Tectonic is a decentralized protocol for money markets. Consumers can participate both as liquidity providers and as borrowers. Here, the providers of liquidity providers provide liquidity to the market and thus earn passive income. On the other hand, borrowers can borrow cash in a collateralized manner. Tectonic is a relatively small player (ranked 57th) in DeFi with around $120 million in total value locked. Tectonic operates outside the Cronos blockchain and is the 2nd largest DeFi protocol on Cronos.
The Tectonic protocol is similar to many DeFi protocols in the way it can be contributed and borrowed, as well as in the way the algorithms manage
the liquidity pools.
Below are the functions/use cases of the tectonic protocol:
- Using the Tectonic platform, traders can borrow specific digital assets and capitalize on their short-term trading vision and maximize their return opportunities.
- The tectonic platform allows users to access other cryptocurrencies for various purposes without requiring them to liquidate their assets.
- Users can generate extra returns by providing their activities as liquidity providers.
Tonic is the governance and reward token on Tectonic. 51% of the tokens were awarded as community incentives for participation, cash mining and staking prizes
.
In terms of performance, Tectonic has been in operation for 1 year. Let’s take a look at TONIC’s performance compared to the top 3 of the last 12 months
- Tonic: -46%
- LDO: +28.8%
- MKR: -63.0%
- AAVE: -42.4%
Tonic has lost value in line with most other players. However, on TVL Tonic it has lost 78% in value since its peak, which is much higher than LDO, MKR
or AAVE.
TONIC is the Tectonic platform for native tokens and has a maximum supply of 500 trillion tokens, of which 110,316,376,775,748 TONIC coins are already in circulation. The following are the main use cases of TONIC encryption
:
- TONIC holders can stake their tokens to get performance rewards in exchange.
- The TONIC coin allows its holders to participate in the governance of the protocol.
- Users can participate in various Tectonic protocol activities to earn more tokens in exchange.
Overall, there are numerous other DeFi tokens that can be considered in place of Tonic
Competitor analysis: Tectonics vs Aave
Aave is one of the popular Defi lending platforms where users can borrow and lend crypto assets. Here, lenders earn interest on their deposited assets while borrowers use their cryptocurrency as collateral. So, Aave is one of the best competitors for the tectonic protocol. Let’s make a brief comparison between the two:
| Tectonic | Aave | |
| Important audience | Users who want to earn passive income on their crypto assets and access instant guaranteed loans. | Users looking for a platform to earn interest by depositing and borrowing digital assets. |
| Categories | Crypto lending, crypto staking, yield farming. | AMM, Crypto lending, crypto staking, Dapps, DEX, Defi projects, yield farms. |
| Supported platforms | SaaS | SaaS |
As we can see, the tectonic protocol has shown positive growth in the last three months. However, that’s why TONIC fell to its lowest value right after its launch. Therefore, we certainly can’t guarantee that it has outperformed its competitor during this time because Aave has certainly shown some improvements
in recent weeks.
Competitive analysis: tectonic vs composite finance
Compound finance is another DeFi lending protocol where users can easily earn interest on their deposited cryptocurrencies. So, it’s another notable competitor to the tectonic protocol. Let’s take a brief look at their past performance and features
:
| Tectonic | Compound | |
| Important audience | Users who want to earn passive income on their crypto assets and access instant guaranteed loans. | Developers looking for an autonomous protocol on interest rates |
| Categories | Crypto lending, crypto staking, yield farming. | Crypto lending, Dapps, Defi projects, yield farming. |
| Supported platforms | SaaS | SaaS |
Here, compound finance can be seen showing positive growth since last week and is improving compared to the previous year. Therefore, it has maintained consistency over this period, unlike the tectonic protocol
.
Table of Contents:
Tectonic price forecast
Before predicting whether TONIC Coin should rise or fall in the near future, let’s look back at its price history over the past few months. Its performance in recent months may help us obtain the required context for the future. Let’s discuss
it:
Above is his chart for 1 year and as we can see that the market price of the Tectonic cryptocurrency a year ago was $0.00000075. So, there is a drop of more than 78.6% in its price in a year, considering its current price of $0.00000016. In addition, there were numerous ups and downs stating that the excursion was not really continuous. It even reached its all-time high value during that time.
The price of TONIC Coin increased by more than 38.1% in three months (although the increase was not consistent), keeping in mind that its price 3 months ago was $0.000000099. However, its price peaked at $0.00000019 during this period (as illustrated
below).
TONIC’s all-time highest value (after its launch) is $0.0000018, which it reached in February 2022. Subsequently, the price started to fall and is currently priced at $0.000000016 (once again the decline was not consistent over the entire period). In addition, its market price a month ago was $0.000000097. It means that it has increased by more than 39.3% since then
.
Note that TONIC crypto is 91.11% lower than its all-time highest price, which means it has enormous room for growth in the future.
Tectonic price prediction: Can TONIC reach 1 cent?
To reach a price of 1 cent, TONIC Coin must grow 50000 times.
After its launch, the Tectonic cryptocurrency reached its all-time highest price of $0.0000018 in February 2022, where it grew 4.09 times in just 1 month (from its lowest value of $0.00000044 in January 2022).
Therefore, TONIC encryption takes 1016 years, which is not practical. Furthermore, the current market situation of liquidity and inflation is definitely not in favor of the cryptocurrency market. Therefore, it cannot even reach that value in the calculated time. Therefore, reaching 1 cent is an impossible task. The only way this is feasible is through a very active mastering program that reduces the coins in circulation by 90% or
even more.
Tectonic Price Prediction: Will TONIC reach $1?
Considering that reaching 1 cent is an impossible goal for the TONIC cryptocurrency, $1 will be more difficult and impossible.
Tectonic Price Forecast 2023, 2025 and 2030
The 2023 tectonic price prediction is $0.000000282
The tectonic price prediction 2025 is $0.000000524
The 2030 tectonic price prediction is $0.00000224
Where can I buy TONIC crypto?
Tonic encryption can be purchased on a centralized crypto exchange, such as Crypto.com, and two decentralized crypto exchanges, namely VVS Finance and Bored Candy City.
Tectonics Price Forecast: Conclusion
Defi lending platforms provide more profitable interest rates on funds than traditional banks. It is one of the reasons for their popularity in recent times.
In addition, Defi loans are processed quickly, transparently, and without authorization. Therefore, their popularity is increasing and people are more engaged in crypto lending platforms
.
The tectonic protocol is one of these Defi lending platforms that performs the functions mentioned above and has potential.
However, the market is already very competitive with the existence of many of these DeFi lending platforms (such as Aave and Compound Finance). Therefore, it is essential that the Tectonic protocol competes with existing platforms to continue its growth in the
future.
