VeThor (VTHO) Asset Continues to Crash, VeChain (VET) May Slide Below a Penny
The VTHO gains from the past weeks are sold on low-liquidity markets, bringing down the price.
The VeChain (VET) project is in a transition stage, and the VeThor (VTHO) reward asset for staking keeps crashing during its price discovery stage. VTHO lost around 20% net overnight on extremely volatile trading, sliding to $0.008. VTHO is paired against BTC and ETH, and only gets its liquidity through the LBank exchange.
The drop in prices to below one cent, for now, crashes the expectations that the VTHO token would be more valuable than VET. Some believed the VTHO asset would, in fact, appreciate fast because it is relatively difficult to generate by staking:
However, in reality, the VTHO token saw rapid selling of initial rewards, some of which were distributed as a bonus through Binance. The VeChain ecosystem has already bound various levels of nodes, and VTHO rewards are being distributed in wallets, as well as through regular monthly distributions on Binance.
However, both VET and VTHO seem to be tanking on the markets. This is despite the fact that VeChain has one of the strongest communities, as well as robust development. But the token migration period and the usage of wallets and tokens is creating turbulence for the ecosystem.
The VET market price also remains weak, down to $0.01 and threatening to go below a penny. The announced token swap has had a psychological effect and the VET asset entered a new stage of price movement.
The price of VET and VTHO may also define the demand for nodes. As VTHO depreciates, a new estimation of how profitable a node becomes may discourage potential node buyers. Nodes are important for VET, locking coins away from circulation and trading, and potentially boosting the market price.
The window for swapping VEN tokens to VET has been opened for those who choose to do this through the VeChain official mobile wallet. The token swap has a grace period until September 1, and users are urged not to rush the process. The best way to swap the tokens is to send VEN from MyEtherWallet into the intermediary address. Users are reminded not to send the old asset to the Ledger wallet, since it does not support a swap function and will lead to a loss of tokens.
Neither the author nor the publication assumes any responsibility or liability for any investments, profits, or losses made as a result of this information. Cryptocurrency trading and investing are risky propositions, and market participants are advised to always conduct thorough research.