The ERA token has been a hot topic in the community lately. I've done some research and found it to be quite interesting. Simply put, ERA is the core token of the Caldera ecosystem, which provides Rollup as a Service (RaaS). Simply put, it helps developers quickly build high-performance Layer 2 chains.
What exactly are ERA used for?
1. Paying Gas Fees: In the Caldera ecosystem, cross-chain transactions and on-chain operations require ERA to pay for fees.
2. Earning Returns from Staking: Currently, the annualized rate is approximately 8%-15%, which is more stable than many DeFi projects and also contributes to network security.
3. Governance Voting Rights: ERA holders can participate in ecosystem decisions, such as new feature launches and fee adjustments.
Why is the market so bullish?
- Institutional Buying: Galaxy Digital recently purchased 5 million ERA tokens. This large-scale investment indicates optimism about long-term value.
- Deflationary Design: A portion of the token is burned every month, resulting in a 15% decrease in circulating supply compared to launch time, further strengthening its scarcity.
- Rapid Ecosystem Growth: Caldera already supports over 60 chains, boasts a TVL exceeding $800 million, and boasts over 1.8 million users, with continued expansion.
What does the future hold?
If Layer 2 demand continues to surge, Caldera's one-click blockchain launch solution could become the industry standard, naturally leading to a surge in demand for ERA. While there may be short-term price fluctuations, the long-term logic behind this token remains strong. @Caldera Official $ERA
