Elrond is by far the best performing token of the leading 100 cryptocurrencies by market cap over the past week, with more than 110% as of writing these lines. ERD has surged by over 50% in the last 24 hours alone. Here is what might explain the price surge.
Elrond Mainnet Can Be Interconnected with Other Blockchain Via Swingby
Decentralized Finance (DeFi) is a big hit this summer, as many DeFi-oriented blockchain projects experience rapid gains in their tokens. This group of digital assets is now driving what many believe to be the altcoin season.
Elrond is a relatively new project that was established in August last year. At the end of this month, it will launch its mainnet, and many investors are already pricing in this major milestone. Meanwhile, the project is announcing relevant partnerships that bode well for its valuation.
Earlier today, Elrond informed the community about the integration of Swingby, which provides an infrastructure for conducting token swaps between blockchains.
The solution is decentralized, non-custodial, and is compatible with any digital wallet. Thus, Elrond’s inter-blockchain protocol built with its partners will allow ERC, along with other proprietary assets, to be swapped seamlessly with other cryptocurrencies, including Bitcoin or Ethereum.
Shortly after the official statement about the integration came out, the ERC price surged to update the all-time high. Currently, it trades at $0.0122, up 51.8% over the past 24 hours. The increase helped ERC move up on the 56th position on Coinmarketcap, with over $160 million in market cap.
Elrond CEO Beniamic Mincu commented on the partnership:
“Getting access to all the available liquidity from day 1 is an important prerequisite for anyone building DeFi tools. This integration enables Elrond to be part of many existing cross-chain DeFi applications. We’re excited to work with Swingby and increase access to Elrond’s highly scalable and cost-effective solution.”
The community expects that this integration will bring many opportunities to the mainnet, enabling some relevant DeFi use cases that will involve the ERD token.
What Is Elrond?
Elrond Network is a blockchain project created from starch. Its architecture merges a Secure Proof of Stake (PoS) algorithm with a so-called Adaptive State Sharding mechanism, enabling unlimited scalability. Elrond claims to be able to process over 10,000 transactions per second at low cost and with 5-second latency.
The project is now partnering with other blockchain and DeFi businesses to foster a borderless internet economy. Earlier this week, Elrond partnered with FinNexus, ProDEFI, and Orion Protocol.
Elrond Network gained its popularity as one of the first projects to fundraise via the Binance Launchpad.