Bybit Arbitrage is a trading tool that simplifies arbitrage trading by capitalizing on funding rate and price differences.

If you're seeking consistent returns with minimal risk, Bybit Arbitrage is the perfect ally.

 This robust tool empowers you to generate regular profits with minimal risks by capitalizing on price disparities across different markets. Its user-friendly interface lets you easily spot and exploit these differences, so that you can execute flawless arbitrage trading in the crypto market with confidence. Read on to learn how Bybit Arbitrage makes arbitrage trading an effortless way for you to achieve low-risk gains.

 is the buying and selling of the same or similar asset(s) at the same time across different markets to earn from slight price deviations. This act of purchasing an asset at a fixed price — while simultaneously selling it at a higher price — allows a trader to instantly make profits without any risks. 

While arbitrage trading has long been a staple in traditional financial markets, such as stock and forex, the advent of crypto trading has propelled arbitrage trading to new heights — thanks to the heightened volatility of the crypto market. Additionally, unlike traditional stock markets, crypto markets are traded 24/7, offering more opportunities for arbitrage traders to reap profits from the price gaps across exchanges and markets. 

 across exchanges or within a single exchange. Keep in mind that if you opt to arbitrage trade across different platforms, accessing your profits may prove to be complex, due to the need to transfer your assets between the exchanges, which can take up to several days to complete. On the other hand, arbitrage trading on a single platform is more straightforward — but more competitive as well.

There are multiple arbitrage trading strategies, but the most common ones in the crypto market include funding rates arbitrage, spot-futures arbitrage and futures arbitrage. 

Funding rates arbitrage allows traders to profit from variations in funding rates between 

 contracts. In contrast, spot-futures arbitrage enables traders to profit from price disparities between the spot and 

 for the same asset. Meanwhile, futures arbitrage involves profiting from price discrepancies between futures contracts with different expiration dates.

Bybit Arbitrage is a trading tool that helps traders identify arbitrage trading opportunities in two ways: funding rate and spread. 

The user-friendly interface organizes trading pairs based on either funding rates or spreads in different markets, so that traders can easily spot disparities in funding rate or price across the markets at a glance. 

Bybit Arbitrage is exclusively available to 

 mode. It facilitates arbitrage trading for USDT Perpetual, USDC Perpetual and USDC Futures contracts, thereby allowing you to enjoy arbitrage trading opportunities between USDT 

Spot pairs and USDT Perpetual pairs, or USDC Spot pairs and USDC Perpetual/Futures pairs. 

The Funding Rate Arbitrage feature exploits differences in funding rates between the Spot and Perpetual/Futures markets on the Bybit exchange. With the Funding Rate feature, traders can earn funding fees while simultaneously managing their positions in order to minimize potential losses and maximize gains through positive and negative arbitrage strategies.

Funding rates for the different trading pairs are listed in descending order. This helps traders to easily leverage the interest rate differential between Spot and Perpetual/Futures contracts.

The Funding Rate feature also allows you to 

 orders (with the same amount, but in different directions) in both Spot and Perpetual/Futures, which enables you to earn funding fees while mitigating potential losses (with potential gains).

holders in Futures/Perpetual contracts pay short position holders. You can leverage this situation by executing a positive arbitrage, which involves

 buying a Spot pair and taking a short position in 

Perpetual to earn steady funding fees. Alternatively, if the funding fee is negative, short position holders pay long position holders. In this case, you would perform a negative arbitrage by shorting a Spot pair and going long in a 

The Spread Arbitrage feature helps traders capitalize on price discrepancies between different markets for the same cryptocurrency asset. With this feature, you can easily compare the market prices of an asset traded across various trading pairs and contracts. While Spread Arbitrage may be similar to spot-futures arbitrage, it offers more arbitrage opportunities since it covers a broader range of markets, unlike spot-futures arbitrage, which targets specific markets

With Spread Arbitrage, the aim is to profit from the eventual price convergence as you buy the crypto asset at a lower price in one market (e.g., Spot) and sell it at a higher price in another market (e.g., Futures). 

As the futures price will eventually align with the Spot price when the contract expires, you’ll be able to take advantage of the simultaneous price disparity for the same asset.

In order to trade with Bybit Arbitrage, you’ll first need to 

. Currently, Bybit Arbitrage is exclusively accessible via the 

 for the web version, which will be launched soon!

Bybit Arbitrage offers multiple advantages.

