Why REN? Major advantages/features
Ren is a blockchain interoperability platform that supports the transfer of cryptocurrencies between different distributed ledger platforms in a trustless manner, without a centralized third party or custodial.
Staring off in the early days as a service that allows for settling trustless OTC trades, the Ren protocol shifted its focus to interoperability between networks on a blockchain.
Upon launching the RenVM in May 2020, crypto users, traders, and investors can transfer Bitcoin – BTC, BCH, DogeCoin, and Zecash on the Ethereum blockchain.
The technology accepts cryptocurrencies from supported chains like Bitcoin and automatically mints an equivalent amount on the desired destination network. If the destination is Ethereum, then RenVM will mint RenBTC an ERC20 token.
A network of dark nodes operates the RenVM so that the dark nodes cannot see how much is sent, nor where it’s been sent. Users do not have to provide any private information to perform this service, and the cryptos being moved cannot be stolen.
Future of REN Token
- Ren partnership with Acala Network in August 2020, bringing Bitcoin to the Polkadot ecosystem.
- Ren announced support for the Binance Smart Chain in September 2020.
- Ren was listed on Coinbase in October 2020
- Ren Unveils a Multichain upgrade in November 2020 to support Digibyte, Terra, DogeCoin, and Filecoin on the Ethereum and Binance Smart Chain.
- Ren’s CTO announces support of Avalanche blockchain
- Ren and Binance Smart Chain integration in February 2021, alongside partnering with Alameda to bring wrapped assets to the Solana blockchain.
- Ren again announced a partnership with MyEther wallet, making it possible to mint RenBTC allowing for the use of BTC in the MyEther Wallet moble App.
- Ren made an official announcement in January 2021 allowing for the minting of Dogecoin on Ethereum as RenDoge.
- Ren integrates with OpenDAO, making it possible to mint dollar-pegged stablecoins by using RenDoge as collateral.
- In early February ’21, REN announced a partnership with Alameda research, a crypto trading firm behind the FTX derivatives exchange, and the Serum DEX built on Solana. It means that REN will soon support the Solana blockchain and also integrate with the Serum DEX.
- Support for the Binance Smart Chain went live at the second version release of REN in mid-February, with the Pancake Swap running on the Binance Smart Chain.
REN Token 2020/2021 Road map
The inception of Mainnet Subzero will allow for the RZL SMPC codebase to be open-sourced.
The approach confirms a secure, stable, and bug-free code and prevents malicious parties from taking advantage of zero-day vulnerabilities.
Further auditing of the codebase will be reviewed going forward.
Here are the proposed upgrades to be released by the Ren team in 2021:
- Upgrading of the fee system
- Upgrading of bonding and bond redemption
- Improvement of the peer-to-peer network for stability and resilience
- Enabling movement of cross-chain assets without passing through BTC when moving RenBTC back and forth from Ethereum to the Binance Chain.
- Support of new assets every quarter.
- Overhaul of the RenVM documentation.
Below are Audits on the RenVM
- ChainSecurity’s (Hyperdrive)
- ChainSecurity’s (Smart Contracts)
- Consensys Diligence – (RZL MPC)
- Trail of Bits (RZL MPC)
Competition analysis with similar projects
A significant competitor with Ren wrapping protocol, otherwise known as the Ren Virtual machine (RenVM), is another wrapping service on Ethereum, requiring the user to provide KYC giving custody of your BTC to BitGO, a centralized cryptocurrency custodian, with the Wrapped Bitcoin wBTC being the most popular.
Although wBTC is still the leading option by a wide margin, considering that wrapped Bitcoin is the most minted using the RenVM and others have not seen significant adoption.
An increase in retail adoption will lead to a surge in demand for other forms of wrapped cryptos using the RenVM.
Dark-nodes on REN must stake 10000 REN tokens to process transactions and earn transaction fees in the converted currency.
The high barrier to entry prevents malicious nodes from entering and corrupting the network. The RenBTC can also be converted back to actual BTC if you so desire.
REN Token 2021 Price Levels and Projections
REN/USDT Weekly Chart Analysis
Bullish momentum set the ball rolling for the RENUSDT upon entering the overbought area on 03 February ’20 and a regular bullish divergence on 30 March ’20.
The RENUSDT crypto pair continues to trade in an uptrend confirmed by the RSI hovering above Level-30 on the weekly time frame.
A significant resistance level is recently established on 22 March ’21 (1.13236) after the REN price pierced through the MA10.
We’ll keep an eye on this level as it will confirm a resumed uptrend.
REN/BTC Weekly chart
Looking at the RENBTC chart as a way to understand demand and interest from Bitcoin holders, we observe a break of the 0.00001548 resistance on 28 December ’20, followed by a golden cross of MA10 and MA20.
A bullish trend is in the works; however, the bulls need to surpass the second significant resistance level on 22 March ’21 (0.00001943) to see a further hike in demand for REN.
Yearly price predictions
A monthly time frame analysis of the RENUSDT shows that we should expect an initial correction of the REN exchange rate to around 0.80 in Q2 ’21 following an impending regular bearish divergence pattern.
Now, a drop of the RSI below Level-70 should build a likely bullish scenario for the year. It should confirm a healthy correction after a second hidden bullish divergence on the monthly time frame and a projected surge of about 500% to trade above the $5.00 mark.
Is the REN token a Good Investment for the future?
Considering the REN token utility and that it has already maxed out 99% of its limited supply of 1billion REN tokens, there’ll be massive demand for the token from Q2 to Q4 ’21.
Let’s not forget the technical charts revealing the flow of demand for the REN token and the projected target at $5.00.
More crypto networks are onboarded like the Solana, Avalanche, and Polkadot ecosystem; there is vast room for growth for the REN token.
Also, note that the REN token value is hinged on the use of the RVM, which increases as the DeFi ecosystem grows. The steady growth of DeFi means that the REN token will see stable growth in the coming months.
With that been said, the REN token is an invaluable investment for the future.
- REN token Market Cap projections and demand/supply scenario
Most of the REN token, about 99.72%, is currently in circulation, meaning there’s a low chance of whales dumping their REN tokens on new investors with an increase in the price.
A bearish Inside-bar and regular bearish divergence at the close of March ’21 confirms a resistance price level at 1.840, an indication that we should expect demand to slow down a bit.
If the REN price slumps below the 0.8056 support showing a bump in supply, the bulls should jump back in around the 0.80 round-number support to resume the upbeat campaign.
The RENUSDT maintains a solid upward trend on the weekly and monthly time frames. However, we should brace up for a slight correction in Q2 ’21 before increasing demand continues.
The REN token should see a 5X hike in the market cap after the current consolidation phase.