Internet Computer (ICP) is a cryptocurrency that allows users to create apps, websites and other web-based services. It is unique compared to other cryptocurrencies as it is less of a cryptocurrency and more of a network of apps that powers up the internet. ICP's main goal is to facilitate the decentralisation of the internet using blockchain technology so that users can avoid pricey services like Amazon Web Services and Google. ICP also allows the creation of DeFi (decentralised finance) apps that are much more efficient and cost-effective than mainstream financial services like PayPal and Western Union.
ICP was developed by the Dfinity Foundation, a Zurich-based non-profit, and is backed by high-profile investors like Polychain Capital and Andreesen Horowitz. It was launched in May 2021 and had a hefty launch price of $731, making it the 8th most valuable crypto by market capitalisation. However, the coin dropped to less than $150 within minutes. ICP has since experienced wild price swings and high volatility.
Some analysts believe that ICP is an ambitious project with a lot of potential, while others argue that its over-ambitious goals do not guarantee success. The direction of the ICP price will depend on its continued adoption by the cryptocurrency community and the overall direction of the crypto markets. Therefore, it is important to do your own research and assess your risk tolerance before investing in ICP.
Characteristics | Values |
---|---|
Launch Date | May 2021 |
Launch Price | $731 |
Current Price | $4.92 |
Market Cap | $3.8 billion |
Fully Diluted Market Cap | $9 billion |
Main Goal | Decentralization of the internet using blockchain technology |
Use Cases | Platform for creatives to develop websites, apps and other web-based projects; creation of DeFi apps |
Founders | Dfinity Foundation |
Backed By | Polychain Capital, Andreesen Horowitz |
ICP Price Prediction for 2022 | $26.03 (Digital Coin Price); $8.09 (Long Forecast); $4.47 (Wallet Investor) |
ICP Price Prediction for 2025 | $13.03 (Digital Coin Price); $5.60 (PricePrediction); $0.7082 (Wallet Investor) |
ICP Price Prediction for 2029 | $81.94 (Digital Coin Price) |
What You'll Learn
Internet Computer Coin's price history and future predictions
Internet Computer Coin Price History and Future Predictions
Internet Computer (ICP) is a cryptocurrency or digital token that allows users to create apps, websites, and other web-based services. The cryptocurrency was created by the Dfinity Foundation, a Zurich-based non-profit, and is backed by well-regarded venture capital firms Andreesen Horowitz and Polychain Capital. ICP uses a combination of queries and calls, instead of Proof of Work or Proof of Stake, to validate transactions.
ICP made its debut on May 10, 2021, with a hefty launch price of $731, making it the 8th most valuable crypto by market capitalization. The price parabolically rose to around $640.19 on its first day, before dropping to $265 within four hours. ICP mostly fluctuated between $200 and $350 in the week following its launch, before dropping below $200 on May 18, 2021. By May 20, it had gone below $130, where it stabilized and kept fluctuating between $100 and $150. By June-July, the price dropped under $50 and has not been able to recover to its highs.
As of October 19, 2022, ICP was trading at $4.92, with a market capitalization of $1.32 billion. The cryptocurrency has lost 98% of its value since its launch.
Future Predictions
Despite its poor performance since its launch, some analysts still believe ICP has the potential to increase in value in the future. DigitalCoinPrice, for example, estimates that the ICP price could average $5.20 in 2022 and $8.07 in 2023, reaching $27.18 by 2030. PricePrediction's Internet Computer price prediction for 2030 is even more bullish, estimating that ICP could average $103.98, up from $16.70 in 2025.
However, other analysts are more bearish on the future of ICP. Wallet Investor, for example, predicts that the price could fall to $0.616 by the end of 2022, and only recover to $0.7082 by the end of 2025. Gov Capital expects the token to fail completely, forecasting that the price will drop to zero in a year's time.
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How Internet Computer Coin differs from other cryptocurrencies
Internet Computer Coin (ICP) differs from other cryptocurrencies in several ways:
- ICP is a cryptocurrency or digital token that allows users to create apps, websites and other web-based services. It aims to re-create the web in a more decentralised form, challenging internet giants such as Google, Meta and Amazon Web Services.
- It runs on a decentralised network of dedicated node machines installed in independent data centres, rather than on the cloud like many other blockchains.
- It is fast, operating at web speed, whereas some cryptocurrencies can take 30 minutes or more to complete transactions.
- It is not just a digital currency like Bitcoin or Litecoin; it is a network of apps that powers up the internet.
- It combines the computing powers of multiple computer nodes to create a unified computer platform that can support applications of varying scales and complexities.
- It segregates smart contracts into secure code units called 'canisters', which function independently. End users can interact with these canisters through an entry point like a search engine.
- It does not rely on a centralised infrastructure like a Google server. Instead, it hosts and serves applications and data directly on the blockchain, using a network of data centres to launch nodes that run on its protocol.
- It uses a four-layered consensus mechanism that includes POS (proof-of-stake), the notary layer, blockchain layer, beacon layer and identity layer. This creates a secure platform that can withstand common attack vectors without compromising decentralisation or scalability.
- It reduces costs for end users because they don't pay for the computational output of canisters. Instead, the canisters are pre-charged using cycles, enabling them to pay for their own computations through a 'reverse-gas' model.
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The pros and cons of investing in Internet Computer Coin
Pros
- Uniqueness: ICP is unique compared to other cryptocurrencies. It is less of a cryptocurrency and more of a network of apps that powers up the internet.
