Crypto trader Austin Arnold believes several altcoins are primed to make their mark in 2021.
Arnold, who is also a Bitcoin bull, tracks some of the crypto assets he’s most interested in during the latest edition of Altcoin Daily. His fifth-place pick is a tie between the decentralized financial (DeFi) protocols Yearn.finance (YFI) and Aave.
The analyst points to the news that high-profile digital currency firm Circle is offering high yield digital dollar business accounts with 8.5% to 10.75% annual percentage yields using both Yearn and Aave.
Circle is launching High Yield Digital Dollar Accounts w/ 8.5-10.75% APY. Where does the high yield come from?
Funds borrow USDC @ 8.5% from Circle, deposit in yearn/ Aave to earn ~15% & capture the spread. This off-to-on chain arb will be a liquidity vortex for DeFi protocols🌀 pic.twitter.com/SHxZArZuR7
— Santiago R Santos (@santiagoroel) December 15, 2020
Arnold says that the support Circle is giving these relatively new projects is a “huge green flag” for these DeFi plays.
The trader’s next pick is the oracle platform Band Protocol (BAND), citing the news that it has become the first blockchain project to join the OpenAPI Initiative alongside high-profile partners like Google, IBM and Microsoft.
Taking Arnold’s third spot is Uniswap (UNI). Arnold highlights Uniswap’s dominance in the DEX space, as Uniswap reportedly passed $50 billion in all-time volume last week.
His number two pick is another tie, this time between Nervos Network (CKB) and Cardano (ADA), citing a recent announcement that both projects have partnered to work on bolstering smart contract security.
— Nervos (@NervosNetwork) December 15, 2020
Lastly, Arnold’s first-place altcoin selection is DJ deadmau5’s new non-fungible tokens (NFTs), which just launched on the Worldwide Asset eXchange (WAX) blockchain.
Explains WAX in the launch announcement,
“Past NFT pack sales on WAX have sold out in as quickly as 9 minutes, and very high demand is anticipated for the music legend’s first-ever NFT sale.
Once collectors have NFTs or packs, they can sell and trade them on WAX-powered marketplaces and apps. WAX NFTs have sold on secondary marketplaces for over $5,000.”
Arnold cautions that anything can happen in the volatile crypto markets and says the success of these NFTs is heavily dependent on the deadmau5’s ability to stay relevant, but they could end up becoming as popular as Pokémon cards or even Beanie Babies.
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
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