The world and its players, according to mainstream financial theory, are mostly rational “wealth maximizers.” However, emotion and psychology play a large role in our decisions, causing us to behave in surprising or irrational ways. For some of the time, anyway. According to the relatively new discipline of “behavioral finance” people make financial decisions by combining behavioral and cognitive psychological theories with traditional economics and finance. This can be used to explain why Cardono and Apecoin are bleeding supporters while Chronoly (CRNO) are gaining them.
Cardano (ADA) may be lacking in demand
Cardano has already shown to be proof of stake, and it has a strong development team behind it. The project focuses on getting it right the first time, whereas Ethereum’s ecosystem is built through trial and error. Due to Cardano’s separation of the settlement and computation layers, transaction fees for payments are significantly reduced.
While low costs are appealing, they often imply a lack of demand for network space. This may change as more smart contracts, which require more capacity than payments, begin to flow over the network. Until fully operable smart contracts are released, Cardano has no chance of overtaking Ethereum’s smart contract market share. This is anticipated to happen in September 2022.
ApeCoin (APE) has no independence
The most important takeaway is that ApeCoin’s destiny is inextricably linked to that of Yuga Labs, a firm worth over $4 billion. Given that ApeCoin is utilized as the principal settlement for most of Yuga Labs’ products and services, one can conclude that the token’s future is bright, especially because Yuga Labs is currently a blue-chip firm.
This point of contention (or close correlation between the two) should not be an issue as long as ApeCoin’s supply metrics and future are independent of Yuga Labs’. However, in light of the SEC’s investigation against Ripple, one can’t help but worry how the outcome of this case will influence the landscape of most digital assets and tokenomics.
Chronoly (CRNO) has a growing user base for good reason
Chronoly is unlike any other NFT currently available on the market. But it’s not just novelty that is attracting a growing fan and user base. The Chronoly NFT, unlike almost every other NFT, is backed by the value of a real timepiece. Each luxury watch NFT is minted by Chronoly by dividing it down into fractions that can be purchased for as little as $10. The Chronoly NFT’s attractiveness is that its value is based on real-world assets and varies in accordance with their worth.
Chronoly holders also have access to additional perks, such as the option to exchange their NFTs on the Chronoly marketplace or on secondary markets such as OpenSea. They can also borrow against their NFTs because they are backed by real-world value and can be collateralized as a result. Chronoly has recently implemented a new referral system in which holders receive 10% of the value of any tokens purchased by new investors whom they introduce.
Even though it is still in pre-sale, Chronoly’s price has risen from $0.01 to $0.05. Experts have predicted that CRNO tokens will rise a further 2,500% before the end of presale producing a significant return for those early investors.
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