NFTS ARE COMING TO INSTAGRAM 2.0
Meta's Instagram will dive into the lucrative world of NFTs with a twist
Throughout 2022, numerous companies have partnered with Polygon, such as Disney, Coca-Cola, and now Meta, looking for ways to make transactions faster and cheaper.
This is where the real opportunity for investors lies: Polygon is down more than 60 percent from all-time highs, but it has had arguably the best year of all blockchains in terms of results. If companies continue to notice what it offers in the coming years, a return to all-time highs seems likely as demand increases.
There is another beneficiary in the midst of this news. Known as Arweave (AR -12.21 percent), this blockchain will be used by Instagram as a decentralized storage solution to store creators' digital collectibles. As with Polygon, investors can purchase the AR token as a means to invest directly in the Arweave blockchain.
Like Polygon, there are a few features that made Arweave a compelling choice to be part of Instagram's new NFT feature. The first, perhaps, is the permanence of Arweave. All data stored on Arweave stays there forever.
Moreover, the capacity of Arweave's blockchain is virtually infinite. Most importantly, because Arweave uses a blockchain and is inherently decentralized, user data remains anonymous, censorship-resistant, and immutable.
The decision to use Arweave is one of the first examples of how a large technology company like Meta is exploiting its potential. However, in the blockchain world, Arweave has been recognized as an innovator for some time now. Cryptocurrencies such as Cosmos, Polkadot, Avalanche, NEAR, Solana and The Graph all use Arweave to store transaction data. In this way, they help make their blockchains less cumbersome and more streamlined. The potential use cases for Arweave in the coming years seem endless in a world of ever-increasing data.
As a result, Polygon and Arweave have soared since the news broke. Polygon is up nearly 40 percent and Arweave posted a gain of nearly 60 percent in a matter of hours, trading as high as $17, but has since returned to around $10. However, despite these gains, Polygon is still well below its all-time highs and Arweave is down nearly 90 percent from its peak of about $85.
1st article | 2nd article
Comments