Bybit Arbitrage is a powerful tool for traders seeking low-risk gains in the volatile crypto market. With its intuitive interface and exclusive features, traders can effectively leverage funding rate and price differences to maximize profits while minimizing risks. Bybit Arbitrage offers diverse benefits that make arbitrage trading more accessible and profitable than ever before.

Beginner

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How to Use Bybit Arbitrage to Achieve Funding Rate and Price Difference Arbitrage

An Ethereum Spot ETF is an exchange-traded fund that tracks the real-time price of Ether and allows investment through traditional stock markets. Learn more.

Earlier this year, the U.S. Securities and Exchange Commission (SEC) gave the green light to a number of Bitcoin Spot exchange-traded funds (

), sparking optimism that similar approval might be extended to Ethereum Spot ETFs. Adding to the excitement, news of Ethereum Spot ETF approval in Asia’s first region has heightened anticipation for a potential approval and launch in the U.S. However, despite the buzz, some industry observers remain skeptical. This article explores the potential impact of Ethereum Spot ETF approval on the broader crypto market.

An Ethereum Spot ETF is an exchange-traded fund that tracks the real-time price of 

 and allows investment through traditional stock markets. It offers investors a way to invest in Ether without having to actually buy or hold the asset itself.

An Ethereum Spot ETF operates by pooling investor funds to purchase Ether, which is held in reserves by the ETF.

Rather than navigating the complexities of 

 and exchanges, investors buy shares of the ETF through regular brokerage accounts, just as they would with traditional stocks. These shares represent a stake in the Ether held by the ETF, providing a simple and regulated way to own Ethereum indirectly.

In order to create ETF shares, authorized participants — usually financial institutions — purchase Ether in exchange for ETF shares of equal value, which are then sold onto the market. An authorized participant can also redeem shares by buying enough ETF shares and exchanging them for Spot Ether and taking those shares away from the market.

As a result, the price of ETF shares tends to fluctuate in line with Ethereum's Spot market price. If it didn’t, there would be an 

 opportunity to profit from any mispricings in the ETF price. However, it’s still theoretically possible for the ETF to trade at different prices simply because of supply-and-demand factors.

ETFs as securities are regulated by the SEC, so an Ethereum Spot ETF provides a regulated product that investors can purchase. By contrast, Spot Ether is being investigated by the SEC to determine whether it should be classified as a security, and currently lacks regulatory clarity. 

This setup offers numerous benefits for investors. It simplifies the investment process, allowing anyone with a brokerage account to invest in Ethereum without setting up a crypto exchange account or managing storage. This can save time and give some investors greater peace of mind. An ETF structure also provides the regulatory clarity that institutional investors need, which can enhance liquidity and trading volumes.

Security is paramount in the realm of cryptocurrency, and the ETF provider takes it seriously. To safeguard Ether holdings, ETF providers employ a combination of 

 and insured custodial services. As a result, they could potentially minimize the risk of theft or loss that individual crypto investors may encounter.

The Ethereum Spot ETF bridges traditional finance (TradFi) and the exciting (but still growing) cryptocurrency space. It offers the security and ease of trading associated with traditional financial markets while opening up investment opportunities in Ethereum for a broader audience.

Both excitement and regulatory scrutiny characterize the current landscape of Ethereum Spot ETFs. Major financial institutions like 

 and Fidelity have submitted applications for these ETFs to the SEC. Still, decisions have been delayed, with the next 

If applicants begin updating their filings by April, this may indicate they’re incorporating feedback from the regulator, which could be interpreted as a positive sign. However, a lack of updates to filings could indicate that the SEC isn’t maintaining the same level of discussions with issuers that led to its 

Another challenge is that the SEC is still investigating whether Ether should be classified as a security, especially since it transferred its consensus mechanism to 

. Earning rewards through staking could meet criteria that determine whether an asset is a security. Ethereum also provides a foundation for 

 (DeFi), which could add to the complexity of the review. 

Analysts' opinions vary regarding the likelihood of ETH ETF approval. One Bloomberg analyst, for instance, 

 chance of approval by May. However, the SEC's recent silence might hint at a less favorable outcome.

