Following the relisting of one of the leading crypto exchange in Japan, Coincheck, the price of NEM tokens has risen to a two-month high.
It Is A Shining Moment For NEM Tokens
NEM, which is a native token of the XEM cryptocurrency is the latest to have witnessed a renounce in its price. This price increase came after Coincheck, a reputable crypto exchange in Japan assured its consumers that it allows the trading of the altcoin for another time. The trading of the NEM token had been suspended following a hack, which occurred at the exchange leading to the missing of over half-billion dollars in the hands of the hackers. The lost billions were later reported to have been systematically laundered through a number of other exchanges. The price of this altcoin began to gain momentum even before the announcement was made. At the moment, it sits at nearly 12 cents per token with a market cap of over $1 billion. This is way much higher than its January high of close to $1.50.
Is Liquidity A Factor?
On the updated list of active tokens, NEM is at position 17th based on its market capitalization. In its overnight trading, the coin managed to hit a high of $0.114, although it has since lowered its overnight high to about .007 less. The coin is currently worth $0.107375. which represents a gain of 16%. It has managed to knock out some of the notable contenders like Zcash by more hundreds of millions of dollars.
But in these things, it is usually pertinent to point out that liquidity may either be preset or absent for the total market cap of a particular altcoin. Only those who have widely and actively traded against fiat currencies could be reported to be having a specific market cap. When it comes to the tokens that are largely traded against larger cryptocurrencies, it is so hard to gauge the reality of their market cap, as prices astronomically drop when there is a cascading sales pattern. Despite all that, it is important to recognize the fact that this coin has retained a moving token price of more than ten cents regardless of some of the problems it faced in the past. All these have occurred in the full glare of a huge supply, just one shy of hitting nine billion units.
The New Economy Movement
If you can still remember the Proof of Importance concept, then it is important to note that it was introduced by a wholly original blockchain codebase known as The New Economy Movement. The Proof of Importance is a system that does not only give incentives to the holders of a large account balance but also takes into consideration how much they transact to others and who they operate with. Despite the price of the token, the NEM’s business end has been operating strong and has even entered into partnerships with bodies such as Portal network and OATH Protocol. A product known as PUBLISH has also been created as a result of these partnerships.