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Holo (HOT) is an Ethereum-based token that powers Holochain. Holochain is a framework for hosting decentralized apps (referred to as dApps). In this sense, it will serve as an alternative to traditional cloud computing. Yes, Holochain has the potential to disrupt the $482 billion cloud computing industry. Over the next decade, it’s possible that all of this money moves onto Holochain. So, does this mean that you should be buying HOT crypto now while it’s cheap? Let’s take a look.

For clarification, HOT crypto is the current name of the token powering Holochain. Down the road, these will be convertible to HoloFuel.

• Current HOT price: $0.0047
• Market Cap: $812.2
• 1-year return: -36%
• All-time return: +538%

What Is Holochain?

Holochain is a decentralized peer-to-peer hosting platform. It will also serve as an alternative to blockchain technology. One thing that many people don’t realize is that almost all blockchain projects rely on cloud hosting services like Amazon Web Services. Holochain, on the other hand, has devised a new method. Holochain’s framework allows it to be more versatile, scalable and efficient than blockchain.

Holochain technology works by allowing people to turn their computers into hosting stations. Instead of using one big web hosting service, Holochain taps into thousands of smaller ones. In this sense, it is essentially doing to cloud computing what Airbnb did to hotels.

Airbnb eliminated the need to stay at a large hotel by tapping into individual homeowners. It gave homeowners the ability to rent out their extra space. Holochain does the same thing by letting people turn their computers into hosting stations. The host downloads Holochain software and lets it run in the background of their computer. Then, hosts can set their own hosting prices and preferences. They are also paid in HOT crypto.

Holochain currently has 1,000 developers and 28,000 hosting commits.

Pros of HOT Crypto

Holochain is still very much in its infancy. However, since it’s so young, there are still dozens of roadblocks that stand in the way. Assuming everything goes smoothly, let’s examine a few of the biggest pros of Holochain:

• No data centers or clouds: Holochain operates 100% peer-to-peer. This prevents the need for a massive data center or cloud. Overall, this will reduce society’s reliance on massive cloud computing companies like Amazon, Microsoft and Google. P2P hosting is also faster, more secure and cheaper.
• Privacy – You can permanently remove personal data from Holochain at any time. Compare this to using a cloud computing service, where you are never quite sure a deleted file is gone.
• Intranet capabilities – Holochain can theoretically be used to run internal systems. This means that a company could use the Holochain to upload or send files internally.
• Environmentally friendly: Many decentralized projects can use tons of energy. In particular, Bitcoin uses more energy than entire countries. Holochain is much more efficient in this aspect.
• Fast and cost-efficient: Holochain uses a process called “agent-centric.” This means that global consensus is not required to approve or confirm transactions. Instead, Holochain plans to break up its network into smaller pieces where each agent will be in charge of one piece. This is a process known as sharding.
• Pre-beta: Holochain is still in its developmental phase. This means that HOT crypto tokens are incredibly cheap. Even at their peak, they only reached two cents. This spike happened last March when the company received patent approval. Buying into HOT crypto now is a great opportunity to get ahead of any potential runup.

With that in mind, we know that no system is perfect. Let’s take a look at some of the cons of Holochain and the HOT crypto.

Cons of HOT Crypto

There are two major cons of Holochain and buying the HOT crypto:

• The network effect: The network effect is when the value of a product increases as more people use it. Facebook is a great example of the network effect. For example, if none of your friends used Facebook then there would be no reason to ever go on it. But, since everyone else uses Facebook, you’re motivated to use it too.

To be successful, Holochain will need to achieve the network effect. This will most likely be a very slow process of recruiting developers/hosts and slowly growing their community. It could take years for the Holochain to really gain momentum.

• Pre-beta: Yes, this is both a pro and a con. The fact that the Holochain is still pre-beta makes it similar to a startup. It has lofty goals and a solid roadmap. However, it still needs to put this roadmap into action. As with any startup, there is the potential that it can fail completely. This means that the value of your HOT crypto could potentially fall to zero.

Should I Invest In HOT Crypto?

As usual, this answer will come down to your investment style. Holochain is definitely an exciting new technological frontier. In the past few years, blockchain technology has taken the world by storm. Now, it looks like Holochain could go one step further.

If you are an aggressive investor then Holochain is a great opportunity. It is set to disrupt a nearly half a trillion-dollar market. The potential benefits of using Holochain’s system are plentiful. By buying HOT crypto now, you have the chain to get into the project insanely early. This could result in massive gains down the road.

For example, HOT crypto currently trades at half a cent. If HOT crypto spikes back to its all-time high (two cents) then you could easily make four times your investment. However, there is no guarantee that this will happen.

If you are a conservative investor then just remember that there is a chance the HOT crypto could go to zero. If this makes you uneasy then you may want to wait and see how the beta launch goes before investing.

I hope that you’ve found this article valuable for learning more about the HOT crypto! Please remember that I’m not a financial advisor and am just offering my own research and commentary. As usual, please base all investment decisions on your own due diligence.

The post What is Holochain (the HOT Crypto Token) and Should You Invest? appeared first on Investment U.

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By: Teddy Stavetski
Title: What is Holochain (the HOT Crypto Token) and Should You Invest?
Sourced From: investmentu.com/hot-crypto/
Published Date: Thu, 24 Mar 2022 16:53:07 +0000

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