The approval of Ethereum Spot ETFs is eagerly awaited because it could mirror the impact of Bitcoin Spot ETF approval, which led to an influx of capital in the market. It would mark a pivotal milestone, likely to attract increased investment and further validate cryptocurrency. The crypto community is closely monitoring these developments, as the coming months will be crucial in shaping the future of Ethereum investment opportunities.

 was recently given to the first Spot Bitcoin and Ethereum ETFs in one of the Asian regions. This landmark decision positions the city as a trailblazer in the Asian financial landscape, embracing the integration of popular cryptocurrencies into mainstream investment avenues.

This milestone has sparked excitement within the crypto community, indicating a positive reception toward digital assets in that region. Analysts believe this move could set a precedent for other jurisdictions to follow, potentially leading to broader acceptance and recognition of cryptocurrencies as a legitimate asset class.

These newly approved ETFs are expected to attract a wave of fresh investors — both retail and institutional — by offering a regulated and familiar investment option for exposure to cryptocurrencies. This growth of interest could increase stability in the crypto markets, possibly influencing the price movements of Bitcoin and Ethereum in the region.

The timing of this approval is noteworthy, considering that the U.S. could also be on the cusp of approval of an Ethereum Spot ETF. If this proactive approach inspires other financial centers beyond the U.S. to consider similar approvals, it will palpably contribute to the global expansion and maturation of the cryptocurrency market.

Current Impact of Ethereum Spot ETF Applications on the Crypto Market

The buzz surrounding Ethereum Spot ETF applications is noticeably affecting the crypto market, particularly Ethereum's price and overall sentiment. Submission of new ETF applications to the SEC has coincided with an 

, pushing it to around $3,700. This uptick reflects the market's optimism and positive sentiment regarding the potential for easier access to Ethereum. However, the market has exhibited some volatility as well, with Ether dropping over 14% in a week in early April. 

Despite these fluctuations, there's a general expectation that ETF developments would significantly impact Ethereum's price dynamics, similar to what was observed with the recent Bitcoin Spot ETF approvals. Moreover, the recent approval of cryptocurrency ETFs has further fueled optimism and positive expectations for increased investment inflows and a broader recognition of cryptocurrencies.

To sum up, the current impact of Ethereum Spot ETF applications on the crypto market is marked by heightened anticipation along with some volatility. Ethereum's price is responding to changes in the regulatory landscape and the potential for broader adoption of cryptocurrency-based investment products.

What Will It Mean if an Ethereum Spot ETF Application Is Approved?

The approval of an Ethereum Spot ETF application by the SEC would mark a significant milestone for the cryptocurrency market, especially for Ethereum. Following are some of the potential benefits.

Drawing parallels to the earlier Bitcoin Spot ETF approvals, some pundits expect an initial surge in Ethereum's price following the expected announcement, reflecting renewed confidence and interest in Ether as an asset. Over the long term, Ethereum Spot ETFs could contribute to growth and stability, similar to the impact that Bitcoin Spot ETFs have had on BTC’s price.

However, there are key differences to consider. The SEC's cautious stance on Ethereum — notably because of its PoS consensus mechanism — could influence the approval process and subsequent market reactions. In addition, Ethereum's unique ecosystem, including its role in DeFi and 

, could lead to different market responses as compared to those following the Bitcoin Spot ETF approvals.

The potential approval of Ethereum Spot ETFs is a crucial turning point for the crypto market, promising easier access, increased investment and greater legitimacy. Although short-term price fluctuations may occur, the long-term effects could echo the positive growth recently witnessed with Bitcoin Spot ETFs, promoting a more mature investment environment for Ethereum.

Intermediate

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Ethereum Spot ETF Approval: Its Impact on Crypto Markets

Grayscale Investments has filed a registration statement on Form S-3 with the SEC to register shares of its Grayscale Ethereum Trust (ETHE) as part of efforts to uplist the trust to a spot Ethereum ETF on the NYSE Arca.

Daily Top Performer — Automata Network (ATA)

The SPX index is up 0.02%, investor focus on earnings and U.S. interest rates continues. The broader cryptocurrency market is down, with Bitcoin and Ether dropping by 3.78% and 2.41%, respectively in the past 24 hours.

Today’s outperformer is ATA, which jumped 8.9% after Automata launched Multi-Prover AVS on Eigenlayer Holesky Testnet to boost decentralized security.

Automata Network (ATA), founded in 2019, is a Web3 platform providing private web services for decentralized applications, focusing on secure, anonymous transactions and governance. Key features include a private voting system and MEV minimization to enhance user privacy and security. Automata's Multi-Prover AVS, which utilizes TEE Coprocessors to enhance security, is now available on the Eigenlayer Holesky testnet. This system employs the TEE Prover as a secondary security measure in decentralized systems. Operators, restakers, and developers are encouraged to learn more about this advancement on their website.

