THORChain (RUNE): What is it? Is it a good investment?


THORChain is not just a crypto project, but one that strives to connect the ever-expanding universe of cryptocurrencies, and to keep it open, decentralized, and free.

RUNE, THORChain’s token, has considerable financial potential, and experts see its value growing explosively in the near future. 

How THORChain works under the hood is quite complex. Since the technical story is tricky even for most crypto enthusiasts, here’s a simple explanation of what it is and how it works. Also in this guide, you’ll 

you will find everything you need to know before making a knowledgeable investment decision in RUNE. 

What is THORChain?

THORChain is a ‘decentralized exchange protocol’. Quite simply, THORChain makes it possible to swap different cryptocurrencies with each other. So for example you exchange (part of) your Bitcoin for Ethereum. Or vice versa.

This is not new, you think? You can do that with Bitvavo, Binance, or Uniswap, right?

That’s true. However, there are a few substantial differences.

Unlike, for example, Bitvavo, which is a centralized exchange, or a bit further from Binance or Coinbase, THORChain does this decentrally. It is an autonomous protocol, not in the hands of a commercial party that wants to know everything about you. So nobody interferes with your transactions. 

Because it is permissionless, you as a user are not bothered by KYC: everyone can participate. That is important, especially for citizens in countries where the government increasingly bans cryptos, such as Nigeria.

Also, centralized custodians such as Bitvavo can go bankrupt or get hacked and you as a user simply lose your crypto. If you have been in the crypto world for a while, you will no doubt remember Mt. Gox, the world’s largest exchange at the time, was hacked in 2014 and lost half a billion dollars worth of Bitcoin.

For these reasons, decentralized exchanges ( DEXs ) like THORChain have been created. Uniswap is the best known of these. Most people are also familiar with Sushiswap and Pancakeswap. The big difference between THORChain and these other DEXs is that THORChain is a cross-chain exchange. So it is not built on – and limited to – one chain. Uniswap, which is built on Ethereum, only works within the Ethereum ecosystem. THORChain, on the other hand, is a loose, independent blockchain that connects others.

What is THORChain (RUNE) token?

RUNE is the token that powers THORChain. The RUNE infrastructure that powers THORChain is very complex and includes a wide variety of original and innovative solutions that make cryptographic transactions more efficient and secure, such as the Bifröst Signer module, state-of-the-way pins, and the TSS protocol. However, ordinary users don’t have to mess around with the tech specs: the entire platform is designed to be extremely user-friendly, so people using it don’t need to have any technical knowledge.

The RUNE token not only powers THORChain but also has some advanced features. It serves as the governance token of the THORChain platform and also helps improve its security by serving as a Sybil defense mechanism, preventing nodes with less than 1,000,000 RUNE from altering the THORChain network’s consensus process.

One of the most impressive features of the THORChain protocol is the fact that the platform is completely decentralized and not profit-oriented. All fees generated on the platform go directly to RUNE holders. There are no special incentives for THORChain developers as everyone is equally rewarded just for having RUNE.

The Brain Behind THORChain (RUNE) Protocol

The official stand of THORChain is that the RUNE platform does not have a CEO or executives in place. Instead, all platform development and operations run through Gitlab. In addition, all the personnel in charge of the project remain anonymous. Furthermore, a THORChain representative also stated that the anonymity of the project members is to protect the project and ensure its decentralization.

Key Features of Rune Token

Cross Chain Token Swap

To achieve cross-chain token swapping, THORChain employs a range of innovative technologies including state-of-the-art pegs, a state machine, the Bifrost signature module, and lastly, a TSS protocol. All technologies work to facilitate cross-chain token swaps efficiently. To make the platform more accessible to inexperienced users, all processes are behind the scenes to avoid complexity.

Security

The THORChain infrastructure is developed using the Cosmos SDK while powered by the Tendermint consensus mechanism. The essence of this is to safeguard the network from hacks. The protocol is further secured by a novel BFT proof-of-stake system that involves a large number of validators working together to propose and finalize transaction blocks.

