The cryptocurrency market appears to be in decline, with most assets trading in the negative since the beginning of August. However, the autonomous digital currency Decred (DCR) is one of the standout assets, with large increases defying market price fluctuation.
By press time, the cryptocurrency was trading at $48, having gained 75% in 24 hours. According to CoinMarketCap data, the asset peaked at $60 in the early trading hours of August 6.
Notably, the cryptocurrency has primarily experienced substantial price corrections during 2022 as a result of the general market sell-off. The asset, which combines Proof-of-Work (PoW) and Proof-of-Stake (PoS) processes, is attempting to reclaim the $246 peak reached in 2021.
Decred will be fueled by impending updates.
The recent growth in DCR’s value corresponds with greater network development, which aims to drive the blockchain toward broad adoption. In this scenario, the Decred lead developer shared an updated plan to enhance the website, as well as messaging stating that it is already prepared and awaiting reimbursement and deployment clearance. In general, the website overhaul will make user transactions easier.
“The messaging has been simplified to focus on the most critical aspects of the project, describing them in a way that is more tangible to the average person. Parts of the website viewed as superfluous or messy have been removed, simplifying the site overall. The site is ready to be deployed and replace the existing site if the proposal is approved,” the update read.
The hybrid mechanism that has powered the Decred project for the previous six years has helped it stand out. Users are guaranteed that no single company or individual can control the flow of transactions or make changes without the community’s permission under the protocol.
Rising Popularity of PoS
Furthermore, because of its environmental friendliness, the PoS mechanism has acquired appeal among most crypto investors. In this situation, Decred’s dramatically altered incentives are related to PoS and PoW as of December 2021.
Investors that support the PoS protocol can gain up to 80% of the coins generated, while PoW miners receive only 10% and the Decred Treasury receives 30%.
This comes as Bitcoin (BTC) faces criticism for its PoW process, while second-ranked Ethereum (ETH) plans to transition to PoW in September via the Merge update.