Check Out the Latest Prices, Charts, and Data of 

Grayscale Investments, the world's largest crypto asset manager, has filed a registration statement on Form S-3 with the SEC to register shares of its Grayscale Ethereum Trust (ETHE) as part of efforts to uplist the trust to a spot Ethereum ETF on the NYSE Arca. This filing follows NYSE Arca’s application and is a crucial step in the regulatory process required for offering shares continuously upon approval. The shares will not be sold until the registration is declared effective, and this offering is subject to the Securities Act of 1933. Grayscale emphasizes that the trust, not registered under the 1940 Act, involves high risk and volatility, is focused solely on Ethereum, and does not offer direct investment in Ethereum.

BlackRock's spot bitcoin ETF, IBIT, has significantly impacted the firm's overall ETF flows, comprising 24% of its total. Eric Balchunas, Bloomberg's Senior ETF Analyst, highlighted the fund's success during a panel on Hong Kong's newly approved spot crypto ETFs. Since its launch in January, IBIT has attracted consistent inflows for over 70 days, accumulating more than $18 billion in assets under management and becoming one of the most successful ETFs in history. The IBIT fund is second only to Grayscale's ETF in terms of assets but has seen remarkable trading volume along with other spot bitcoin ETFs, totaling nearly $230 billion.

Gamium, supported by Parachain Ventures, DAO Maker, and Mr. Beast among others, has its token $GMM listed on major exchanges with a fully diluted valuation of around $43M. The platform is promoting a beta points airdrop to reward early users, where participants can sign up and earn points through various activities like launching an MST, trading, daily logins, and referrals. Details on point earning and distribution are available in a dedicated blog post. However, potential users are cautioned to research due to the inherent risks associated with DeFi protocols and trading.

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Grayscale Files for SEC Registration to Convert Ethereum Trust into a Spot ETF on NYSE Arca

Sharky is a Solana-based lending and borrowing DeFi solution that utilizes NFTs as loan collateral.

Cryptocurrency lending and borrowing has always been a prominent niche of the decentralized finance (

) industry, championed by platforms like Aave (

). A much rarer variant of DeFi borrowing and lending is based on non-fungible tokens (

Sharky.fi, or simply Sharky, is a Solana-based lending and borrowing protocol that uses NFTs as collateral to facilitate the DeFi processes on the network. By putting up NFTs as collateral, users can borrow funds via short-term loans in Solana's native SOL tokens. For lenders, the platform is also a great way to earn high APY rates in just 7 to 14 days, while having their loaned funds protected by the NFTs.

Having established itself as the leader of NFT-based lending and borrowing on Solana, the Sharky project has ambitious plans to integrate two more highly popular crypto asset types — Ordinals and real-world assets (RWAs).

 (SHARK) is a lending and borrowing app on the 

 (SOL) blockchain that lets users provide NFTs as collateral to access short-term loans in SOL tokens.

 Lenders can view NFTs offered as collateral, and make loan offers secured by their preferred NFTs.

Although Sharky's public launch on the Solana mainnet dates back to April 2022, the platform operated without its 

, SHARK, for its first two years in the market. The SHARK token was eventually launched in mid-April 2024.

Using its innovative business concept, Sharky quickly established itself as the leader of NFT lending. According to the project’s team, Sharky has a 90% share of the NFT lending market on Solana and has issued more than 1.4 million NFT loans.

Following the recent launch of its SHARK token, the project aims to integrate additional crypto asset types in the future. These include 

 (RWAs). Another ambitious product type considered for future implementation on the platform is uncollateralized consumer loans.

As a lender on Sharky.fi, you can browse NFTs from a variety of collections offered on the platform and make a loan offer for potential borrowers. The collections available on Sharky include the platform's own 

 collection, Mad Labs, Solana Monkey Business (SMB), Tensorians, Namaste and more. Lenders’ offers are shown to potential borrowers on the platform, who then choose the best offer based on their borrowing needs.

