INJ Price Poised to Grow: Injective’s Staking Amount to Reach 50% of Supply
The staking amount of INJ tokens nears half of its total supply, suggesting community strong confidence and commitment to the Injective Protocol.
New data indicates an upward trend in the monthly staking volume of Injective Protocol’s token (INJ), surpassing 47 million INJ as of January 14. This volume accounts for 47.7% of INJ total supply. The staking Annual Percentage Rate (APR) currently sits at around 15.96%.
Additionally, data shows that the number of delegates have rallied since mid-November last year. In response to the monthly analysis, Injective Protocol affirmed that a half of INJ total supply will soon be staked. With so many tokens locked up, the overall supply that can trade is much lower.
More Demand Coming?
The high staking rate potentially leads to increased demand and positive momentum. Moreover, the combination of increased staking and delegates strengthen the Injective network by incentivizing node operation and securing the blockchain.
The news came after Injective announced it successfully launched its Volan mainnet upgrade on January 11.This major upgrade focuses on several areas, including real-world asset (RWA) module, interoperability capacities, enterprise-grade scalability, oracle feed design, token economics optimizations and burn enhancements.
Notably, the RWA module introduces the world’s first RWA module for creating and managing permissioned assets, supporting customized options and compliant access for financial institutions. Moreover, the upgrade of the burning mechanism will make INJ token become increasingly deflationary over time.
The previous updated token burning mechanism occurred last year, which allowed projects and protocols to choose to participate by contributing part or all of the fees or profits they collect from activities on the platform. These contributions are then organized into an INJ token burn auction. The amount of INJ burned in each session aligns proportionally with the value of these contributions, fostering a gradual decrease in INJ supply over time.
Apart from internal developments, the Volan upgrade also aims to broaden wallet access to dApps. Injective community members are encouraged to participate in governance through staking INJ.
The price of INJ saw a remarkable surge in December, skyrocketing from around $17 to $44.8. Last week, the crypto set its new record high of $45.2. INJ is trading around $38.5 at current prices. With more interest in DeFi coming, these tokens may rise further in 2024.
INJ Listed on Hong Kong Crypto Index
The Hong Kong Virtual Asset Rating Agency (HKVAC) has released the latest updates to its cryptocurrency index, effective from January 19. According to the latest update, Injective (INJ) will be listed to the crypto index, together with Internet Computer (ICP), Near (NEAR), Optimism (OP), Injective (INJ), and Immutable (IMX). In contrast, the ageny will delist TrueUSD (TUSD), Binance USD (BUSD), Hedera (HBAR), Filecoin (FIL), and MakerDAO (MKR).
Moreover, Solana (SOL) will join the HKVAC Global Large Cryptocurrency Top 5 Index and Weighted Index while Avalanche (AVAX) and Tron (TRX) will be added to the HKVAC Global Large Cryptocurrency Top 10 Index and Weighted Index.
As noted in the previous update, HKVAC replaced USD Coin (USDC) with XRP in the HKVAC Cryptocurrency Global Large Top5 Index. Noteworthy additions in that update encompassed HBAR, MKR, and Quant (QNT) in critical large market cap cryptocurrency indices, while the removal of Cryptonex (CNX), ICP, and HEX tokens took place.
Functioning as a Hong Kong virtual asset rating agency, HKVAC strives to present a comprehensive depiction of virtual assets in Hong Kong with support from influential figures. The inclusion of Injective in HKVAC’s index is a positive development with the potential to increase visibility, credibility, and investor interest.
However, concerns have arisen within the local community regarding the index’s benchmark, as the listed tokens are considered securities by the U.S. Securities and Exchange Commission (SEC).
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Filed under: Bitcoin - @ January 16, 2024 9:18 am