Rune Token Backers and Strategic Partners

Behind the scenes, Rune has secured some investments from Delphi Digital and Zee Prime Capital.

Synthetix also is a strategic partner of THORChain. The partnership between Synthetix and THORChain allows both partners to strategically implement decentralized finance throughout the ecosystem, resulting in the birth of Synthetic Rune(sRune). sRune will also be included in the Synthetix ecosystem for better price discovery. Furthermore, it is also the first ETH-based asset of the RUNE token.

THORChain (RUNE) Current State of the Market

As of the time of writing, a Rune token is equivalent to $2.52 and ranks #59 on CoinMarketCap. It has a 24h trading volume of $166,794,005 and a Market Cap value of 831,946,287.

Where to buy THORChain (RUNE)

You can buy THORChain (RUNE) from crypto exchanges. However, the best exchange to buy is Binance.

THORChain (RUNE) contract address

Below is the contract address for RUNE:

BNB Beacon Chain (BEP2): RUNE-B1A

Is the THORChain (RUNE) token a good investment?

THORChain is an ambitious and visionary project with intricate engineering under the hood. There are quite a few snags to the long-term success of the project, and it is not without risk to invest in it. 

At the same time, you should note that the team is not only working hard but that they have a working product on the market that is already integrated into various platforms and is successfully applied by thousands of crypto users every day. 

Due to its unique functionality – and lack of competition – THORChain could potentially grow very large, becoming an essential part of the overall crypto sphere. Partly for this reason, the RUNE token is an interesting opportunity to gain exposure to the entire crypto space, and not just one or two chains. 

THORChain (RUNE) Price Prediction (Forecasts)

From the point of view of experts at Wallet Investor, the RUNE token could become an incredible long-term investment. According to their analysis, an investment of $100 could be worth $957.44 in 5 years to give an estimated return of +857.44%. This forecast shows that the RUNE token bears the mark of a good investment.

GOV Capital has an optimistic prediction for 2022; Their RUNE Coin Price Forecast for 2022 is a high price of $16.40 at the end of December.

Following Wallet Investor’s RUNE price prediction, the RUNE token price could reach $11.91 by the end of the year. 

Tech News Leader believes that the RUNE coin has the potential to cross the $6 mark as long as it can embark on a good bull run in 2022. The average price could be around $5.82. 

Priceprediction.net predicts a price of $6.29 as the maximum price for the RUNE token in 2022.

By 2023, we could have the RUNE token reaching $9.03 and that’s according to Priceprediction.net. 

Tech News Leader has a similar prediction. Their RUNE 2023 price prediction shows that the token will reach a maximum price of $9.71.

GOV Capital has another ambitious RUNE Coin Price Forecast for us, it predicts that the RUNE Coin will reach a maximum price of $40.34 in 2023. 

On the other hand, Digital Coin Price Prediction is modest with a price prediction of $6.50 for RUNE 2023 token forecast.

To round it up for 2023, Wallet Investor is predicting a maximum price of $18.83 for the RUNE token.

Back to Wallet Investor, their RUNE Coin price prediction for 2026 is a high price of $43.62 at the end of December. 

Meanwhile, GOV Capital has a delicious RUNE price prediction with a price as high as $159.04 in 2026. 

Priceprediction.net analysis shows that the price of the RUNE coin could reach a maximum price of $24.32 in 2026.

According to the Tech News Leader, the token could reach a price as high as $29.08.

Conclusion

RUNE’s price growth has been incredible so far. This token that powers THORChain has proven through the various price predictions we have seen that it can be among one of the profitable crypto investments. RUNE is one of the tokens for which the phrase “the sky is the limit” actually rings true: no one can be 100% sure how high RUNE can go.

However, watch out for news updates about this coin. This will help you to make more accurate investment decisions. Also, don’t invest more than you can afford to lose. All the best!



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