The NFT provided by the borrower is used as collateral, and the lender makes their funds available in SOL tokens. Lenders earn interest on the funds, with the loan duration typically between 7 and 14 days. Interest rates, naturally, will vary depending upon on-platform activity. Usually, 

 for active loans range between 120% and 220%, though they can go up to 360%. As such, Sharky loans are an excellent way for lenders to earn some serious interest quickly. If a borrower fails to repay the loan in full, the NFT used as collateral is transferred to the lender.

For borrowers, the Sharky platform is an excellent opportunity to access SOL funds for short-term needs quickly and flexibly using their NFTs, rather than cryptocurrency, as collateral. The best part of the platform's borrowing mechanism is that you remain in possession of your NFT during the loan period as a borrower. While your NFT is used as collateral, its ownership isn't transferred to the lender while the loan is active. The ownership transfer may only happen at the end of the loan period if you fail to repay the loan in full.

Maintaining the ownership of your NFT allows you to keep using it on various DeFi and other apps for purposes such as staking or satisfying 

 eligibility requirements, among other potential uses.

Sharx is the platform's own NFT collection. One of the most popular collections used in Sharky's lending and borrowing operations, sharx is made up of 10,111 adorable shark characters. Purchasing a sharx NFT not only opens up borrowing opportunities but also entitles you to upgrade or boost your Chowder points, rewards that are used in Sharky's loyalty program. 

As a sharx holder, you're entitled to the airdrop of Sharky.fi’s governance token, SHARK, and you can also stake sharx to earn FISHY tokens.

The newly launched SHARK token is envisioned as the platform's governance asset, with a total supply of 100 million. As of the time of writing in late April 2024, only some specific details on the actual governance processes powered by SHARK are available. Thus, the token's actual use in on-platform governance is expected to be outlined in the future.

SHARK will be airdropped in two phases, with 4.25% set aside for the first phase and 3.5% for the second. Of the former, 70% is allocated to its community, with the remaining 30% is distributed to partner communities. Meanwhile, the second phase is held as a staking pool event with a lockup duration of 30 to 60 days exclusively for OG, new users and sharx holders.

 of Sharky. Unlike the brand-new SHARK token, FISHY was issued back in 2022 at the start of the platform's operations. FISHY can be earned by staking sharx NFTs, accumulating reward points and participating in Sharky's social media campaigns. The token can be used to boost sharx NFTs, which in turn can earn you additional Chowder points. FISHY also gives you access to NFT raffles and auctions held on Sharky.

The SHARK token can be bought on Bybit through a Spot pair with USDT (

). Additionally, you can also take part in Bybit's current campaigns for the token for the chance to grab a share of the 

, which includes a Token Splash event featuring 456,000 SHARK through Apr 30, 2024, 9AM UTC, and a Lucky Draw with 58,000 SHARK in rewards through Apr 30, 2024, 9:59AM UTC.

Lending and borrowing using NFTs as collateral is a novel concept that has earned Sharky leadership positions in this niche. As more platforms adopting this business model emerge, the competition in the field is likely to intensify. However, as of now, Sharky remains the absolute leader of the Solana-based NFT lending and borrowing market. 

As NFTs experience a resurgence in popularity following the post-2021 dip, DeFi solutions that make innovative use of these assets, such as Sharky, stand to benefit. Later in 2024 and beyond, we’ll likely hear more about NFTs being used as legitimate collateral in crypto finance — a new trend helped to no small degree by the Sharky platform.

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Sharky.fi (SHARK): The Decentralized Platform for Instant NFT Loans

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Blockchain

Ergo is a type of secure blockchain based on DeFi functionalities and it combines the best features of Ethereum and Bitcoin. Find out about how it works here.

Deciding which crypto is right for your portfolio can be challenging when there are hundreds of options from which to choose. One project you might want to consider is 

, which is designed specifically to bridge the gap between 

. Investors have shown substantial interest in this altcoin, and it’s currently at a healthy price. If you’d like to place some of your money into ERG, it would behoove you to have a solid understanding of the Ergo platform and its many features.

 (DeFi) functionalities. Its purpose is to combine the best features of Ethereum with those that Bitcoin has to offer.

 (PoW) similar to the consensus protocol that Bitcoin uses to ensure its network is secure and 

 are available to accommodate DeFi. The security features were taken from Bitcoin, while the smart contracts and decentralized features came from Ethereum. If you want to 

 Ergo tokens, this platform uses a protocol referred to as "

," which is a substantially modified version of the Bitcoin mining protocol.

 created this crypto project. As a blockchain veteran who has been developing crypto-related software, Chepurnoy has written and published numerous papers on blockchain technology over the years. Prior to creating Ergo, he worked as a researcher at 

, an engineering and research company best known for creating 

, a fellow researcher at IOHK, to develop Ergo, which was officially launched at the beginning of July 2019. When this project first began, Chepurnoy stated that it was made to deliver extensive smart contracts as well as ample security features.

