Zilliqa has experienced a major dent in value in the last 2 weeks. Ever since bitcoin broke below $5000, Zilliqa (ZIL) has been on a downward slide both in terms of value and market cap rankings. This drop may be confusing for investors, and raise questions as to whether Zilliqa is worth HODLing. While this project has lost a significant portion of its value in 2018, more so in the past week, it is actually a worthwhile project in the long run. Here are a few reasons why Zilliqa is a project worth holding in a portfolio for the next couple of years.
- It got things right on the tech
It’s easy to tell the future prospects of a crypto by its core fundamentals, given that most coins have a very weak value proposition. Zilliqa is one of the most fundamentally sound cryptos in the market. As blockchain becomes more entrenched in society, there is no doubt that decentralized applications will be the norm, for their security and transparency. However, for this to be achieved, platform blockchains will have to scale, and most of them can’t do it at this point.
Zilliqa is one of the few that have overcome this challenge with a high degree of success. This means that it stands to gain in market share faster and establish a significant market presence, before scalability losses its relevance as a selling point.
- It has a strong presence in Asia (An important blockchain market)
Asia is one of the most important regions for the future growth of blockchain technology. That’s because Asian economies are not only the fastest growing in the world, they are also some of the most receptive to new technologies. This is quite clear in the manner in which, most of them have put in place regulations that are favorable to blockchain. Therefore, any blockchain project that gains acceptance in Asia is well positioned for adoption, and build its roots, before other regions catch up. Using this parameter, Zilliqa is doing quite well in Singapore and other Asian countries.
If Zilliqa gets widespread adoption in Singapore, scaling, and growth in other countries will be easier. That’s because there are lots of major global corporations that operate from Singapore. As such, if they start using the Zilliqa blockchain, they can replicate it to their operations in other parts of the world as well and spread the word about its efficiency.
- Zilliqa has a good team behind it
No matter how good a vision is, if the team is weak, it always fails. Zilliqa is one of the projects with a great team behind it. The Zilliqa team is made up of capable professionals in fields as diverse as management to computer science. They have successfully steered this project from one success to the other since 2016. This places them in a good position to keep growing Zilliqa, especially after the mainnet launch, when adoption will be the key parameter for growth. By opening offices in Europe and other areas outside of Asia, it is clear that the Zilliqa team is going for growth, and that’s a good anchor to this project’s long-term value.