What is Threshold (T)? Function and purpose $T
Utility token and governance: T allows access to the Threshold ecosystem, where holders can participate in staking, DAO governance, and node management. It is also linked to tBTC, a decentralized bridge for Bitcoin
Technology and approach: Combines advanced cryptographic tools such as proxy re-encryption (PRE), threshold signatures (TSS), and distributed key generation (DKG) to prioritize digital privacy on public chains.
Strengths and risks
Strengths
High liquidity and active volume: Promises stability in transactions and flexibility for inflows/outflows.
Strong structural support: Underpins applications like tBTC and uncommon privacy services.
Governance in the hands of the DAO community, providing real decentralization and potential for dynamic development.
Risks
High competition in the privacy and cross-chain bridge market: Projects like LayerZero, Wormhole, and others could take away adoption.
High volatility as a mid-cap token; its price may experience sharp movements.
Uncertain adoption: Its success will depend on the number of projects that use its infrastructure.