- High-Speed Data Processing: ICP combines the computing powers of multiple computer nodes to create a unified or central computer platform that can support applications of varying scales and complexities.
- Security: ICP uses a four-layered consensus mechanism that includes the notary layer, blockchain layer, beacon layer, and identity layer. This provides a secure platform that can withstand common attack vectors like 51% and Sybil attacks without compromising decentralization or scalability.
- Decentralization: ICP allows for the creation of decentralized finance (DeFi) apps that are more efficient and cost-effective than mainstream financial services.
- Investor Interest: ICP has attracted the support of high-profile institutional investors, such as venture capital firm Andreesen Horowitz and crypto-focused Polychain Capital.
Cons
- Volatility: Like other new cryptocurrencies, ICP has shown higher volatility than more established digital assets like Bitcoin and Ethereum.
- Competition: ICP faces competition from well-established cryptocurrencies like Bitcoin and Ethereum, as well as other new coins that are constantly entering the market.
- Regulatory Risk: The regulatory environment for cryptocurrencies is still evolving, and future regulations could impact the viability and value of ICP.
- Limited Track Record: As a recently launched cryptocurrency, ICP has a limited price history, making it challenging to predict its future price behaviour accurately.
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How to buy Internet Computer Coin
Internet Computer (ICP) is a cryptocurrency and protocol that provides a platform for creatives to develop websites, apps and other web-based projects. It is developed by the Zurich-based non-profit organisation, Dfinity Foundation.
Step 1: Open an online account
You can open an account with either Coinbase or Binance, two of the biggest exchanges that support ICP. You will be required to provide some personal information and verify your account. If you are in the US, you will need to provide additional information such as your Social Security number, home address and driver's license number.
Step 2: Get a wallet
It is recommended to get a software wallet, such as Coinbase, if you don't plan on actively trading or selling your tokens anytime soon. This is because exchanges that control your private keys can put your investment at risk in the event of a hack. Hardware wallets are generally the safest option, but they may not yet support ICP due to its newness. Coinbase stores 98% of its assets on a hardware wallet, making it a secure option.
Step 3: Buy Internet Computer
You can buy Internet Computer tokens as a market or limit buy order. Market orders will buy ICP tokens instantly at the market price, while limit orders will execute the trade once the token reaches a specified price. With ICP being a new cryptocurrency, it is recommended to dollar-cost average your investment to avoid losing money in case of a crash. This means buying the tokens in increments over time, allowing you to study price movements and stop the purchase if the price goes against your expectations.
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Internet Computer Coin's potential to challenge tech giants
Internet Computer (ICP) is a cryptocurrency and protocol that provides a platform for creatives to develop websites, apps, and other web-based projects. It was developed by the Dfinity Foundation, a Zurich-based non-profit organization, and launched in May 2021. ICP's main goal is to facilitate the decentralization of the internet using blockchain technology, allowing users to create applications without relying on pricey services like Amazon Web Services and Google.
ICP has the potential to challenge tech giants in several ways:
- Decentralization: ICP allows for the creation of decentralized applications (dApps) and decentralized autonomous organizations (DAOs), which are more secure, tamper-proof, and unstoppable compared to traditional centralized services. This eliminates the need for centralized infrastructure like Google servers.
- Cost-effectiveness: ICP aims to reduce costs associated with traditional internet services by using a 'reverse-gas' model. End users don't pay for computational output, and the barrier to entry is eliminated as they don't need to own any ICP tokens to use the platform.
- Security: ICP employs a four-layered consensus mechanism that includes a notary layer, blockchain layer, beacon layer, and identity layer. This provides a secure platform that can withstand common attack vectors like 51% and Sybil attacks while maintaining decentralization and scalability.
- Interoperability: ICP's multi-subnet architecture enables seamless communication between smart contracts on different subnets, much like services in a traditional microservices architecture. This allows for easy scaling by simply adding more subnets.
- Governance: ICP is governed by a tokenized DAO called the Network Nervous System (NNS), which is a permissionless, stake-based governance system. This allows for fully decentralized decision-making and eliminates the need for trusted third parties.
While ICP has shown potential in challenging tech giants, it is important to note that the cryptocurrency market is highly volatile and unregulated in some regions. Therefore, it is essential to carefully consider the risks and conduct thorough research before making any investment decisions.
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Frequently asked questions
Internet Computer is a cryptocurrency or digital token that allows users to create apps, websites and other web-based services. It is unique compared to other cryptocurrencies as it is less of a cryptocurrency and more of a network of apps that powers up the internet.
ICP debuted in May 2021 with a launch price of $731, making it the 8th most valuable crypto by market capitalization. The price surged to around $640.19 on its first day but has since then seen huge price fluctuations. ICP is currently trading at $4.92 as of 19 October 2022.
DigitalCoinPrice estimates that the ICP price could average $5.20 in 2022 and $8.07 in 2023. Its Internet Computer price prediction for 2025 showed that the price could move to an average of $13.03, rising further to $27.18 by 2030. Can ICP coin reach $100? PricePrediction’s Internet Computer price prediction for 2030 was even more bullish, estimating that ICP could average $103.98, up from $16.70 in 2025 and $5.60 in 2022.
ICP's price has drastically plunged from its peak, but it is hard to predict where it will go next. It is important to do your own research on a coin or token to determine if it is a good fit for your investment portfolio. Whether the token is a suitable investment for you will depend on your risk tolerance and how much you intend to invest. Never invest money that you cannot afford to lose.