SNM coin, which has attracted attention with its rise in the last few days, is a cloud-based and decentralized computing network. In this article, as Kriptokoin.com, we answered questions such as what is the SNM coin that makes 70x, what is it used for, why is SONM rising. Now let’s examine this altcoin project, which aims to decentralize computing power, together.
What is SNM coin?
Cloud storage and computing services have started to find a place in the blockchain space in recent years. While many new projects gravitate towards this area, some of the old projects have rebranded themselves. This trend is now largely dominated by traditional tech giants. Big companies like Google, Microsoft and Amazon already hold most of their cloud services space. However, the services offered by giant companies are criticized for issues such as user privacy, cost and security.
Taking these criticisms into account, SONM was built on Blockchain, and was founded in 2017 by Alexei Antonov. The project aims to decentralize cloud services similar to Filecoin. For this, it works with a distributed computing architecture. All users can participate in this network and offer cloud storage services. However, users can purchase cloud storage areas over the network at extremely low prices. All this is possible with SNM coin, SONM’s native cryptocurrency.
What is SNM coin used for?
SONM (SNM) is a cryptocurrency built on Ethereum and the BNB Chain. This token currently has a market cap of around $125 million. It is also traded with a total supply of 44.4 million units. The circulating supply of cryptocurrencies also consists of 44.4 million tokens. With SNM coin, users can present their computers with high computing power to other users. This means that users can rent storage space by paying cryptocurrencies.
All rental transactions within the ecosystem take place in SONM’s cloud service marketplace. In this computing power market, users can be a seller and a customer at the same time. However, all sales are in the form of SNM coins. In addition, the network places importance on security as well as decentralization in cloud services. All sellers and buyers have a rating similar to their credit rating. It becomes difficult for users with low scores to access and use the platform.
Why is SONM rising?
SNM coin price was trading around $0.20 on November 19. Also, this level was a price range where SONM has been moving with a lack of momentum for months. However, on the night of November 20, the altcoin witnessed a massive price increase. The token, which was traded at $ 0.30 overnight, experienced a parabolic rise later in the day. Accordingly, the SNM coin increased its value by 70 times and rose to $ 10.98. However, after staying above $6.5 for hours, it turned bearish. Currently, the asset is trading at $1.39, down 86% in the last 24 hours.
However, there is no specific reason for the rise in SONM price. According to one claim, the rise seems to be related to SNM coin whales. This claim came from Tekedia, which analyzed the 20 largest holders of SNM. The firm claims that these addresses control 97% of the total supply. He also states that the biggest whale is the cryptocurrency exchange Binance. On-chain data shows that Binance holds 31.7 million tokens, accounting for 71.4% of SNM’s total supply. This is important as the asset is listed on Binance.
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