Ergo works by combining the top features of Ethereum and Bitcoin. The platform was designed to be a more efficient and secure financial contracts platform that offers comprehensive DeFi functionalities. Keep in mind that “decentralized finance” refers to applications that remove centralized banks from financial transactions.

The platform’s mining model is similar to that of Bitcoin and allows for the creation and validation of new coins. However, computer size is limited for mining operations, meaning that large mining farms that consume high amounts of carbon aren’t developed.

The Ergo platform also exists as a programmable blockchain similar to that of Ethereum. Since it’s programmable, the blockchain's able to host various 

 (DApps). Ergo provides this functionality without charging 

Developing DApps on Ethereum is challenging, since transaction fees differ, depending on current network congestion. This issue makes it practically impossible to estimate development costs. In comparison, developers know the exact amount they need to pay to develop an app on Ergo.

 smart contract language, allow for the creation of more complex and secure financial contracts, which Ergo’s team believes is necessary for the DeFi industry to advance in the coming years.

Every token that's hosted in a smart contract comes with an added layer of protection detailing when the token can be used, who can use the token and what conditions must be met before it’s used.

ErgoScript makes smart contract development simple with 

. The light nodes don't need to hold the full blockchain copy, or run on a 24/7 basis, which allows the platform to use less computing power and storage space. Because of these features, the platform is mobile-friendly.

Be aware that this platform doesn't use general-purpose programming languages, such as 

. Instead, ErgoScript makes code specifically for decentralized finance, which ensures the code is simplified and relatively easy-to-use.

Ergo offers an array of features that makes the platform a worthwhile investment. Along with the PoW model, Ergo also comes with no gas fees and a crowdfunding service known as ErgoRaffle. We discuss the latter below.

Ergo uses the PoW model to mine new coins and validate transactions. When it comes to this consensus mechanism, anyone who mines ERG can use multiple 

 on a single Ergo node. While the PoW model is effective, it also consumes a lot of energy, Bitcoin’s main issue.

Ergo, however, has mitigated this issue somewhat with its Autolykos mining algorithm. This algorithm is resistant to 

 and large mining pools, which makes the PoW model more efficient. In fact, anyone who wants to mine Ergo can do so with a standard computer and graphics card.

Ergo is set to mint its entire supply in the 26 years following its initial mainnet launch in 2019 — in other words, by 2045. Mining Ergo tokens is simple and straightforward. All that's required is for the mining to configure a standard node, which is possible if your graphics processor has at least 4GB of VRAM. However, 8GB of 

Since Ergo is based on the PoW consensus mechanism, miners are able to use multiple graphics processors on just one node. It's also possible to 

. However, the Ergo team recommends that miners select only small pools.

 types with full support. Two of them — 

 — are web-based. Only Yoroi supports native assets. The official 

 is likely the best one, since it provides 

 functionality, as well as scripts and native-asset support. A mobile version of the wallet can be found on 

Even though Ergo is a programmable blockchain that allows for the development of decentralized applications, its platform doesn't collect transaction fees. This feature has made Ergo popular among developers who create DApps.

As we previously stated, Ergo supports the creation of DApps that extend platform functionality. One DApp that was built on the Ergo platform is 

 protocol and is considered to be a decentralized 

 that effectively secures the privacy of each user by sending and receiving tokens in large batches before mixing them up. With this approach, tracking transactions is practically impossible. Another DApp built with Ergo is the 

, an NFT marketplace that runs hundreds of auctions.

, previously known as ErgoDEX, is the decentralized exchange that exists on the Ergo platform. However, that’s not all: Spectrum is also meant to be a native cross-chain ecosystem with new offerings. This specific DEX allows users to transfer their liquidity between Cardano and Ergo. Remember that Spectrum uses the 

 model to ensure that liquidity sharing is possible between these platforms.

 protocol. When a user performs a transaction on this exchange, they’re provided with incentives. The ecosystem’s various users include user-interface (UI) providers, liquidity providers, traders, miners and off-chain executors.

