger is a hardware wallet that has offered further protection to many in the crypto field that software wallets do not. Hardware wallets are external devices that keep your private keys away from the internet, dramatically reducing the possibility of being hacked. Using Ledger safeguards your assets to the greatest extent feasible because to its user-friendly interface and top-tier security.
If additional projects debut on the Moonbeam platform, the price of Moonbeam may rise. New projects are still being launched on this new network, which might bode well for the coin. If this trend continues and more projects migrate to the Moonbeam ecosystem, the price per coin will very certainly reflect this.
Cryptocurrency Market Outlook
Following a sell-off in early 2022, cryptocurrency markets have been trading sideways. However, after a scary few months, the larger crypto markets have seen a rebound. This surge in favourable customer sentiment might be beneficial to Moonbeam in the short run. Polkadot’s role in the Web3 ecosystem will be important to Moonbeam in the long run.
Is Moonbeam a Good Investment?
Moonbeam is a hazardous gamble since it is dependent on Polkadot acquiring another lease and Polkadot being an essential Layer Zero solution. Moonbeam, on the other hand, has considerable potential due to the remarkable work of its creators, its placement on the Polkadot parachain slot, and its success as the first operational interoperability network on Polkadot.
Moonbeam has a 5% inflation rate, with half of it going to stakers. In order for the coin’s price to rise in the short term, it must get some favourable news. Long-term success depends on an increase of Moonbeam-based applications and users, as well as the continuing growth of the Polkadot network.
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