aelf price prediction: Long-term gains expected for blockchain solution

ELF token hits 2022 lows as bear market takes hold. Can it rebound in the months ahead?

Stacks of ELF coins against grey background – Photo: Shutterstock                                 
AELF Chain uses DPoS consensus, made popular by blockchain rival EOS – Photo: Shutterstock
                                

Contents

What is aelf (ELF)?

aelf is a blockchain infrastructure enterprise founded by Beiling-based developer Haobo Ma. The technology stack utilises cloud computing infrastructure to provide scalable blockchain solutions to businesses.

A key aspect of aelf is its sidechain architecture, which allows business to operate their own independent network while benefiting from the main chain’s delegated proof-of-stake (DPoS) consensus protocols.

ELF is the native coin of the aelf ecosystem, used for paying transaction fees and DPoS staking and rewards distribution. In the following article, we break down the key components of the aelf platform and the latest aelf price predictions. What is aelf (ELF) and should you invest in the ELF cryptocurrency? Read on to find out.

Unpacking the aelf chain

aelf’s main chain (AELF Chain) uses a DPoS consensus algorithm. First popularised by EOS, DPoS allows token holders to elect network validators (called delegates) by staking their supply. Rewards accrued by delegates are shared among token holders who staked their supply into the delegate pool. Staking periods range between three and 36 months. Longer lock-up periods yield greater returns.

DPoS is touted as a more democratic alternative to the traditional proof-of-stake (PoS) method. However, as covered by Currency.com, criticisms have been levelled against the DPoS method.

Delegated proof-of-stake does not necessarily mean greater decentralisation, since preference is still given to the largest delegates by held value. aelf does not currently supply statistics on delegate numbers or voting power, but the governance whitepaper states: “During the initial phase, 17 production nodes will be elected from candidate nodes. After the chain operates robustly, two new production nodes will be added each year. The maximum number of production nodes will be determined by the community after voting on the mainnet to meet the needs of ecosystem development.”

Given aelf’s December 2020 mainnet launch, we can estimate that 19 delegates are currently validating transactions. aelf has 5,022 active accounts, according to the block explorer and the number of transactions per minute is approximately 250.

aelf coin: Key figures

As stated above, aelf is the native coin used for paying transaction fees, staking to delegates, and block rewards distribution. Block rewards are currently 0.125 ELF per block, halved every four years, and 10% of all transaction fees are burned as a hedge against inflation.

As of 26 May 13:24 BST (UST +1), ELF’s exchange value was $0.15. Out of the one billion maximum supply, 544,480,199 tokens were in circulation, resulting in a market capitalisation of $81.82m. A 24-hour circulation value of $8.1m constituted approximately 9.8% of market cap.

Screenshot of ELF coin distribution
Private ELF coin sales were not subject to any vesting periods – Source: aelf.com

The aelf Foundation reserves 12% of the total ELF supply for mining rewards. The remaining token distribution is as follows:

  • Marketing/airdrop: 12%

  • Private sales (no vesting period): 25%

  • Foundation (vested over three years): 25%

  • Team (vested over two years): 16%

  • Advisers and partnerships (vested over two years): 10%

In terms of price action, ELF has shown volatility throughout 2022. The token was trading at $0.379 on 1 January, just a day before it surged to an intraday high of $0.5774 on 2 January. From there, it dropped away to $0.33 on 1 February.

ELF was trading near the $0.40 price barrier for much of March and April, before encountering new lows in May, dropping close to the $0.20 price point on 8 May. It has since fallen further to $0.15 as of 26 May 2022.

ELF’s latest exchange value was 70% below the 90-day high of $0.505 witnessed on 23 April. ELF is available on a range of centralised exchanges, including Binance, Bithumb, Huobi and Gate.io.

Predictions for 2022 and 2025

In its aelf price prediction for 2022, WalletInvestor expects a flat trade throughout the year, culminating in an average of $0.167 at the end of December. The forecaster’s aelf coin price prediction improves in the years ahead, with an end of year target for 2025 of $0.68.

According to PricePrediction and its aelf crypto price prediction, the coin will encounter a small rise in 2022 to $0.17. The forecaster’s aelf price prediction for 2025 is $0.51.

TechNewsLeader offers a slightly more bullish aelf price prediction in the short term, presenting a 2022 target of $0.20 before heading up to $0.59 in 2025.

DigitalCoin’s ELF price prediction averages $0.20 for 2022 and $0.30 for 2025. 

Looking ahead to 2030

PricePrediction suggest an aelf price prediction for 2030 of $3.11, compared with the more bullish target of $3.95 TechNewsLeader.

According to DigitalCoin, ELF will not exceed the $1 barrier in the forseeable future, positing an average 2030 target of $0.71.

aelf price prediction: Summing up

The median aelf price prediction among these four forecasters is $0.184 for 2022 and $0.51 for 2025, making for respective returns of 22% and 240%. The coin could hit $2.58 in 2030 according to three forecasters, making for potential 17 times returns.

The ELF price targets are generally healthier in the long run than the short run, although readers should be aware that these forecasters use an automated process to make price predictions. They do not take into account certain fundamental factors and market volatility. Potential investors should seek independent, third-party advice, coupled with extensive due diligence checks, before placing an investment.

FAQs

How many aelf are there?

There are 544,480,199 ELF in circulation against a maximum supply of one billion.

Is aelf a good investment?

That all comes down to the long-term potential of the project. As an investor, make sure to do your own research into the platform’s fundamentals and technical documentation before deciding on an investment.

Will aelf go up?

The digital forecasters expect modest returns in the short term, growing larger down the line. That said, ELF could just as easily go down in value given market volatility. Always invest wisely and never with more than you can afford to lose.

Should I invest in aelf?

Currency.com is not in the business of giving financial advice. The information presented in this article is intended as a neutral resource. Make sure to assess the fundamentals of the product, as well as getting independent financial advice, before putting your money down on an investment.

Further reading

The material provided on this website is for information purposes only and should not be regarded as investment research or investment advice. Any opinion that may be provided on this page is a subjective point of view of the author and does not constitute a recommendation by Currency Com Bel LLC or its partners. We do not make any endorsements or warranty on the accuracy or completeness of the information that is provided on this page. By relying on the information on this page, you acknowledge that you are acting knowingly and independently and that you accept all the risks involved.
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