Crypto loans are a new type of secured loan that allows borrowers to use their cryptocurrency holdings as collateral in exchange for liquidity from a lender. They offer several benefits, including short-term access to cash, low-interest rates, quick funding, and no credit checks. However, they also involve risks, such as the need to pledge more crypto if the coin's cash value falls, and a lender can trigger automatic payments or liquidate your crypto account if you miss a payment.
Today, we will overview the Tectonic Crypto project that also offers its clients access to instant-backed loans. In this example, we will figure out how people can use it in their passive income and if it is worth it in general.
What is Tectonic Crypto?
Tectonic Crypto is a new blockchain project that offers a decentralized non-custodial money market protocol. It allows users to access instant loans as liquidity borrowers or earn passive yield by supplying assets. Tectonic, a launched platform in late 2021, resembles well-known Decentralized Finance (DeFi) platforms. It distinguishes itself by offering advanced security features like two-factor authentication and multi-sig wallet support. A multi-signature wallet requires two or more signatures to confirm transactions to secure the clients’ assets' safety.
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Tectonic Crypto Team
Tectonic was created by Particle B, a startup accelerator incubating projects on Cronos and the Crypto.org chain. Gary Or, former CTO of Crypto.com, and a tech enthusiast, is the creative mind behind this blockchain technology project. There is no specific information about the other members of the Tectonic Crypto Team.
There is no comprehensive list of investors for the Tectonic Crypto project, but the are potential investors that show growing interest in the project. Some blockchain startups even issue their own Tectonic Crypto tokens as a way to raise capital, with investors buying tokens either in exchange for existing crypto, the New Zealand Rabbit Club mentions.
It is also worth noting that Tectonic currently supports eight crypto assets for lending and borrowing, including True USD (TUSD), dai stablecoin (DAI), tether (USDT), and USD coin (USDC), among others.
Introduced in December 2021, TONIC is a cryptocurrency token with a total supply of 500 trillion. The price of one TONIC is only a fraction of a cent. This particular token serves two main purposes: to manage and participate in the community insurance pool to strengthen the network and receive additional rewards.
The tokenomics of TONIC dictate that:
- 23% is allocated to the Tectonic team;
- 0.1% is dedicated for airdrop;
- 13% is set aside for the ecosystem reserve;
- 13% is dedicated to network security and maintenance;
- 50.9% is specifically reserved for community incentives and rewards.
Source and Copyright © Tectonic Crypto GitBook
TONIC Current Price
According to CoinMarketCap and at the time the article was written, the TONIC Token Price reached $0.0000001235 with a 24-hour trading volume of $70.578,31. Its price decreased by 0,45% in the last 24 hours.
TONIC Price Prediction
When it comes to TONIC, predicting its future price is challenging because of its high volatility and lack of project description in the field. It's wise to be cautious when investing in Tectonic and conduct your research before making any decisions.
According to forecasts for 2023 and further by the Edubourse website, cryptocurrency Tectonic indicates a continuation of the bullish trend. The average price of this virtual currency may reach $0.00000051, and its maximum value may reach $0.00000059.
The results of studies carried out by experts concerning the 2024 cryptocurrency Tectonic show a price increase:
- During the 2024, the price of the TONIC may reach from $0.000072-$0.000086;
- During the 2025, the maximum value of TONIC may be $0.00000107;
- During the 2030, the TONIC token value may be from $0.00000607-$0.00000763.
These forecasts seem TONIC coin to deserve the attention of potential investors, but, as we always mention, there could be also risks. They are related not only to crypto as a fluctuating asset but also to a crypto loan that could lead to money loss.
Trading TONIC: Where Can You Buy and Trade Tectonic Crypto?
Currently, there is no exchange platform available that facilitates direct purchases of Tectonic cryptocurrency using fiat currency. Therefore, the process involves first acquiring Bitcoin or Ethereum cryptocurrencies and then transitioning to a platform that accepts BTC/TONIC transactions.
To buy TONIC, simply follow these steps:
- Go to a reliable and proven crypto broker's exchange website;
- Create your account by pressing "register" if you don’t have one;
- Fill out the form with your data;
- Deposit funds into your account;
- Choose your currency and payment method;
- Buy either bitcoin (BTC) or ether (ETH);
- Find a platform that allows for the exchange of BTC/TONIC or ETH/TONIC pairs.
Is TONIC a Good Investment?
To understand if a TONIC Token is a good investment or not, we need to look through the general facts used in this article, the pros and cons of the project and coin, and the risks you can get from investing in it.
Tectonic is a modern platform that provides a diverse range of features that cater to the requirements of crypto enthusiasts. It takes inspiration from Compound and aims to offer a seamless money market experience that meets the unique demands of its users. With Tectonic, individuals with idle crypto assets can earn additional interest without the need to actively manage them. Traders can also leverage short-term or long-term financial opportunities like staking or yield farming by borrowing crypto assets from the platform. Moreover, users can participate in IDOs without having to liquidate their underlying collateral, making it a user-friendly and easily accessible platform for everyone.
|Pros of TONIC
|Cons of TONIC
|The TONIC token allows you to bet in the public insurance pool
|Lack of information on virtual currency
|TONIC cryptocurrency gives its holders the right to vote
|Another very young token
|Access to several other virtual currencies without liquidation of their original assets
|Relatively low trading volume
|Keeping the funds of users safe is the top priority of the project
Source and Copyright © Tectonic Crypto official Medium Blog
That said, if you're careful and work with a trusted and secure lender, a crypto loan can be a lifesaver when you need money for purchases but don't want to sell your crypto. Like all cryptocurrency projects, Tectonic Crypto is something you need to think of before investing. Its token can be highly volatile and fluctuate rapidly, not to mention the low price and lack of information in the network.
Investors need to consider their risk tolerance and evaluate potential investments carefully. Thus, our article is not a financial recommendation, and we encourage you to DYOR besides reading the news, articles, and blogs on the Internet.
Frequently Asked Questions
How does Tectonic work?
When users add money to the platform, it becomes available for borrowers. The interest rates for these loans change based on how much of the funds are being used. Tectonic's smart contracts manage this process to make sure that funds are distributed fairly and efficiently, benefiting both borrowers and lenders.
Will Tectonic reach $1?
Although the Tectonic Crypto project appears beneficial and incorporates an innovative settlement layer, its excessively large token supply will hinder it from reaching a value of one cent. Nevertheless, if the cryptocurrency market rebounds from its correction, there is a possibility that TONIC may return to its previous peak of $0.000004.
Does a Tectonic coin have value?
Yes, the TONIC Token has a value of $0.0000001235. The price is low, and it could seem to be a sneaky investment. However, the investors don’t give up and wait for the coin to be available for more people on the market.