Over the years, the Bitcoin platform has 

 that have either been misplaced or lost altogether. Other projects have issues with token flow, since tokens can remain in wallets for an extended period of time without being touched, which means there aren't as many tokens on the market.

Ergo aims to mitigate this issue with a feature known as 

. This feature recycles unused and lost tokens so they can be placed back into circulation. When tokens remain untouched for a period of four years, miners can collect fees, which are considered to be incentives for effectively securing the Ergo network when 

With this form of rent collection, unused data is no longer a problem. Users can remove or transfer tokens before being charged fees. If they don't, users would pay the fee every four years to allow unused tokens to be mined.

 is a type of crowdfunding service created by Ergo, which allows users to raise money for a wide range of different projects. Examples of these projects include a charity donation, an academic study or a business plan. Once a raffle takes place, a lottery will occur, which results in one of the participants winning a portion of the raffle.

, is a platform designed to accommodate P2P lending and borrowing via the Ergo blockchain. Still in development, the team behind EXLE is raising funds to assist with the progression of the decentralized application. When the platform is in place, anyone who contributed to EXLE’s development can fund a loan, making it possible to enter a pool of lenders and earn returns from interest on the loan. Lenders are set to receive returns of 5% for every loan they assist in funding.

Already, EXLE has started providing loans with funds from ErgoRaffle. The recipient of one loan, Margaret Mama Gibby, received $2,500, which she will repay over a period of 12 months beginning in September 2022. 

An additional loan of $3,000 recently reached that amount with funds remaining from the initial loan. The borrower, Grace Lotoom, is establishing a cyber cafe with the funds, and will also start to repay the funds in September on a 12-month term. The team behind EXLE believes that nearly 20,000 borrowers will seek loans in the coming year.

Ergo has many distinct use cases, the primary being the creation of DApps. As mentioned previously, DApps such as SigmaUSD, Ergo Auction House and ErgoMixer all have different uses. For instance, SigmaUSD is a decentralized stablecoin that has been pegged to the U.S. dollar. On the other hand, the Ergo Auction House supports NFT auctions. By allowing different types of DApps to be created, Ergo's use cases will expand over time.

ERG is the token for the Ergo platform and is considered to be deflationary. It has a maximum supply of 97,739,925 ERG tokens. 

Block rewards have consistently been decreasing by 3 ERG per block ever since 2021 — two years after the token was launched. At the launching of this platform, block rewards were at 75 ERG. According to the original emission schedule, once eight years have passed, these rewards will reach zero. After which, miners will be compensated with the fees collected from transactions and Storage Rent. 

 was introduced on June 22, 2022 with alterations to the original emission curve. This plan allows for a percentage of block rewards to be placed in a remission contract such that it extends the schedule by 17.38 years to 2045. Current block rewards are at 63 ERG per block, and once the emission schedule decreases to 3 ERG per block, miners will receive the same amount of rewards until the remission contract depletes.

The current ERG price is around $3.17, which is up significantly from the $2.0377 price on August 10. The current market cap for this coin is approximately $101 million. More than 32 million ERG are in circulation today.

Ergo, an ever-evolving crypto platform, is currently developing a crowdfunding platform as well as a decentralized exchange. Additionally, the platform wants to continue growing for the foreseeable future. Ergo's road map is a lengthy one, with potential refinements that include refundable ICOs, private swaps and an ErgoPay feature. Because of the large number of features the platform is adding on a regular basis, the Ergo team believes that new users will be attracted to the platform, which could result in the value of ERG increasing.

There are many reasons why Ergo can be considered a good investment. The platform takes its strongest features from both Bitcoin and Ethereum, which helps it minimize potential problems. If your main goal when investing in cryptocurrencies is to use a platform that offers transaction privacy, Ergo could be a great investment. It’s not supported by venture capitalists, who prefer transaction transparency, which indicates that the platform offers ample privacy.

The growth of its token largely depends on community engagement and support from DApp developers. If you're unsure about the future growth potential of this token, the somewhat low price of ERG means you can add it to your portfolio without needing to make a sizable investment.

Ergo is a unique platform that offers valuable features and functionality that aren't readily available with other crypto projects. While Ethereum is also a programmable blockchain, it comes with high gas fees, a problem that Ergo deftly avoids. Whether you want to make trades with or mine ERG, the Ergo platform has plenty of existing use cases — with more to come.

What Is Ergo Crypto: Combining the Best of Bitcoin & Ethereum

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