What is $ICP
(Internet Computer Protocol)?
#ICP — this is the native token of the Internet Computer blockchain platform, developed by the DFINITY Foundation. The project's goal is to create a decentralized 'world computer' — a blockchain on which web services can run without relying on centralized cloud providers such as AWS or Google Cloud.
Technological foundations include:
Chain Key Technology — a single public key for the entire network, scaling subnets, seamless upgrade and non-interactive key resharing.
Network Nervous System (NNS) — an on-chain DAO that governs the network through ICP tokens and neuron voting.
📊 Capitalization, stability and dynamics
Indicator/ Value
Price/ ~ $5.4 USD (varies between $5.1–5.6)
Market capitalization/ ≈ $2.7–3.0 billion USD
Circulating supply/ ≈ 536 million ICP
Maximum supply/ Non-inflationary impossible, no hard cap; inflation initially ~10%, gradually decreasing to ~5%
ATH/ ~$750 on May 10, 2021 (−99% from current price)
ATL/ about $2.9 (September 2023)
Stability: ICP is not a stablecoin; its price is determined by the market. Due to a long period of fluctuations, it does not correspond to a stable currency — rather, it is a highly volatile crypto asset with interventionist deflationary mechanisms (e.g., converting tokens to cycles).
Price dynamics: After launching in May 2021, ICP experienced a rapid rise to ~$700, then plummeted nearly 95% within a month. After that, the price fluctuated between $5–15, sometimes reaching $20 during bullish market periods.
Development prospects
Potentials:
The network allows launching decentralized web applications, websites, DeFi, and future AI projects directly on-chain — this is a strong technical basis for long-term growth.
DAO governance via SNS (Service Nervous System) demonstrates high activity and resilience in voting: over 3,000 proposals over 20 months with consistently high participation.
Community developed by strong VC investors: Andreessen Horowitz, Polychain Capital and others have supported DFINITY since its inception.
Challenges:
Competition: Ethereum, Solana, Sui, Polkadot — strong competitors with better-developed DeFi/DAO/AI stack.
Risk of low adoption: if developers do not migrate to the Internet Computer due to the ecosystem or the complexity of Motoko, development may slow down.
Price risk: the lack of a hard limitation on tokenomics and inflation may pressure the price if the ecosystem does not generate demand.
Psychological analysis for users
From a scientific-academic perspective for your practice in psychology, it is important to pay attention to:
The illusion of a stable asset: clients may see $5 and think it is reliable — but it needs to be explained that the volatility structure makes it highly risky.
Participation in DAO: people often invest with the hope of influencing — but it is worth assessing whether they are truly engaged. Empirical research showed that the Internet Computer DAO engages voters more actively than other platforms — enhancing the sense of agency for users.
Reframing risk behavior: ICP is an infrastructural asset, not a stable store of value; clients expecting 'passive income' or stability may be disappointed.
Summary
ICP is a powerful innovative project with bold architecture and actual DAO governance. However, its price → ~$5 with a capitalization of ~$2.7–3 billion — significantly lower than ATH ~$750. High volatility, inflationary tokenomics, and strong competition remain. Prospects will depend on whether the network can attract developers, applications, and real users.
