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YEREVAN (CoinChapter.com) â WeBuy (WE) is the utility token on the WeRent platform that lets users rent and lend non-fungible token (NFT) assets. The coin jumped 17% to $0.34 on Sep 19, bringing the previous monthâs gains to 29%.
Notably, the uptick did nothing to remedy the bearish sentiment on higher time-frame WE charts. The token still traded 98% below its all-time high of $16.6 in December 2020.
Meanwhile, the reasons behind the recent jump are not obvious. The WeRent platformâs official X.com (Twitter) page lacks fundamental news, except for the 26% increase in circulating supply on Sep 12, arguably not enough to push the token 17% days after the event.
According to the announcement, the circulating supply now stands at just under 300 million WE, bringing the tokenâs market cap to over $100 million. Notably, the WeBuy trading volumes dropped 34%, parallel to the price jump, which could mean the traders chose to HODL their WE in the hope of another leg up.
However, the lack of on-chain data does not support the theory. Thus, traders should be cautious of a possible bearish reversal and do their research before considering an investment.
Moreover, the token is available on two exchanges only. HTX exchange, the rebranded Huobi, holds 77% of the tokenâs liquidity, which means fewer players might be behind the price increase.
According to the projectâs website, WeBuy generates income for NFT owners and renters.
NFT rentals will be for individuals that need an NFT for a specific period. Ranging from art to utility NFTs, renting will not be limited to PFPs [pictures-for-profile].
read the whitepaper.
The whitepaper also states that the ecosystem will have a total supply of 2.5 billion WE. 25% of that supply, or 625 million coins, will be dedicated to âliquidity and staking incentives,â another 20% is dedicated to token sales, while 40% will stay at the Treasury.
Additionally, the projectâs roadmap raises several questions. âObtain a strategic partnership with the NFT marketplaceâ is the first goal for Q3/2023.
However, it doesnât mention the marketplace itself. Other goals are equally vague, such as âco-host an NFT Eventâ and âonboard NFT project to the WeRent ecosystem.â Q4/2024 goals donât make more sense, with bullet points such as âNFT, Token (Rewards/Airdrops).â
The post What is WeBuy (WE) Token, And Why Is It Rallying Today? appeared first on CoinChapter.
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