KNC is the cryptocurrency of the Kyber Network Crystal project, which is required for its functioning. The protocol is a payment system and exchanger that simplifies blockchain operations for a large group of users. It allows exchanging some coins for others in a quick way and at the most favorable exchange rate.
In this overview, we are looking at the features of the KNC cryptocurrency and the Kyber Network project itself, as well as examining the prospects of the protocol and experts' predictions for its future.
How the protocol works
The protocol functions in a decentralized manner. This means that its work is regulated by smart contracts - a special code written in advance. It's practically impossible to interfere with it and disrupt the processes going on. This makes the use of the Kyber Network reliable.
The main task of the project is to provide everyone with the opportunity to exchange some assets for others. However, this only applies to coins existing in the Ethereum network, i.e. ERC-20 tokens.
One of the challenges a user who wants to exchange one cryptocurrency for another may face is the lack of liquidity, that is, the free funds available to receive as a result of the exchange. The Kyber Network solves this problem. It gives an opportunity to use liquidity from different platforms. The user just needs to start the exchange procedure, and the protocol will automatically discover where the required amount of money is, and how to make the operation in the most favorable way.
Simplifying payments
The most important advantage of the protocol - API-interface, which facilitates the work of the sellers and buyers of any goods and services. It automatically exchanges the assets the buyer has for the assets the seller accepts. For example:
- a company sells goods and accepts payments in ETH cryptocurrency;
- the buyer doesn't have ETH, but has MANA tokens;
- the buyer pays the price of the goods in MANA tokens;
- the protocol exchanges MANA to ETH without the user, and sends ETH to the seller.
This eliminates the need for buyers to exchange their own cryptocurrency for the one accepted by the seller. Paying for goods and services has become much easier.
Project Advantages
Kyber Network is a protocol that eliminates the need for users to use centralized exchanges. Moreover, it makes token exchanges as convenient as possible. Even if it's necessary to exchange a little-known coin, the platform will make it possible. Here are the main advantages that ensured the popularity of the project:
- No intermediaries. The protocol is decentralized and works independently. States, large companies, and other market participants have no influence on the functioning of the system.
- Anonymity. You don't need to register to use the system. All you need is to connect your own wallet, so the protocol can take one asset and send another to your account.
- Processing speed. Cryptocurrency exchanges are almost instantaneous - just like on centralized platforms. However, you don't have to provide personal information to the protocol to make transactions.
- Reliability. The protocol is regulated through smart contracts. In simpler terms, it's software. In addition, the code, according to which Kyber Network operates, is simultaneously stored on thousands of computers around the world. It's impossible to hack all of them at once, which means that it's also impossible to hack the protocol.
The protocol also gives everyone the opportunity to make money. Users who supply their cryptocurrency to liquidity pools receive rewards issued in KNC cryptocurrency. This encourages the coin holders to submit coins to the protocol so that they both profit from the rise in the value of the coins and receive additional funds after each exchange in the system.
Features of the KNC cryptocurrency
KNC is the protocol's native token. It takes part in maintaining its performance, and is an interesting option for investment. Cryptocurrency holders influence its development. If you have KNC coins, you can vote for changes to the protocol. Thus, the community itself determines the development vector of the protocol, making it better exactly from the point of view of real users.
Also, KNC cryptocurrency owners can receive a portion of the system's commissions. At the same time, a percentage of the commission is permanently burned after each exchange. This makes the token deflationary. Over time, fewer coins remain in circulation, which encourages the price to rise.
How the price of KNC cryptocurrency has been changing
It was possible to invest in the project even before its launch. Users who entrusted funds to developers received KNC tokens at $1 per coin. Since the cryptocurrency has been publicly traded, the value has not fallen below this value.
For example, at the end of July 2021, you could buy the cryptocurrency at $1.4 per coin. And in December 2021, during the time of the temporary value drawdown - at $1.21 per token. The price spiked on March 9, 2022. At that time, the KNC cryptocurrency was worth more than $3.2 per coin. Users who bought it in 2021 could increase their investment by 2-2.5 times.
At the time of writing this article, the price has corrected downward, as it usually happens after the next peak in the price of any cryptocurrency, and now stands at $2.63 per coin.
