Keep Network is a privacy-focused blockchain infrastructure project that allows public blockchain users to transfer and securely store data in off-chain data containers privately.
The project has caught the interest of many institutional investors and holds a lot of potential in enabling a secure decentralised ecosystem. Here’s a deep-dive analysis of the Keep Network and its future growth potential.
KEEP is the native token of Keep Network and performs a crucial role in keeping the blockchain secure and incentivising users in the platform.
Key Token Metrics
- Coin Rank: #247
- Coin Market Capitalisation (as of 21st Jan 2022): $345 million
- Coin Economics: Fixed Supply
- Coin Total Supply: 1 billion KEEP
- Coin Circulating Supply: 612.6 million KEEP (61.2% of the total supply)
Technical Analysis: KEEP Price Prediction
The overall momentum seems negative, as KEEP continue to trade below the 20 days simple moving average of the price and is hugging the lower band of the Bollinger Band. The $0.42 (₹33.18) level, the horizontal line marked in the chart, is one of the strong support points and is likely to test it before bouncing higher. Also, with RSI in an oversold condition, KEEP is looking for a bottom.
KEEP needs to break above the 50 days EMA of the price with strong volume to reverse the bearish trend.
Disclaimer: Insights and Data mentioned are Time Sensitive. Kindly DYOR to stay safe.
A Brief About Keep Network
Keep Network was founded in 2017 by Matt Luongo and Corbin Pon as a project to provide better privacy tooling for apps built on the Ethereum blockchain.
It does it by building a new data layer that creates off-chain containers called Keeps, where the data is stored securely and privately. Keeps encrypt the private data and secure it through multi-party computation (sMPC).
Even though the data is encrypted, Keeps allows smart contracts to process and use the private data without exposing it to the public blockchain through the elliptical curve digital signature algorithm (ECDSA).
ECDSA is an advanced version of the Digital Signature Algorithm (DSA) that provides a higher degree of security and is used by leading hardware crypto wallets and exchanges. DSA uses data matching or hashing techniques to secure data.
How Does Keep Network Work?
To secure the private data and keep it off-limits of the public blockchain, Keep Network uses two approaches.
First, it splits the data into different Keeps- and is randomly allocated across the network.
The Keep’s core application randomly selects the validator node operators called signers; the Random Beacon encrypts and stores the data securely. Because of the randomness in selecting validator nodes, the signer cannot conspire to tamper with the data and discourage Sybil attacks.
In Sybil attack, attackers in the system create many pseudonymous identities to influence the system and compromise the system functions.
If any validator node is found involved in dishonest behaviour, the staked tokens are seized, and the signer is debarred from the Keep Network. Also, splitting the data into different Keeps ensure no signer can decode the private data.
Keeps can interact with other cryptocurrency networks or smart contracts, giving out the necessary information without sacrificing the user’s privacy
tBTC- The First Use Case of Keep Network
tBTC was created by Keep Network and is a safe and trustless bridge between Bitcoin and Ethereum blockchains. It is an ERC-20 token, which is fully backed at a ratio of 1:1. For example, users need to deposit their BTC in exchange for tBTC tokens.
The keys to the bitcoins are stored in the Keep Network, where they are kept secure and don’t get exposed to public blockchains. By holding tBTC, BTC holders can take advantage and access the dApps built on the Ethereum network.
KEEP Token Economics
KEEP is an ERC-20 standard work token, which means, by holding them gives the holder the right to perform key functions on the network. You can stake KEEP tokens to become a validator node or signer in the network. And in return for your services as a signer, you earn staking rewards in KEEP tokens.
Regarding total supply, KEEP has a fixed supply of 1 billion units, of which only 25% is set aside for public distribution.
The increased adoption of the KEEP Network will create more demand for KEEP tokens, increasing their value.
KEEP Network Future Growth Potential
KEEP Network is a simple crypto project that aims to improve the privacy and security of data and assets in a public blockchain.
Through tBTC, Keep Network can leverage the liquidity of Bitcoins, thereby improving demand and usage of dApps on the Ethereum network. As per defillama.com, the total value locked on Keep Network for tBTC has surpassed $160 million.
The major investors in the project include- Polychain Capital, Coinbase Ventures, a16z crypto, Paradigm, etc.
Disclaimer : Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. The information provided in this post is not to be considered as investment/financial advice from CoinSwitch. Any action taken upon the information shall be at user's own risk.
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