The bitcoin price is holding above $29k as progress stalls, but the new ‘Bitcoin on Ethereum’ crypto BTC20 surges to $5 million, with its presale set to sell out in hours.
It took less than 24 hours for the BTC20 fundraising to climb from $4 million to the $5 million mark.
Raising the final $1 million to reach the $6,050,000 million hard cap target will likely be completed today as the presale run rate accelerates.
The possibility of buying bitcoin at its 2011 price of $1 and earning yield, too, has stoked interest in the coin as buyers eye returns that could be north of 100x.
BTC20, a token modeled on bitcoin’s tokenomics but issued on the Ethereum blockchain, has now raised a whopping $5 million, despite launching its presale just 12 days ago.
BTC20 Lets You Go Back in Time to Buy Bitcoin at its 2011 Price of $1
BTC20 is selling 6.05 million $BTC20 tokens for $1 each in presale for a hard cap of $6.05 million.
That mirrors the price and supply of bitcoin back in April 2011.
BTC20 gives investors who missed the bitcoin boat (which, let’s face it, is pretty much all of us!) a second chance to buy bitcoin for its 2011 price of $1.
But BTC20 is much more than just a throwback to bitcoin in 2011.
Its innovative staking mechanism means that investors could generate massive passive yields on their holdings.
Add to that the green credentials and other benefits of running on Ethereum, which is still the crypto industry’s leading commercial and decentralized application layer, and buying BTC20 is a no-brainer.
Visit the BTC20 website here
BTC20 Vying With Pepe on Google Trends Amid Huge Marketing Push
If the stunning pace at which BTC20’s presale is selling out isn’t enough evidence of the considerable hype the project is generating, just look at how the project has been trending on Google.
BTC20 has consistently been attracting close to the same – or more – search interest as Pepe Coin over the last week, as the graphic below demonstrates.
The fact that BTC20 is trending shouldn’t be a surprise, as the project’s marketing team has been hard at work spreading the word about the project and setting up partnerships.
BTC20 has featured prominently across the crypto media sphere, including here at Cryptonews and other top outlets such as CryptoPotato and BeInCrypto.
Dozens of crypto influencers are also backing the coin, including Michael Wrubel, who has over 300,000 subscribers on YouTube.
And given its multiple benefits over the original bitcoin – i.e., that it exists on the Ethereum blockchain, meaning it is more eco-friendly, has a high staking yield, and has access to the world of Decentralized Finance (DeFi) – BTC20 has already built up an organic following of over 3,000 on Twitter.
Let’s go into more detail about why BTC20 could be better than bitcoin.
BTC20 Offers Massive Staking Yields of Potentially Over 500%
BTC20’s issuance schedule is set to mimic bitcoin’s since 2011, but rather than rewarding “miners” (as bitcoin does), these newly issued tokens will be given to BTC20 owners who stake their tokens.
Given the fast pace of BTC issuance back in 2011, yields for BTC20 stakers could be extraordinarily high, depending on the size of the staking pool.
Here is an example of how BTC20 staking could work:
First, assume that 50 BTC20 are issued per block when BTC20 launches (the same as the BTC issuance rate in 2011) and that there are roughly 52,000 blocks per year, meaning total yearly issuance of 2.6 million BTC20.
Now imagine you purchased 5,000 BTC20 tokens and staked them all – this makes up 1% of a total staking pool of 500,000 BTC20 tokens.
In this example, your rewards would be 1% of 2.6 million, or 26,000 BTC20 tokens.
That would imply a yield of 520%.
Of course, such high yields would undoubtedly attract more investors to stake their BTC20 tokens, increasing the size of the staking pool and pushing down the staking yield.
But the attraction of an excellent BTC20 yield should act as a strong incentive for investors to HODL the token, reducing the chance of a hefty price dump.
You won’t get yields anywhere near as high by mining bitcoin, and you’ll incur all the costs of buying and setting up a mining rig.
BTC20 is an Eco-friendly Version of Bitcoin
The bitcoin network is notorious for its massive energy consumption and the associated negative environmental impact because of high CO2 emissions.
Any token that lives on the Ethereum blockchain (like BTC20) is much more energy efficient than bitcoin in the wake of Ethereum’s switch to a proof-of-stake consensus mechanism last year.
The switch reduced Ethereum’s energy consumption by around 99.95%.
BTC20 can be considered an eco-friendly version of bitcoin, which could help its appeal to environmentally-conscious investors in the future.
BTC20 Opens Up a World of DeFi Possibilities
Given it is built on the smart-contact-enabled Ethereum blockchain, BTC20 has immediate access to Ethereum’s already highly developed decentralized finance (DeFi) ecosystem.
As a reminder, Bitcoin does not house any notable DeFi ecosystem, given its blockchain is much more simplistic.
BTC20 investors may be able to do things in the future, like use their tokens as collateral to take out loans on decentralized applications such as Aave or Compound.
A liquid staking market for yield-producing staked BTC20 tokens might also develop, akin to the markets for staked ETH tokens like stETH (Lido’s staked ether token) and rETH (Rocket Pool’s staked ether token).
All said this gives BTC20 owners a lot more flexibility.
How High Can the $BTC20 Price Explode?
With BTC20’s presale likely to sell out in hours, the stage is set for potentially explosive decentralized exchanges (DEXs) launch amid pent-up demand and FOMO.
Bitcoin is up over 29,000x versus its 2011 price of $1.
While 29,000x gains for BTC20 might feel outlandish, the success of past bitcoin imitators like Bitcoin Cash (BCH), Bitcoin Satoshi Vision (BSV), and Litecoin (LTC) suggest there is plenty of scope for a new, Ethereum-based competitor to make some waves.
At the very least, BTC20 has 10x potential, per the analysis of Cilinix Crypto, an influential YouTube analyst with 31,000 subscribers.
Another crypto expert, Jacob Crypto Bury, with nearly 20,000 subscribers to his YouTube crypto channel, believes BTC20 is the next coin to explode.
10x gains at the presale supply of 6.05 million tokens would see BTC20 hit a market cap of $60.5 million.
Shitcoins based on memes and jokes, rather than a fundamental value proposition like BTC20, routinely achieve similar market caps.
That suggests BTC20 can go a lot higher. Bulls should target 100x gains and a market cap of over $600 million, similar to Pepe coin.
To buy BTC20, fund your wallet with Ethereum or USDT and connect and purchase at the BTC20.com website.
Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
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