3 reasons why Phantasma (SOUL) is chasing after new all-time highs

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Non-fungible tokens and blockchain-based gaming projects saw their popularity increase during 2021. This was due to their widespread appeal that caught the attention of crypto newbies and seasoned hodlers alike. This trend has helped kick-start the mass adoption of blockchain technology further, and at first glance, it is expected to spread throughout 2022.

One project underway in 2022 is Phantasma (SOUL), a layer one blockchain protocol specializing in building SmartNFTs and decentralized gaming applications. His prices reflect that he is on the verge of attempting a new all-time high.

Data from Cointelegraph Markets Pro and TradingView show that since hitting a low of $ 2.30 on December 30, SOUL’s price has climbed 61.73% to a daily high of $ 3.72 on Jan. 3 as its 24-hour trading volume fell from an average of $ 3 million to $ 12 million.

SOUL / USDT 1 day chart. Source: TradingView

The launch of several new protocols on the Phantasma network, the addition of cross-chain support for multiple networks, and the overall increase in the popularity of NFTs and blockchain-based games are three reasons for the price spike. by SOUL.

Launch of new projects on Phantasma

One of the most significant developments in the Phantasma ecosystem over the past two weeks has been the launch of several projects on the network. This includes the role playing card game Rune of blood, mobile game Ghost festival and the NFT GhostMarkets Marketplace.

The GhostMarket NFT marketplace is currently conducting its initial Decentralized Exchange Offering (IDO) on Flamingo Finance and will have its GM token to operate on the six different networks supported by GhostMarket, but including Ethereum (ETH), Binance Smart Chain (BSC). ), Phantasma, Avalanche, Polygone and NEO N3.

One of the main advantages of using Phantasma over other chains is its dual token system where SOUL token holders can wager their tokens to earn Phantasma Energy (KCAL). These in turn can be used to pay transaction fees. This essentially makes transactions free for SOUL holders.

Phantasma is also certified as carbon negative blockchain, which has helped garner positive attention. This sets it apart from other networks like Ethereum, which noticeably has a higher carbon footprint because it uses mining.

Inter-chain interoperability

A second reason for Phantasma’s building strength has been the addition of interoperability between chains with multiple blockchain networks, including Ethereum, BSC, and NEO.

In addition to interoperability with other networks, the Phantasma chain itself is capable of achieving high throughput levels. This is due to the ability to host infinite side chains while the network as a whole benefits from native oracles built right into the heart of its design.

Since interoperability appears to be one of the major themes of the cryptocurrency ecosystem for 2022, projects that have already started to make it a focus of development are likely to outperform the competition that does not. This will make crypto users become more and more comfortable with transactions on multiple networks.

Related: Samsung announces NFT platform for smart TVs

NFT and popularity of games

The third reason for Phantasma’s building strength is the overall popularity of gaming and NFT projects, as blockchain adoption is on the rise.

According to data from Google Trends, interest in NFTs has been increasing since early 2021 and peaked in mid-December as Phantasma introduced new projects and touted its low-cost capabilities.

Interest in NFT searches over time. Source: Google Trends

In addition to the widespread surge in interest in NFTs, popular blockchain-based games like Axie Infinity have led to the emergence of games to win across the crypto ecosystem. Phantasma’s high-speed, low-cost capabilities make it an attractive option for gamers looking to maximize revenue while minimizing transaction costs.

With interest in games and NFTs showing no signs of waning in the near future, plans to facilitate their growth and adoption may continue to see their value increase as NFTs become more mainstream.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move comes with risk, you should do your own research before making a decision.