Michaël van de Poppe - 13 October 2022
Concordium and its native coin, CCD!
Hi everyone. In today's blog article, we will talk about Concordium. We will be analyzing Concordium and its native coin, CCD. The project launched its Mainnet on June 9th, 2021, and seemed promising but failed to deliver on adoption. We will discuss what caused this and what might change in the near future.
The Concordium blockchain is a science-basedLayer-1 blockchain with an IDlayer to facilitate compliance. It offers high throughput, fast transactions, and predictable fees. Ultimately, Concordium wants to fix the blockchain trilemma of scalability, security and decentralization.
According to the team, compliance and regulatory requirements must be resolved to unlock trillions of potential business transactions using blockchain since blockchain technology in general still has severely limited adoption compared to its potential.
At the beginning of the initial launch of Concordium, the focus of the project was servicing blockchain solutions to enterprises as their idea was that crypto would be mature enough soon for enterprises to lead the next wave. Concordium believed that they could be the best solution for this as the project is able to solve a big challenge for enterprises; legal compliance.
However, Concordium struggled to gain traction because it only focused on enterprises. Mainly in the crypto space, projects create developers tools to build for crypto enthusiastics. Nevertheless, Concordium did the opposite and built a science-based chain with professionals first.
Account creation numbers were very high at the end of 2021. However, it is currently around ~350 per month in 2022 due to enterprises failing to actually use the chain. And besides that, the project was hardly getting adoption from the crypto community because it was focusing on enterprises so much. Unsurprisingly, this lack of adoption caused a lot of negativity surrounding the project.
After Concordium realized the adoption was missing, they changed the focus to a different area, ``DeFi, gaming, and metaverse`` where they started focusing on retail adoption instead while offering developers an enterprise grade blockchain.
Currently, Concordium is entering DeFi, gaming and metaverse with an enterprise compliant chain, switching its focus to retail adoption. Along with the new rebranding, many retailers and investors can benefit from the new opportunities Concordium will create as it is expected that plenty of projects will be launched there in the near future.
According to the website, they are in touch with more than 70+ projects, and more than 35+ projects are currently building on Concordium whereas it was pretty much a dead chain before. By now these numbers are even outdated as the team is in touch with more than 70 projects with over 35 projects building on Concordium.
Concordium is a Layer-1 project with improved compliance standards. The project believes that compliance and regulatory requirements must be addressed to unlock trillions of potential business transactions using blockchain.
At first, the project struggled to gain adoption because of the enterprise focus structure. However, they are rebranding to enter the Metaverse, Gaming, and NFT ecosystem.
Concordium may offer beneficial services to the companies if it can increase the adoption of the chain. Following the adoption, the CCD coin may also get renewed interest from investors.
Next to this, we discussed $XMAD and did a FA and TA on this project! All in the same Trade Letter!
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