May 4, 2023
By Murtuza Merchant
As Facebook transitioned to Meta, metaverse-related tokens experienced a significant increase in value. Similarly, when ChatGPT launched, tokens backed by AI technology saw substantial growth.
Narratives, or hot topics, have the power to captivate attention and draw investors. Although some narratives are short-lived, they can evolve into lasting trends if they gain enough traction.
Recently, China announced a $92-billion investment in its economy and eased its crypto legislation. This development led to a positive impact on several Chinese-related tokens.
If Bitcoin continues to reach new highs, this China-related trend is likely to persist. In this article, we delve into five microcap tokens (market cap under $100 million) with Chinese origins or connections that have piqued the interest of Chinese investors.
QuarkChain ($QKC): A Scalable Blockchain Solution
QuarkChain, founded by former Facebook employee Qi Zhou, aims to be a scalable, secure, and decentralized blockchain capable of processing at least 100,000 transactions per second.
This high-capacity, peer-to-peer transactional network addresses the Blockchain Trilemma by maintaining scalability without compromising security and decentralization. With a market cap of $76 million, $QKC is listed on major exchanges like Binance and KuCoin and has 77,000 followers on Twitter.
SelfKey ($KEY): Empowering Users to Control Their Identity
SelfKey, a blockchain-based identity platform, enables users to securely store and control their data, documents, and digital assets. The platform provides individuals, companies, exchanges, startups, and banks with an identity management solution (including KYC).
With a market cap of $65 million, $KEY is listed on Binance, Kraken, and KuCoin, and has 40,000 followers on Twitter. SelfKey’s technology represents a futuristic Web 3/Metaverse-related approach where users retain control of their data, stored in their digital wallets.
Flamingo ($FLM): Decentralized Finance on the Neo Blockchain
Flamingo, a decentralized finance platform based on the Neo blockchain, enables users to stake their crypto and earn rewards in the form of $FLM. Founded by Chinese crypto entrepreneur Da Hongfei, who also created the Neo blockchain, Flamingo allows users to provide liquidity to markets through staking. With a market cap of $54 million, Flamingo is listed on Binance, OKX, and Gate.io, and has 38,000 followers on Twitter.
Linear Finance ($LINA): Efficient Cross-Chain Synthetic Asset Trading
Linear Finance, a cross-chain, decentralized protocol, allows users to create, trade, and manage synthetic assets efficiently. Headquartered in Hong Kong, Linear Finance enables users to trade synthetic assets quickly and cost-effectively across different chains.
With a market cap of $59 million, $LINA is listed on Binance and KuCoin and has 65,000 Twitter followers.
IRIS Network ($IRIS): Facilitating Blockchain Interoperability
IRISNet, a blockchain project developed by Chinese tech company Bianjie AI, serves as a communication relayer for blockchains and their applications. This infrastructure enables cross-chain data and token transfers by connecting different blockchains through an interoperability standard. With a market cap of $52 million, $IRIS is listed on Binance and has 37,000 followers on Twitter.
These five micro-cap Chinese-related altcoins hold the potential for significant growth if the Bitcoin rally continues.
However, they may face challenges due to their inflationary nature and competition in the market. While these tokens may offer short-term trading opportunities during the next Bitcoin rally, long-term investments might not be as promising.
About the author
Murtuza Merchant is a senior journalist and an avid follower of blockchain and cryptocurrencies.