Kyber Network Protocol prospects and KNC cryptocurrency price forecast
Decentralized protocols that enable cryptocurrencies to be exchanged and used as a means of payment are becoming more and more in demand. As the crypto market evolves, users realize they don't want to trust any centralized platforms. After all, it is much better to store cryptocurrencies in their own wallets with the knowledge that they cannot be blocked. In addition, there are risks associated with using large centralized platforms. For example, users may lose funds as a result of a hacker attack.
These circumstances, coupled with the benefits of the protocol, will ensure the project's further development, experts believe. The number of exchanges made through the Kyber Network is expected to grow annually.
As the KNC cryptocurrency is integrated into the protocol and is closely linked to it, the value of it will increase if the project continues to be successful. It would be impossible to predict the exact price, but cryptocurrency market experts are expecting growth to at least $10 per coin. If this happens, users who have invested in KNC cryptocurrency now will be able to increase their investment by 4 or more times.
Is it worth investing in KNC cryptocurrency
The Kyber Network project is very promising, and experts agree that investing in it is a great option to multiply funds. However, the risks should not be forgotten. The cryptocurrency market is still emerging, and each protocol has competitors. There is no way to predict which one of them will be the most popular in 5 years and which one will exist only as a "backup".
Therefore, it's not worth investing all of your money in KNC. You can buy it for 5-10% of the deposit, distributing the rest of the amount between other coins. However, it's important to be aware of the risks - investing in projects with an uncertain future may result in losing some of your money. If you're ready to buy KNC cryptocurrency - here you can find instructions on how to do it.
For those new to the crypto market and just starting to learn about it, the best option for investments are basic, well-established cryptocurrencies. These are time-tested coins, and even experts have no doubts about their price growth. These cryptocurrencies include Bitcoin (BTC) and Ethereum (ETH). The most appropriate way to buy them is also described below.
How to buy KNC cryptocurrency or other coins securely and easily
Investments in cryptocurrency can bring large profits, increasing the deposit by dozens of times. However, it's easy to lose money by choosing an unreliable platform to buy assets. A fraudulent project can close without paying out money to users, and it will be impossible to get it back.
Therefore, when you need to buy cryptocurrencies, experts recommend paying attention only to licensed exchangers. These are companies that have passed inspections by state regulators. They operate in accordance with the law, and act as guides to the world of cryptocurrencies, even for novice users.
A reliable platform is Broex. It's a cryptocurrency exchanger registered in Estonia, where the sphere of cryptocurrencies is well regulated by the state. It meets all the requirements of the regulatory authorities, so it has received a license that allows it to legally provide users with the ability to buy and sell cryptocurrencies.
In addition, Broex is specifically designed to be easy to use, even for beginners. It has a user-friendly interface that is intuitive and can be mastered in a few minutes. There are many other advantages that make using the exchanger simple, convenient, and beneficial.
Broex benefits
Broex is not only an exchanger, but also a custodian wallet. This means that you don't have to withdraw the purchased assets to third-party wallets. This advantage is especially valuable for beginners. Figuring out how to use wallets can be tricky. That's why you can trust the storage of KNC cryptocurrency and other coins to Broex.
You will have full access to your own assets. They can be sold at any time, exchanged for others, or withdrawn to your wallet if needed.
Other benefits of Broex:
- Large selection of cryptocurrencies. More than 40 cryptocurrencies and more than 2000 tokens are available. So you can invest in any project you find interesting.
- Low exchange fees. They range from 0.1% per transaction. In some cases, there are no commissions at all. Working with Broex is not only convenient, but also profitable.
- 24-hour technical support. If you need advice or there is a problem, the issue can be resolved quickly. Employees of technical support respond in a minute or two.
- Instant replenishment. You can deposit funds with a bank card or through AdvCash. The amount deposited will immediately appear in your personal account, and it can be used to buy KNC cryptocurrency or other coins.
- The minimum deposit is 1500 rubles. You can start small and deposit a small amount to get acquainted with the work of the exchanger and make sure it's reliable and convenient.
Broex also has a mobile app that can be installed on Android or iOS. It replicates the functionality of the website and provides access to your personal account from your smartphone. Therefore, you'll be able to make transactions from anywhere with an Internet connection.
Register and buy cryptocurrency with Broex! It takes a couple of minutes to create your account.
