Next to new entry in top 100 cryptocurrencies for capitalization we find UMA – of the homonymous protocol, which after a crackling October under the level of technology and Announcements, is finally capitalizing on the good that has already been sown.
This will be a meeting cognitive on a protocol which has a great deal to offer, both in terms of decentralized finance, both with regard to ancillary services to it – a protocol that will be great interest for those who want to invest in a diversified way in the sector of emerging cryptocurrencies.
Uma: what it is and why everyone is buying it
UMA – acronym that stands for Universal Market Access – is a protocol created for the creation of tokenized assets, taking advantage of the blockchain from ETH. A sector that, as has happened in the last few hours, also with AVAX from Avalanche, is experiencing an excellent bullish moment.
The protocols that will allow the tokenization of assets external to blockchains, if rich in management methods, they could be the next great revolution concerning the world of blockchain and of cryptocurrencies, also in terms of market value. UMA should therefore be considered as a framework which can be freely used to manage your own market, also automatic, thus relying on one of the safest networks for decentralized finance.
The automation system is also excellent, which is guaranteed by smart contracts with automatic execution – which are great for those wishing to replicate on this network too contracts for difference or futures. That is everything we are used to seeing in the world of cryptocurrency trading platforms, but not only.
Why is UMA growing?
The wave that is overwhelming the world of blockchain dedicated to tokenized financial assets is one of those that push a lot. AVAX is approaching with sweeping strides towards i $ 100, our short-term target who, once again, was not taken too seriously when the token was less than 1/3 of today’s price.
With regard to UMA it is still early to try to understand where it will stop – and if it will have to stop. What we think is that a service of this type, with all the flexibility it guarantees to those who want to use the blockchain as an underlying platform to its market, it certainly deserves entry among the first 100 by market capitalization.
The difference will be flexibility
There are already several platforms and protocols that offer services very similar to what we have just seen for UMA. However, there are few that offer the flexibility that i market maker they need in terms of building their own networks and markets.
UMA offers this – and will in our view be the key to short, medium and long term success for this protocol. That he will be able to fight with AVAX and with the others that follow, we think about AMP, certainly on equal terms. What we want to repeat, before leaving, is that the world of markets on blockchain, that is tokenized assets it will be one of the most important for the future of cryptocurrencies. And the protocols that are already ahead in this revolution could be considered, today, as decidedly underpriced.