Traders began to get accustomed to other cryptocurrencies in connection with the ongoing conflicts around Bitcoin. The attention of many investors immediately attracted NEM – a relatively young cryptocurrency, which has already gained popularity in Asia and is showing a rapid increase in market capitalization. How does it differ from other cryptocurrencies, what can it expect in the near future and is it worth investing in NEM today? We will describe in this article.
What is NEM cryptocurrency and what are its features?
The name of the coin stands for “new economic movement” (from the English “new economic movement”) and reveals the main mission of the developer – to create a cryptocurrency applicable in all areas of the modern economy. Later, a whole international association, the NEM Foundation, was created to develop the coin.
The official release date for NEM (XEM token) is March 31, 2015, when a stable version of the new cryptocurrency was introduced. In a matter of months, the coin gained immense popularity, first in Japan and then in other Asian countries.
This is not surprising, because it differs markedly from all existing cryptocurrencies in its technical characteristics, having a number of features and advantages.
How to mine NEM?
First of all, we are not talking about the extraction of new coins at all – all 9 billion XEM are already mined and are in the system. The main task of miners is to ensure the normal conduct of transactions, and the remuneration is, in fact, a payment for maintaining the system.
Anyone who has at least 10,000 XEM on his account can become a harvester. You need to register on the official NEM website, create cryptographic grids there, replenish the account, install a miner program and perform the calculations specified by the system to get involved in the process.
It is noteworthy that an average modern PC will be suitable for the calculations. That is, you do not have to spend money on expensive equipment – quite a powerful processor or video card.
Another innovation is that individual blocks can be attached to selected harvesters. Based on the capacity of the computing equipment, the number of transactions carried out and the balance of funds, the best users are selected, who become responsible for the operation of individual units.
In general, the developers have given users complete freedom of action. If you want to maintain the functioning of the network and get a reward for it – connect to the system and perform calculations. Want to become a coin holder and invest in NEM – just buy a cryptocurrency.
The XEM could be bought for 29 cents in August, but the price did not increase further. This is despite the fact that the creators worked more than six months to improve the system and even launched a private network to conduct banking operations using NEM technology.
How has the cost of NEM changed?
However, the Japanese trust bank NRI became interested in a unique cryptocurrency in the autumn of 2017. Its owners decided to test the capabilities of NEM and found that the network is perfectly capable of high loads (more than 2 million transactions were performed in one day) and perfectly protected from most cyber attacks.
Inspired by the results, the bank officially announced cooperation with NEM. After that, other Japanese financial organizations became interested in the coin, investor capital flowed into the project and at the time of writing this article, the value of the coin had already crossed the $ 1 mark.
The market capitalization of cryptocurrencies has also grown. If a year ago, this figure was 2.5 billion dollars, now it is very close to 9 billion, ensuring the coin the ninth place in the world ranking.
Most experts agree that the developers of NEM have chosen a strategically correct rate of advancement of the coin and its value will grow smoothly, but naturally.
Is it worth investing in NEM?
According to analysts, NEM is a good digital tool for instant and, most importantly, legal payments around the world. This is not a “underground” coin for the darknet and not a “dummy” for manipulating the course, but a real financial instrument that has every chance of changing the balance of power in the market.
No wonder Japan so quickly recognized the NEM. The country was one of the first to adopt a law according to which a cryptocurrency can be used as an official means of payment for financial transactions. However, a company that wants to pay with a crypt must pay 300 thousand dollars for a special license and have at least 100 thousand dollars in the reserve fund. If large Japanese banks and corporations are willing to pay such amounts in order to use NEM, it means that they appreciate the prospects of this cryptocurrency.
It is planned to open a large co-working center and the NEM Blockchain Innovation research laboratory, which will help to implement NEM technologies interested companies.
In addition, investors are ready to allocate $ 40 million to expand the IT infrastructure of NEM and the developers have also announced plans to create their own cryptocurrency exchange.
Obviously, NEM is a good investment option. Experts say that the current rate of cryptocurrency adjusted with previous jumps and today’s price is not the peak.
According to the most modest forecasts, the cost of NEM will increase several times in the coming months. However, if new large investors join the project, it will receive additional capital inflows and further strengthen its position in the market.
Some analysts say that in a few years NEM will be able to surpass even Bitcoin Cash, which, as we know, is the most popular cryptocurrency in the Asian market today. However, if Bitcoin Cash owes its popularity to the high rating of the original Bitcoin, then NEM “drives out” on unique technical characteristics and practicality in use.
Therefore, the cost of NEM is still being adjusted, it’s time to buy a promising cryptocurrency. Experts say that today, if not today, it will go beyond the boundaries of Asia and finally consolidate itself in international markets. It makes sense to buy coins at a low price now and put them into circulation when the course reaches its peak.
Experts say that the minimum investment horizon in NEM is about a year. The fans of the scheme “quickly bought – quickly merged – earned on the difference” should choose another cryptocurrency.