Steemit Crypto Academy Week 7 Task: How To Invest in Cryptocurrencies - A beginners Guide - Part 2 | lecture by @besticofinder

Hello, Steemians. It’s a honour to be back at the Steemit crypto academy to learn more about the crypto ecosystem. I read the lecture from professor @besticofinder and it was a great lecture and I will attend to the task attached to the lecture which is the continuation of the topic: How to invest in cryptocurrencies- Part 2. Be my guest!

In this context, I will be considering two cryptocurrencies issued by two different companies by checking out their whitepaper and make an in depth research about the two; AKRO and REEF for the purpose of investment.

AKRO cryptocurrency which is an invention of Akropolis came into existence in the 2017 built on the Ethereum blockchain. AKRO price at the moment by estimate is around $0.056 as quoted on coinmarketcap.com. AKRO is sitting on the 279 position by market capitalization in the crypto ecosystem with a market cap of $154,908,320.10 and trading volume of $34,374,119.70 with 2,709,327,981 AKRO as the circulating supply (information read on coinmarketcap.com).

Akropolis came into existence in the year 2017 and it was an invention of co-founders Ana Abrianova and Kate Kurbanova. And in the year 2019, the team held an ICO (Initial Coin Offering) where they were able to raise $2.4 million in Ethereum (ETH) which was exchanged for their AKRO tokens. The firm has since partnered with many other projects and protocols since it came into existence, and some of these protocols they have partnered with are Maker, Polkadot, Bankor and Chainlink.

The aim of Akropolis is to create a platform where several decentralized finance (DeFi) tools are put together for users to explore the DeFi world such that the tools operate on a common framework known as AkropolisOS. This is done so that users can use the same platform to carry out several transactions like buy/sell, swap/exchange,lending/borrowing assets easily. One other innovation is the incorporation of existing protocols built on the Ethereum blockchain such as Aave, Maker and Compound with the aim of bringing all DeFi tools in one place for ease of usage by users.

Akropolis incorporate smart contracts which enhances automated transactions on the platform and also allows developers to build DApps on the network. There are two special DApps built on the platform by the team of Akropolis namely; Sparta and Delphi which uses the AkropolisOS framework to operate. The special innovation of built-in DApp on the platform eliminates the involvement of third parties in transactions as owners are in full control of their assets and transactions.

Know that liquidity of an asset is determined by the ease of swapping, buy/sell, trading of such assets and many other factors. AKRO is widely available on exchanges for trading and this makes it easy to acquire and thereby having high liquidity. The screenshots below shows AKRO trading pairs on an exchange and transaction hash on etherscan.io

It’s time to switch to REEF and see a few things about it in comparison to ANKR. In the real sense, they are mostly identical but a few things differentiate them.

REEF finance is the new name in the decentralized finance that gives birth to the crypto known as REEF built on Ethereum blockchain. Currently REEF is ranked 126 on market capitalization as gotten from coinmarketcap.com. The current price of REEF is $0.03827 with the circulating supply of 11,268,898,338 REEF with a maximum supply of 20,000,000,000 REEF and market cap $430,453,078.11 with the trading volume of $95,831,394.08 (information seen on coinmarketcap.com). This coin has really gained ground since it came into existence in 2020, powered by Polkadot and personally, I have this coin in my wallet for future purpose.

The invention of REEF finance came into existence under the CEO, Denko Mancheski and the co-founders with the aim to eliminate the troubles often faced by the users of DeFi. It is to be noted that to fully explore the DeFi world, users have to interact with many DApps before getting desired transactions done. REEF finance comes in as a All-In-One DeFi as it has all DeFi tools incorporated in the same platform and that allow users to easily carry out different transactions like; buy/sell, swapping/exchanging(liquidity),lending/borrowing easily and that has greatly reduced the earliest complexities faced by DeFi users.

REEF finance itself serve as the decentralized application and that’s exactly where it was named All-In-One DeFi thereby allowing users to interact with the DeFi world without visiting many DApps which is often stressful and complex. Also, there is an incorporation of yield farming aggregator where users can stake acting as a liquidity provider and in return earn rewards on their staking. The funds in the liquidity pool (basket engine) on the platform serve the purpose of quoting price to users and eliminated the involvement of third parties in transactions. Quoting of price of an asset on the REEF finance is made possible by the Automated Market Marker which utilizes the funds in the basket engine for effective quoting of price without having the involvement of brokers as seen in Centralized finance. REEF supports smart contracts which is another ground breaking feature of the crypto.

I stated earlier that I have some REEF to myself in an exchange wallet, this shows how flexible REEF crypto is to liquidity. There are many pairs of REEF on exchanges all over the world which enhances the continual trading and exchange of the cryptocurrency. Trading pairs of REEF on an exchange and recent transactions on REEF finance are as seen below in the screenshot provided.

Most of the features highlighted for both crypto are almost identical but looking closely, there are many differences but the main reason I will choose to invest in REEF over AKRO is that REEF has all the features of decentralized finance (DeFi) in one place without using other external DApps. This is great feature that the team has incorporated to ease off complexities faced by users while interacting with other DeFi protocols and this is enough for me to choose REEF for investment. Another factor is its ranking on market cap which is far ahead of AKRO and it has a good adoption from the public within the short while it came into existence and also the circulating supply of REEF is much bigger than that of AKRO and this gives me more confidence to easily go for REEF investment.

In conclusion, I’ve seen the importance of making series of research before investing in any cryptocurrency and this has helped me to choose wisely between REEF and AKRO considering several factors to be on a safe side of investment. All thanks to the crypto professor @besticofinder for this great lecture and I look forward to learning more from you, sir. Thank you all for reading.