The issues voiced in regards to the consensus mechanisms of Bitcoin (BTC) and Ethereum (ETH) have performed an element within the sideways worth motion each property have seen over the previous two months, opening the door for different competing initiatives to achieve consideration. 

One undertaking that managed to beat the sideways motion out there and rally to a brand new report excessive on July 10 is Constellation (DAG), a protocol that makes use of a directed acyclic graph structure to realize a consensus that’s theoretically able to infinite scaling.


Information from Cointelegraph Markets Pro and TradingView reveals that the worth of DAG rallied 353% from a low of $0.037 on June 22 to a brand new report excessive at $0.17 on July 10.

DAG/USDT 4-hour chart. Supply: TradingView

Three causes for the robust displaying from DAG embody the discharge of a functioning decentralized trade, an increasing listing of world companions who make the most of the Constellation community to handle information and the community’s capability to supply low-cost, extremely scalable transactions.

DeFi launch brings yield to stakers

The lately launched Lattice Alternate (LTX) is an automatic market maker-based decentralized trade (DEX) that makes use of Constellation’s Hypergraph community to supply a “near-zero payment and horizontally scalable decentralized community.”

Within the path few months, the undertaking has added yield farming for LTX token through liquidity provision on Uniswap or staking the token instantly on the Lattice Alternate for a calculated APY of 155%.

DAG holders may also take part within the community by staking tokens on a state channel to assist enhance the community’s transaction per second (TPS) functionality, or through the use of DAG tokens to run a node on Constellation’s Hypergraph Protocol to be able to validate information and transactions and obtain rewards paid in DAG.

Partnerships spotlight Constellation’s real-world utility

Constellation’s rising listing of ecosystem companions is one other signal of the undertaking’s robust fundamentals.  

Constellation ecosystem companions. Supply: Constellation Network

Notable enterprise partnerships embody Amazon Net Providers and the United States Airforce and the undertaking has additionally established sector-related partnerships with Chainlink (LINK) and KuCoin trade.

The introduced partnership with Liechtenstein Cryptoassets Alternate (LCX) was additionally a major growth for the Constellation ecosystem because the trade agreed to assist the itemizing of DAG together with future tokens created utilizing the Constellation Community’s L_0 Token Commonplace.

Sooner transactions, decrease prices

Not too long ago, Bitcoin and Ethereum have fallen below elevated scrutiny for his or her environmental prices and excessive transaction charges. This led buyers and builders to shift their consideration to initiatives like Solana and layer-2 options which provide sooner transaction speeds.

Only a few months in the past, merchants and blockchain initiatives have been crippled by excessive gasoline charges on the Ethereum community, and which means any undertaking that provides safe, low payment transactions with a aggressive TPS has the chance to thrive.

The brand new ‘Stargazer’ pockets interfaces with Lattice and it helps zero-fee person-to-person transactions on the community.

DeFi platform comparability. Supply: Twitter

Because the cryptocurrency neighborhood prepares for the upcoming London exhausting fork on Ethereum, the destiny of competing layer-one and layer-two options stays up within the air as customers wait to see if the improve results in a major discount in charges. If the scenario doesn’t noticeably enhance, strengthening fundamentals and the potential of filling a rising demand area of interest might bode effectively for DAG worth sooner or later.

The views and opinions expressed listed here are solely these of the writer and don’t essentially mirror the views of Each funding and buying and selling transfer entails threat, you must conduct your personal analysis when making a call.