Decred Price Prediction: Everything that You Need to Know
Officially launched in February 2016, Decred was the brain-child of Company0 CEO, Jake Yocom-Piatt. Jake’s desire to build Decred was inspired by the issues embedded in Bitcoin’s system of governance. Jake described the system as an “informal oligarchy,” as he noted that developers employed by Blockstream were opposed to adding features that would make Blockstream’s sidechains useless. Thus, Jake designed Decred in a way that solves these critical issues and provides a progressive, open, and self-funding digital currency with a system of community-driven governance infused into its blockchain.”
What is Decred?
Decred is a digital currency that has been designed to achieve a balance between miners and users of the blockchain. It utilizes a hybrid blockchain system that’s more robust than pure PoW (Proof-of-Work) or PoS (Proof-of-Stake) systems. On many blockchain platforms, the miners who operate the blockchain hold considerable influence over the users who often have relatively little say in how things work. However, Decred coin has made it possible for users to participate in the process without the need for expensive mining rigs. Their main focus is on open governance, community input, and sustainable financing and development.
DCR coin utilizes a hybridized consensus network that makes use of both PoW and PoS consensus mechanisms. This hybrid system generates a stable balance between the users of the network and its miners. It ensures that a small group of people cannot influence the flow of network transactions, or even make changes to the network without the consent of the larger community. At the same time, the network continuously funds its operation by earmarking 10% of each block reward in the Decred treasury towards funding future developments. This feature has many calling DCR crypto the most powerful altcoin in the crypto space.
DCR Price Prediction 2020: What Does The Price Depend On?
Decred’s value is dependent on a variety of factors. The cryptocurrency market is in a continuous state of development. Thus, prices tend to be extremely volatile. For instance, a closer look at the Decred price chart below reveals just how wildly DCR coin’s value can swing in a short time. This makes investing in any digital currency an extremely risky endeavor. However, for those who know what they are doing, it can be massively rewarding. Below are several factors that influence the DCR current price. They include:
- Its supply and the market’s demand for.
- Rewards issued to miners and network contributors
It’s Supply And The Market’s Demand
Supply is impacted by the number of Decred coins that the Decred blockchain allows to exist in circulation. Currently, this number is capped at 21 million Decred. Once 21 million Decred coins are in circulation, mining activities will cease. Demand on the other hand, will be influenced by the popularity of Decred; whether it’s practical and useful.
Even though Bitcoin is the most popular crypto today, there are tons of other digital assets vying for users’ attention. Decred is one of these coins, traditionally labeled “altcoins.” It has an impressive hybrid system that leverages both PoS and PoW, a community-driven governance system, and a self-funding platform. These features provide a major advantage for Decred over most other coins.
Rewards Issued to Miners & Network Contributors
Mining Decred can be quite profitable. This is because you can earn DCR tokens leveraging both the PoW and PoS systems simultaneously.
DCR Price Prediction 2020
Decred is an interesting cryptocurrency that has demonstrated impressive growth and enormous potential. Like other digital currencies in the crypto marketplace, the Decred price hit an all-time high in 2018, reaching a whopping $99.74 per token. At the time of this writing, the current DCR price stands at $12.93. Although the price has decreased since 2018, many people agree that DR is underestimated and has the potential to be a solid long-term investment. Even though Decred can’t outdo Bitcoin in a straight up DCR v. BTC fight, the core of its value is that it offers a more controllable model than Bitcoin.
Most people monitoring Decred expect its price to rise. Features such as Atomic Swaps, Lightning Network, and LN smart contracts may propel Decred way ahead of its competitors. These features may at the very least stabilize DCR’s price without allowing any significant drops. According to our prediction, we expect the price of Decred to hit $10.405 by the beginning of June, $9.65 by the beginning of July, $9.07 by the beginning of August, $10.6 by the beginning of September, $11.467 by the beginning of October, and eventually $12.263 by the beginning of November. Judging by the numbers, the coin’s future seems bright and should be in any traders list of coins worth investing in.
Decred Long-Term Price Prediction
Will Decred ever go head-to-head with giants such as Bitcoin and Ethereum? Who knows. But for now, we can say with confidence that if the team behind DCR forges on with its proposed roadmap, then it has a bright future. However, for now, you should expect some ups and downs as the coin slowly climbs to its proposed targets. According to Coinkiller’s forecast algorithm, the price of DCR will be $78.22 at the same time next year, $131.55 in 3 years-time, and $270.22 in 5 years-time. Their reasoning for this is that Decred will continue to evolve and grow into everyday use, so much so that the price will rise dramatically in the coming years.
Where to Buy DCR?
There are two ways that you can purchase Decred as advertised on the Decred official website. These include:
- Via OTC traders
In case you are wondering where to buy Decred tokens, cryptocurrency exchanges are a great place to start. However, I should provide a word of caution here. We recommend that you do careful research before you proceed to purchase coins on any exchange. While exchanges may seem similar, the services and security they offer can vary greatly.
If you do choose to make use of an exchange, note that you can purchase a digital currency with fiat money. The other option is to swap one crypto for another, such as converting DCR to ETH. The best DCR coin exchange that we can recommend is ChangeNOW. Here’s a step-by-step tutorial on how you can buy DCR on ChangeNOW.
Step 1: Proceed to the ChangeNOW homepage. There is an on-page converter that helps you determine the amount in fiat or crypto that you need to make any DCR purchase. If you are using USD, just use the DCR to USD converter and you’ll easily find out how much money you need. If you are using Bitcoins, just use the DCR to BTC converter to find out how much you need as well.
Step 2: Enter the DCR coin wallet address where you would like to receive your tokens.
Step 3: Ensure that all the information submitted is correct. Remember that all steps after this step are irreversible. Therefore, make sure that everything is in order. When you are ready to proceed, click “confirm.”
Step 4: Once you confirm the transaction, DCR tokens will be sent to the address shown on the screen.
OTC trading allows you to buy and sell Decred straight to or from a trader. Both of you agree on a fixed fee for a quantity of DCR and conduct the exchange off any exchange platform. It’s an easy and fast way to convert Decred to USD in case you want to sell to another trader. The downside for anyone buying Decred is that the minimum amount for OTC trading is $100,000. This cuts out small-scale buyers or holders.
For most cryptocurrencies employing a proof-of-work system, miners tend to maintain a considerable advantage over the average users of the blockchain. However, with Decred, things are a little different. Decred’s blockchain is more fair and community-driven. This enables the wider Decred community to become an essential part of the project. There is no limit to what can be achieved through this unique technology. At the moment, Decred is not a fully finished product, so it may take a while before Decred can hit the highs of Bitcoin and Ethereum. Nevertheless, it’s a coin worth investing in both for 2020 and the long-term.