Defi Degen Land (DDL) is an online metaverse operating on the Binance Smart Chain (BSC) and Cronos network that aims to merge gamification and decentralised finance (DeFi) through play-to-earn games.
According to Defi Degen Land’s whitepaper, the project was created in order to rectify the lack of gamification in the DeFi industry. The project offers a metaverse where people all over the world can participate. The project was launched in November 2021 by three anonymous individuals.
Users can earn rewards in-game through a pending pool, be rewarded in Binance-pegged BTCB for simply holding DDL and buy non-fungible tokens (NFT) within the metaverse. Unlike most other proof-of-stake (PoS) cryptocurrencies, Defi Degen Land users do not have to stake their coins.
According to the project, Defi Degen Land was created following Facebook’s announcement in October 2021 that it would be rebranding to Meta. The change was first made known to the public through a Facebook Founder’s Letter, which described the metaverse as a place that can enable better social experiences.
What is Defi Degen Land?
DDL is a deflationary token that lives on the Binance Smart Chain (BSC). Users are rewarded 10% return in BTCB for each transaction simply by holding DDL. These rewards are then distributed between holders in accordance with their share of the circulating supply. Rewards are automatically transferred to a user’s wallet depending on how many Defi Degen Land tokens they hold. Notably, users must hold a minimum of 900 DDL tokens in order to receive rewards. Every time a user purchases DDL, 15% of the total is taken as tax – the tax deducted for selling the BEP-20-compatible token is 16%.
This is because the project aims to keep a certain percentage for each DDL that’s purchased or sold. In all, 2% of every transaction is converted into liquidity for PancakeSwap through an auto liquidity pool mechanism, 10% of each transaction is rewarded to users in BTCB, and the remaining 3% is allocated to marketing. An extra 1% fee is also applied to all Defi Degen Land sales.
Each mini game in the metaverse has its own leaderboard made up of ten players who can earn weekly rewards that vary from $50 to $500. Taking inspiration from the South Korean Squid Game television show, the objective is for players in the mini game to cross a bridge and communicate with each other through a voice chat in-game function.
A red and green light determines the movements of players within the metaverse. Making it to the end of a bridge means that a user is rewarded with four points. The leaderboard resets weekly with a $100 split between the ten players:
- the winner receives a $30 reward
- second-place receives a $20 reward
- third-place receives a $15 reward
- those within fourth and tenth place all receive $7 rewards
There are currently 150bn DDL coins in circulation from a maximum supply of 300bn, according to CoinMarketCap.
DDL price analysis: Technical view
Following its launch in November 2021, the Defi Degen Land token climbed from $0.00000403 on 25 November 2021 to $0.00002423 on 1 December 2021, an increase of over 500% in just eight days.
The coin achieved an all-time high of $0.00005847 on 3 December 2021. However, the price retreated to $0.00003439 on 4 December 2021, dropping to as low as $0.00001844 on 6 December.
DDL rallied again a day later, moving back closer to a $0.00005 level on 7 December at $0.00004472. However, after a dip to $0.00001695 on 10 December 2021, DDL fell to $0.00001004 on 15 December, wiping out 77% of its value in nine days.
The DDL price then consolidated, trading within the $0.00001 to $0.00003 range until 1 January 2022, when the price jumped to $0.00004215. After another round of volatility, the price surged again to $0.00004454 on 20 January 2022. On the following day the project announced that it was trending number one on the CoinMarketCap search engine and number three on its play-to-earn list.
Defi Degen Land has a 30-day sales volume of $367,740, according to data from DappRadar.
It’s currently (26 January) trading at around $0.000022, and ranks 1347th in the list of cryptocurrencies by market capitalisation at $3.3m.
Technical analysis provided by CoinCodex showed that short-term sentiment on DDL was bearish, as of 26 January, with nine indicators displaying a bullish signal compared to 11 bearish signals. A relative strength index (RSI) reading of 48.27 is in a neutral position. A reading of 30 or below would indicate the asset is underbought or undervalued, while a reading of 70 or above would signal an overvalued condition.
Rewards for DDL holders
A major plus for the project is that for every buy and sell transfer, 8% is redistributed to holders in BTC, who can earn tokens simply by holding DDL. Rewards are then automatically sent to users’ wallets. Defi Degen Land even offers a passive income calculator on its website for users to calculate how much they can earn through rewards.
The metaverse is at the forefront of the Web 3.0 internet evolution. Defi Degen Land may expand its digital capacities within the Web 3.0 ecosystem. It’s estimated that revenue from virtual gaming worlds could reach $400bn by 2025.
In the third quarter of 2021, total fundraising for cryptocurrency was $8.bn, $1.8bn of which went to Web 3 and non-fungible tokens (NFT). Meta-related coins were up 37,000% last year, according to data from Macro Hive.
A risk for the project lies in the fact that Defi Degen Land’s whitepaper claims that for each transaction, users will be rewarded with a 10% return in Binance-pegged BTCB for simply holding DDL tokens. However on the Defi Degen Land website, there is mention that 8% of every buy and sell transfer is redistributed to DDL holders in Bitcoin (BTC) and no reference to the 10% BTCB return is made.
It’s unclear if BTC and BTCB are used interchangeably. Cryptodaily reports that users will be rewarded with a 10% return in BTCB for each transaction for simply holding DDL.
Defi Degen Land requested a security assessment with Certik on 1 December 2021. But there is no news as to whether the project has received its audit certificate.
“Defi Degen Land taps into the Cronos network which gives it potential for growth. Cronos is an Ethereum Virtual Machine (EVM) sidechain running in parallel with the Crypto.org Chain,” Anndy Lian, chairman of BigONE Exchange and chief digital advisor for Mongolia’s national productivity agenda, told Capital.com.
“Defi Degen Land has expanded since its launch in November 2021, especially with their red and green light themed game – a similar concept to Netflix’s popular Squid Game television show. However, a drawback of DDL is that it is not listed on any major cryptocurrency exchanges yet.”
Defi Degen Land price prediction: Buy, sell or hold?
In terms of a DDL price prediction, algorithm-based forecasting service Wallet Investor gave a positive outlook. Based on historical data, Wallet Investor estimated the price rising to $0.0000249 by February 2022, reaching $0.0000654 in January 2023 and hitting $0.000155 by January 2025.
Digital Coin Price gave a more moderate Defi Degen Land (DDL/USD) forecast, expecting the token to rise to $0.00003095723 in February 2022, $0.00003620045 in 2023, $0.00004158498 in January 2025 and $0.00008772497 in January 2028.
While the Defi Degen Land prediction for 2030 is not yet available, DigitalCoinPrice suggested it could be $0.00009109512 in December 2029.
Note that predictions can be wrong. Forecasts shouldn’t be used as a substitute for your own research. Always conduct your own due diligence before investing. And never invest or trade money you cannot afford to lose.
Original Source: https://capital.com/defi-degen-land-ddl-price-prediciton
Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.
Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.
An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.