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One month ago, Factom was sitting as the 70th most valuable cryptocurrency by market cap on November 4th, and traded at $66.50 USD. At the time, the cryptocurrency bore a total market cap of $581,577,337 USD.
Now the 43rd most valuable cryptocurrency, Factom trades for $13.77 USD today, and bears a total market cap of $120,399,633 USD. For investors holding bags since last month, that development marks a 40% decline. Similarly, the market cap has diminished by approximately 40% .
This means that Factom is facing an overall drop of 79% in valuation and market cap. Currently, however, the token has seen a 29.92% increase in day-on-day trading.
What is Factom?
The Factom development team have found three key areas on the Bitcoin network and have set out to sort them out. The project is looking to resolve the issues of the glacial speed at which it takes Bitcoin to transact, the ever-increasing cost of transacting in Bitcoin and the congestion that occurs owing to the cryptocurrency’s scaling problems.
Businesses are particularly aided on this network and the nature of the protocol lends itself to those which see important data moved from person to person often. Medical documents, for example, require accuracy and reliability and the information must be stored in like.
The network has another sneaky way to reduce cost because the documents and data which is stored using Factom can be audited effortlessly. It cuts costs and efforts of security trying to store data accurately. Two major concerns for online storing of important documents are the security – the document could be prone to hacking – and the cost – it is an expensive endeavor to store things safely online. Factom is looking to change that culture.
The project takes a two-token approach with Factoids, which decentralize the system to avoid the awful network spams and which can be traded freely on their own chain on the Factom network, and Entry Credits (ECs), which can be used to pay for Entries to vote on the integrated system. ECs don’t hold much value and their point is to allow a user to add data to the system.
Factom entered the picture
Factom is one of the more matured projects in blockchain at this time and began its life in 2014. Not only does the team have years of experience, they have figures of wealth and knowledge with Peter Kirby as Co-founder and CEO of the project working with Abhi Dobhal as Vice President of Product Management.
The project has certainly made waves in its time and has users with over 11 million entries on the network. There are some pretty remarkable partnerships deals on the side, too, such as working with the US Department of Homeland Security to offer the audit trails for data collected at the U.S. borders. They also have the Gates Foundation on their side for medical records storage.