Loopring’s native currency, LRC, has surged by over 30% despite the industry’s bearish outlook. This happened after GameStop announced that its new NFT marketplace would be built on top of Loopring. Non-fungible Tokens are becoming widely popular amongst digital asset enthusiasts. Many businesses have capitalized on the buzz to create NFT-related services. GameStop is an American video game retailer; it hopes to explore the non-fungible token industry by building a marketplace powered by Loopring. This may allow the video game retailer to participate in this new economy. In this article, we will be looking keenly into the recent rise of the Loopring token and why traders should purchase LRC tokens.
What is Loopring Crypto?
Loopring is a layer-2 protocol that strives to scale Ethereum. Ethereum is arguably the most used blockchain in the blockchain industry. It hosts DeFi and NFT projects, leading to congestion on the network. Because of its use of a proof-of-work consensus mechanism, transactions take longer to settle. Also, this chain is one of the most expensive to use because of the high gas fees. So, to ease this problem, experts create layer-2 protocols.
Often, these networks help the blockchain settle some transactions and then report to the main chain to finalize. This helps the network process more transactions while charging lower fees, making it necessary to create layer-2 networks like Loopring. Since Ethereum 2.0 is not available for use, layer 2 scaling solutions have mitigated problems faced on the popular chain. While many blockchains, like Solana, offer similar services as Ethereum, many developers still opt for Ethereum is powering numerous projects and platforms.
How Does Loopring Work?
Loopring is a zkRollup layer 2 scaling solution. This scaling solution works by taking hundreds of transactions from the main chain and bundling them into a single transaction. After which, the central network finalizes the transaction, saving time and cost. This makes it easier to handle many transactions without worrying about the cost implication. It’s safe to add that zkRollups are smart contracts that roll transactions into a single transaction, allowing users to save money.
Why Is Loopring Important?
Generally, scaling solutions have made transactions on older blockchains manageable. Without them, transactions may remain expensive and slow. For one, solutions like Loopring can improve settlement speed. Settlement time is an essential factor you should consider before using any blockchain. If networks are too slow, they become inefficient. Also, Loopring claims to retain Ethereum’s security. Security is also an essential part of any network. If chains are not secure, they may become easily manipulated. This may have attracted investors because Loopring has skyrocketed within the past years.
What Does Loopring Do?
Like every layer 2 scaling solution, its job is pretty simple—to scale decentralized exchanges built on Ethereum. This protocol, built on top of Ethereum, strives to reduce the main chain’s workload by processing some transactions. As an illustration, Ethereum is the primary network that hosts numerous projects. However, some transactions go to Loopring, an external layer, to reduce transaction costs and time. The team behind the project assured that the network’s output is greater than Ethereum’s, which may help in enhancing efficiency. Loopring is not exactly a blockchain but works with a blockchain as an external network. Solana, Litecoin, and Bitcoin are examples of blockchains, and they are L1 platforms.
What is LRC token?
Loopring (LRC) is the protocol’s native token. As of the time of writing, LRC is at $1.11. The Ethereum-based token helps the protocol in maintaining security and privacy. Because the protocol allows people to build non-custodial decentralized exchanges on it by leveraging zkRollup, users may access more decentralized and secure platforms. While centralized exchanges are readily available, they are considered risky by most. Bad actors may steal your digital assets if the exchange is not secure, leading to financial losses. On the other hand, decentralized exchanges may be a better alternative to people looking to buy or sell their assets.
Why Should You Buy $LRC?
Before deciding to buy LRC, you need to do extensive research. This means that you have to be thorough. Numerous digital assets in the industry have been rug pulled or holders losing a considerable part of the investment. The first thing to know about the asset is that it’s the native token of a protocol that aims to scale Ethereum. Ethereum is one of the biggest blockchain platforms globally. Many transactions go through the chain daily. This may make investing in LRC is a good choice.
