One of the most publicized aspects of Digibyte (DGB) is that it is a true UTXO blockchain, and was never an ICO. But does that really matter, now that all altcoins are down by over 80% from their all-time highs?
Well, it actually does matter. That’s because in this bear market, most ICO cryptos that are reliant on ETH for funding run the risk of running out of money. If such a scenario plays out, and it’s becoming more plausible by the day, such projects are at a heightened risk of going to zero. They run that risk because as Ethereum, so will their capacity to raise capital requirement to achieve their project milestones. This in turn will lead to panic selling by investors, and in some instances the owners, further accelerating the drop.
This is a risk that cryptos like Digibyte will never have to deal with. That’s because Digibyte is generated by miners, through Proof-of-Work mining. This means that as long as there are miners are there in the market, Digibyte can never to zero. It’s the same thing with cryptos like Bitcoin (BTC) and Litecoin (LTC).
The fact that coins like Digibyte (DGB) cannot go to zero gives them a number of advantages in the market. The first one is in adoption. Since the perpetuity of these coins is guaranteed, businesses looking to adopt blockchain technology are more likely to adopt them, as opposed to ICO projects. No business would risk building its systems around a blockchain project that could disappear at any moment.
As such, Digibyte stands a good chance at adoption even at these depressing times, when cryptos are still deep in bear territory. Already Digibyte is showing signs of adoption in spite of the bear market. People in Venezuela are slowly taking up Digibyte as a payment method, and this is likely to grow into other countries with shaky fiat currencies.
On top of that, mineable coins like Digibyte inspire trust especially in a down market like this one. As such, if the market continues to drop, people will continue to push into bitcoin (BTC) and other coins that have an element of stability to them. As such, unlike projects that came to the market through ICOs, Digibyte stands a good chance to stabilize at some point, and start rising again as Bitcoin (BTC) starts to rise. It inspires investor confidence, based on the knowledge that there is no single individual or group of individuals that can take the money and fold.
With such fundamentals supporting it, Digibyte (DGB) makes for an excellent buy, now that the market seems to be near the bottom, with bitcoin getting strong support at $6000. In the next rally, Digibyte could emerge as one of the top gainers. It has miners backing it, and its gaining adoption as a currency too. If it breaks big in cyber security, then its long-term growth will be one of the most exemplary in crypto. Today’s massive surge where it pushed up by over 15% is a sign of things to come.