RUNE - token of the decentralized cryptocurrency exchange THORChain

A decentralized cryptocurrency exchange where you can earn money not only by trading, but also by placing your tokens? THORChain ensures the exchange of coins even between different blockchains, so it's no wonder that its Rune token, which is necessary to run each subsequent liquidity pool, is constantly increasing. What are the prospects for him? We check.

We continue the cycle of the Forex Club portal, in which we analyze and describe the largest, highest-valued, most interesting, most developmental, advanced and also the most controversial cryptocurrency projects around the world. Today, it's time for the decentralized cryptocurrency exchange THORChain and its Rune token, which has increased by 3954% over the last year.

How the THOREChain cryptocurrency exchange works 

THOREChain is a decentralized solution for everyone who wants to exchange tokens - including those built on completely different blockchains. It is an interchain solution that works without intermediaries and connects buyers with sellers directly.  

"THORChain is a liquidity protocol designed to connect all blockchain assets in the liquidity market through interchain bridges and continuous liquidity pools, secured by economically motivated validators" - we read in the White Book of the project, which defines its principles of operation.

The blockchain itself is based on a proven solution used in the chain Cosmos, based on Proof of Stake. The tokens are exchanged between the liquidity pools provided by all users. Any pool can be added and the liquidity providers earn from the fees paid by those looking to exchange cryptocurrencies.

The key of the project is therefore to ensure as much liquidity as possible. This will also allow the entire cryptocurrency market to mature, as well as increase the interest of mutual funds and large players who also care about capital protection. 

The decentralized exchange THORChain wants to win against the largest cryptocurrency exchanges in the world, such as Binance or Coinbase, incl. safety. Although the biggest players on the market are secured with the most modern systems of the world, the decentralized exchange has the advantage that funds cannot be stolen from it - at least according to the current state of cryptographic knowledge.

RUNE token

A key part of the entire ecosystem is the Rune token. It provides online security by being a 1: 1 link to total assets. It also pays the income of each of the 100 nodes on which the acceptance of transactions in the system is based. Rune tokens are also given to people who are liquidity providers, i.e. stacking their cryptocurrencies. In addition, each token in the liquidity pool is tied to a Rune. The holders of this cryptocurrency also have a proportional vote when managing the network and making decisions about possible changes. 

The first 150 million Rune tokens were sold in July 2019 during RUNE IEO. The second amount was allocated to the development team and operational and social reserves. On the other hand, 220 million tokens were waiting for the issue reserve, which would finance the development - e.g. instant exchange of tokens. 

It is also worth remembering that the Rune token is deflationary - not only is it necessary for the liquidity pools, but also transaction fees are burned. 

Rune cryptocurrency quotes

As of 02.11.2021/233/836, 800 of a target 461 Rune tokens, valued at $ 668 apiece, are in circulation. This translates into a capitalization of over $ 422 billion. You can trade them on 9 cryptocurrency exchanges from around the world. The peak of trading was on May 19.05.2021, 21,29, when $ XNUMX was paid for each Rune token.