$CKB is currently a trending project, currently ranked 116 in the crypto market (data from November 8), with a market capitalization of 4.2 billion RMB, and a current supply of 45.7 billion. The highest price was on April 1, 2021, valued at 0.3 RMB, while the lowest price was on December 20, 2022, valued at 0.014 RMB. Over the span of a year, CKB fell by 30 times, and currently, the price of CKB is close to 0.1 RMB. With the rising value of Bitcoin, as a Layer 2 of BTC, can CKB still rise 10 times? Even a hundred times? Personally, I think it is still possible.

CKB Price Chart

  1. On technological advantages

    • Flexible smart contract support: CKB adopts the Cell model, supporting UTXO-based flexible smart contract writing, unlike Bitcoin's more limited scripting language. This allows CKB to support more complex decentralized finance (DeFi) protocols, providing greater scalability for BTCFi.

    • PoW consensus mechanism: CKB uses the 'Nervos Consensus Protocol' and proof-of-work (PoW) mechanism, providing high security for its ecosystem. As a Layer 2 solution for Bitcoin, CKB can enhance the efficiency and scalability of Bitcoin transactions while ensuring security.

    • Cross-chain bridge (Force Bridge): CKB's cross-chain bridge allows interoperability between Bitcoin and chains like Ethereum, BSC, etc., which is particularly important for BTCFi applications. Through the Force Bridge, CKB enables Bitcoin and other crypto assets to circulate freely in DeFi applications, attracting more users to participate in the BTCFi ecosystem.

    • Innovation in storage layer: CKB's Layer 1 provides 'value storage' functionality (similar to Bitcoin's value storage) and the capability of a 'general computing layer.' This combination enables CKB to support a diverse range of DeFi applications and even meet the long-term storage needs of Bitcoin assets, providing a more solid underlying support for BTCFi applications.

      cell model


    2. In application scenarios

    • DeFi applications: CKB supports typical DeFi applications including lending, trading, stablecoins, liquidity mining, etc. Borrowing and collateralizing Bitcoin assets through CKB allows Bitcoin holders to gain more liquidity without selling their assets, providing a solid foundation for the development of BTCFi.

    • Decentralized exchanges (DEX): Utilizing CKB's cross-chain capabilities, BTCFi can support decentralized trading of Bitcoin with other crypto assets. Unlike Ethereum-based DEXs, CKB's PoW security and lower transaction fees provide a better user experience for BTCFi trading.

    • NFT and asset management: CKB supports the integration of Bitcoin assets with NFT technology, enabling the buying, selling, collecting, and managing of assets such as digital artworks and virtual real estate in BTCFi. Additionally, CKB can serve as a storage management tool for assets on other chains, making Bitcoin asset management more flexible.

    • Decentralized identity (DID) and payments: CKB can also integrate with DID to achieve decentralized identity management and payments for Bitcoin. Especially in decentralized finance payment scenarios, CKB can provide Bitcoin users with more secure payment and identity verification methods.

      DID

    Summary: CKB has developed smoothly, with the Nervos team established in 2018. The mainnet launched in 2019, and in the early days, many people were not enthusiastic about this project by Chinese developers, thinking that relying on technology wouldn't lead to price increases, while random buying would result in surges. They questioned the usefulness of technology. In fact, those altcoins and speculative tokens are fleeting; without technological support, there would be no opportunity for these tokens to emerge. The tide of the times will eliminate worthless things. CKB has faced many challenges in recent years and now serves as a Layer 2 expansion for Bitcoin, addressing some issues in the Bitcoin ecosystem. As Bitcoin is a leading project, CKB, as a technical support, will naturally not be too bad. It aims to solve existing user problems, streamline complex processes, protect users' funds, and promote the Bitcoin ecosystem further.

    CKB

    @CKB Eco Fund #CKB助力比特币生态