If you believe in Loopring’s technology and its potential, you can decide to buy into the project by owning LRC tokens. Remember, this is not investment advice, so you have to do your due diligence to ensure that you can buy it. This will help you in investing in LRC and other investment options. Still, the industry is currently looking bearish, especially as digital asset prices fall regularly. If you can handle risky investments like cryptocurrencies, you can choose to buy them. However, do not invest funds that would affect you significantly if you lost them. This helps you manage investment-related stress.
Why Is Loopring Surging?
Loopring has been immense in its last few days in the market. Although most traders have downplayed the rise to the usual market activities, there are some reasons behind the surge. Below are a few of the reasons why Loopring is on the rise in the market;
Loopring To Power GameStop’s NFT Marketplace
Today, numerous businesses make NFT-related services more accessible to the average buyer or seller. With this partnership, the company may become an essential player in the growing industry. The NFT platform will leverage the layer-2 protocol’s security and decentralization to ensure that buyers have substantial property rights. Additionally, the layer-2 project, which helps in scaling Ethereum, would keep the space secure without users worrying about Ethereum’s high gas fees. Ethereum, which hosts hundreds of projects, has continually faced scalability issues. This led to slower transaction execution and high fees, making it too expensive for the average user. Thankfully, layer-2 protocols like Loopring have helped in managing scalability problems.
GameStop Releases Beta Version Of Marketplace
Recently, the retailer released the beta version of the platform, enabling users to get early access to the marketplace. They can choose to create an account and deposit funds. This makes it easier for them to get needed services when the platform starts operating. LRC’s recent price surge shows that it has the potential to record more growth, particularly after the marketplace’s official launch. With the recent partnership, the scaling solution could become an essential player in the metaverse and blockchain gaming industry.
Many people are interested in blockchain games because they believe that these games would pave the way for the metaverse’s development. The metaverse is another world; it’s a world that humans can only access through technology, such as through your computer or even virtual reality. Since the beginning of 2022, numerous firms have spoken about building contributing to the metaverse’s growth. Facebook is one of the greatest influencers of the metaverse. The social media platform even rebranded as Meta to show its plans to stay involved in building the metaverse.
Influx of traders to the community
This bullish outlook probably pushed interested investors into being part of the growing industry. This helped the protocol’s native token jump by over 50% within seven days. It’s important to note that the marketplace should be officially released before the end of 2022, but users can still access the beta version. Also, GameStop stocks have recorded notable gains. The company’s stocks have been consistently increasing, particularly after announcing its plans to create a marketplace. Investors might have realized how prominent gaming has become in the asset space, speculating on future price growth.
How To Buy $LRC On Binance
Binance is one of the most popular crypto trading platforms worldwide. You can create an account on the mobile app or through your desktop.
Step one: Create An Account
The first step is creating an account. This step is relatively straightforward, but you may undergo certain stages, such as providing a means of identification. You may also secure your account by enabling two-factor authentication for your Binance account.
Step two: Funding
Go to “Buy Now,” and you can choose your preferred fiat currency. Now, you can choose the amount of fiat you are paying, showing the amount of LRC you will get. After which, the platform will show you different payment methods, such as using your MasterCard or paying with your balance. When you choose the MasterCard, you must give some details on the card.
Step Three: Buy The $LRC Token
It will take you to a page where you can confirm your transaction. If you don’t confirm fast enough, it will be recalculated to get the current price. After confirming, you can now see your LRC in your Binance wallet within the platform. You can decide to hold your token, sell or stake your coins.
Conclusion
Loopring is another project that hopes to scale Ethereum. Because of the blockchain’s traffic, many people have to pay a lot of money as gas fees. But this protocol claims to improve output. The protocol’s token is also gaining traction. LRC is an Ethereum-based token that recently recorded growth because of a partnership with GameStop. The video game retailer hopes to gain exposure to the NFT industry by creating a marketplace for interested users.
