The success of Theta tokens (THETA and TFUEL) has recently been amazing. During the crash in March, TETHA traded for only $0.05, and TFUEL even less — for $0.0012 only. But at the end of May, their price soared to $0.43 and $0.019, respectively. What is the reason, and why are their subsequent results less impressive?
Thus, it is supposed to solve problems such as poor video quality, speed limits, and the overgrown role of intermediary resources. The latter receive a significant portion of the profits and impose their policies on content authors — which can be avoided through decentralization. Now, when large platforms like Twitch keep blocking even the most popular streamers, this advantage can attract many users.
Two types of tokens coexist in the system. According to the developers, this is necessary to ensure the security and diversity of conflicting functions. THETA is a control token. It is used for staking, for which the nodes receive Theta Fuel (TFUEL), and for managing the system through voting. TFUEL is an operational token introduced in 2019. It is used for working with smart contracts and payment transactions. During the launch of the main network, THETA owners received 5 new tokens each. Now THETA can be exchanged to TFUEL at the rate of “1 to 10”. TFUEL can also be obtained while watching streams on the THETA.tv platform.
Initially, the platform was operated on Ethereum, but in 2019, the transition to a private blockchain took place, and it was recently updated to version 2.0. As a result of the update, the so-called Guardian Nodes appeared, and the support of Multi-BFT was enabled. According to the roadmap, the support for non-video content, such as computer game patches, will also appear shortly.
Perhaps, even the pandemic helped the project indirectly. Against the background of increased load on servers, Netflix and Youtube had to reduce the quality of the video stream temporarily. But Theta was developed precisely to prevent such situations — which certainly attracted the attention even more.
Alas, for the May growth was followed by a noticeable decline, the pace of which is difficult to be attributed to only one correction. At the time of writing, the THETA course is $0.22, TFUEL is $0.008. One of the reasons for this could be a partnership with Google, which initially caused a huge surge of interest. It was announced that, along with other major players like Binance, Google has become one of the network's validators. However, it soon became clear that the corporation did not purchase THETA tokens, simply allowing to place them in a node on the Google Cloud infrastructure. Some people thought that this was not enough to talk about "partnership."
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