Solana One of the better-performing cryptocurrencies in 2024 has, perhaps unexpectedly, been Raydium (RAY). Apart from two notable instances where sharp moves to the upside were seen in March and July, the asset has been subject to range-bound price movements for most of 2024.
The wider crypto market bull run that kicked off in early November following the re-election of Donald Trump has had an outsized effect on RAY prices. Just for reference, since November 5, Bitcoin (BTC) prices have increased by 50.62% — in contrast, Raydium has seen a 70.24% surge in the same timeframe. This has brought returns since December of 2023 up to 672.37%.
At press time, RAY was trading at $5.60 and has seen a strong 78.16% increase in volume in the last 24 hours alone. A lot of our readers might not be familiar with this digital asset — even accounting for the impressive returns that we’ve mentioned, RAY is only the 74th largest cryptocurrency in the world, with a market capitalization of roughly $1.63 billion, per CoinMarketCap.
Knowledge is power, after all — and apparently, it can also be quite profitable. This latest rally has put Raydium in the crypto community’s spotlight — here’s what Finbold readers should know about this potentially lucrative investment.
Raydium is a decentralized exchange — and RAY is a crucial part of it
Raydium is a cryptocurrency platform that allows users to trade directly with one another — no middleman is involved. The platform is built on the Solana (SOL) blockchain, ensuring that transactions are both quite cheap and fast.
RAY is the platform’s native token — it is used to pay transaction fees, provide liquidity for the exchange, as well as for staking. In exchange for these activities, users are generally awarded additional RAY, discounts, or voting rights regarding the platform’s development.
As an exchange, Raydium has seen quite the uptick lately — in Q3 2024, it secured the majority of Solana’s DEX volume, surpassing even Uniswap. Solana, in turn, accounts for roughly 50% of global DEX volume. In November, the platform accounted for more than 60% of Solana’s daily trading volume, per crypto intelligence company Messari.
The ongoing bull run was certainly a favorable tailwind — but it was the beginning of alt season and the shift toward meme coins that has truly cemented Raydium as a force to be reckoned with.
Meme coins have driven 65% of the platform’s monthly volume — and with most analysts expecting alt season to last for quite a while, it’s likely that we haven’t seen the last of RAY’s moves upward.
about Raydium
Raydium is a decentralized exchange (DEX) built on the Solana blockchain. It’s designed to provide high-speed and low-cost trading experiences for users.
Key features of Raydium:
- AMM (Automated Market Maker): Raydium uses an AMM model to facilitate token swaps. This allows for decentralized trading without the need for traditional order books.
- Serum Integration: Raydium integrates with Serum, another Solana-based DEX, to provide access to deeper liquidity pools and better price execution.
- High-Speed Transactions: Built on Solana, Raydium offers fast transaction speeds and low fees, making it efficient for traders.
- Yield Farming and Staking: Raydium provides opportunities for users to earn rewards by providing liquidity to pools or staking their RAY tokens.
- Cross-Chain Interoperability: Raydium aims to facilitate seamless token swaps and interactions across different blockchains.
RAY Token:
RAY is the native token of the Raydium ecosystem. It’s used for various purposes within the platform, including:
- Governance: RAY holders can participate in governance decisions and vote on proposals that affect the protocol.
- Fees: A portion of transaction fees on Raydium is used to buy back and burn RAY tokens, reducing the circulating supply.
- Incentives: RAY is used to incentivize liquidity providers and other participants in the Raydium ecosystem.
Raydium is a significant player in the Solana ecosystem, offering a range of features and benefits for traders and investors. However, as with any decentralized finance (DeFi) platform, it’s essential to conduct thorough research and understand the risks involved before participating.
Disclaimer ||
The Information provided on this website article does not constitute investment advice,financial advice,trading advice,or any other sort of advice and you should not treat any of the website’s content as such.
Always do your own research! DYOR NFA
Coin Data Cap does not recommend that any cryptocurrency should be bought, sold or held by you, Do Conduct your own due diligence and consult your financial adviser before making any investment decisions!
Leave feedback about this