Crazy! Millions of accounts rushed to buy BZZ at 1 a.m.! How much is the popular Swarm worth?

On the 15th, the first working day after the Dragon Boat Festival, some Chinese cryptocurrency investors took a day off! Did they stay up late to watch the European Cup? No, they stayed up late to grab a token called BZZ! Of course, most people grabbed it for nothing.

At 1:00 a.m. on the 15th, the Swarm project token BZZ was publicly offered on Coinlist. According to the rules, more than 5.17 million BZZ will be sold at a price of $1.92 per coin, and each account can purchase up to $500. BZZ can be unlocked on or around August 2.

According to the requirements, users from the United States, China and Canada are not allowed to register on Coinlist, but under the hot wealth effect, many Chinese people have purchased Coinlist accounts certified as Vietnamese users through channels, and the price is generally around $100. Some Chinese users have also passed the application with their passports.

It is reported that there are about 1.5 million accounts in the whole network rushing to buy BZZ, but in the end only about 20,000 accounts can become lucky. It is inevitable that ordinary users will be lonely because the Coinlist rush has become a business, and every time there is a rush, there are professionals who book Internet cafes to buy. It is said that there is a big god who has 56 accounts to grab BZZ, but he prepared thousands of accounts for this. In fact, there are not a few ordinary investors who prepare more than three accounts.

How much money can these lucky people make? On the 16th, some investors started selling the Coinlist account that grabbed BZZ, offering $3,500. This means that one account can earn $3,000, which is 7 times the amount with just a few clicks. However, some people also offered 7,500U, earning 7,000U, which is 15 times the amount.

The question is, how much is BZZ worth? !

Waiting for the "price miracle" after BZZ goes online, the current exchange price is likely to be "overpriced"

How much is BZZ worth? This is really hard to analyze, but putting aside "imagination", let's take a look at some more important data.

The initial issuance of BZZ is 62.5 million. Among them, early token sales and public issuance account for 50%, the team accounts for 20%, the foundation accounts for 7%, and the ecological funds account for 20%. In other words, based on the current public offering price of $1.92, the market value of BZZ's initial issuance is currently $120 million.

Assuming that the price of a single BZZ coin can reach $10 when it is listed, it means that the initial issuance market value is $625 million, and $100 is $6.25 billion. According to Coingecko's circulating market value, this is equivalent to the current circulating market value of FIL, ranking around 23rd in the entire network.

So, can BZZ be comparable to FIL?

It should be noted that 62.5 million BZZ tokens are not likely to be the final total amount, after all, Swarm will have to mine and produce more later. However, the total amount is not clear at present, and Swarm's economic model is still unknown.

At present, BZZ futures are actually sold in a non-withdrawable form on multiple exchanges, such as ZB.com, LBank, ZBG, etc. What is the price? The lowest is $192, the highest is $784, and the general price is around $181. For example, LBank launched the BZZ/USDT trading pair on May 15, and the current price is $188. However, the BZZ on these exchanges are all stand-alone coins and cannot be withdrawn.

▲Current price of BZZ on the exchange

However, these prices give BZZ a lot of room for imagination. The price BZZ can be sold for $200, which means that Coinlist’s purchase at $1.92 has a profit of 104 times, and the overall profit of a single account exceeds $50,000.

According to media reports, Swarm has officially announced that it will distribute all tokens except those publicly issued and airdropped by CoinList on June 21, including 1/3 of the current total seed and private round tokens. Some practitioners analyzed that BZZ private round was 0.25 US dollars (23.91 million tokens) and seed round was 0.2 US dollars. Even if it opened at 5 US dollars, private investors with 20 times return may dump the market.

Previously, after the Filecoin mainnet was launched, FIL was circulated in major exchanges, and the price of futures FIL soared and then plummeted. There is reason to speculate that the current exchange price is likely to be difficult to maintain.

But the market still has to answer what the price of BZZ will be. As a popular project, BZZ will soon be listed on mainstream exchanges.

The mainnet will be launched on the 21st and BZZ mining will start. It is best to wait for mining.

On June 13, Swarm launched the Bee mainnet, mainly running testnet nodes. The circulation of BZZ tokens will have to wait until after June 21, when the current testnet nodes will be officially switched to the mainnet.

Swarm is actually a distributed storage project. Miners provide storage and bandwidth for the network, and Swarm provides BZZ token incentives for miners. But the difference between Filecoin and Arweave is that Swarm focuses on Ethereum, and its main goal is to store and distribute Ethereum blockchain data. Therefore, it is essentially a content distribution network. Li Bai of Pomegranate Mining Pool described Swarm as BitTorrent + Tor (Onion Network, Privacy) + Layer 2.

Why is it so popular? There are several speculations. First, Swarm has a strong background in Ethereum, but it should be noted that Swarm has actually been separated from the Ethereum Foundation and is an independent project. Second, Ethereum's data storage and distribution does require a decentralized solution. Third, the popularity of Filecoin and Chia has opened up the valuation space for storage projects.

At present, mining services based on Swarm are very popular. And judging from the solutions provided by different manufacturers, the single investment is not low. For example, the price of Westworld's Swarm cluster hardware equipment is 166,000 yuan per unit. Of course, the price of mining equipment varies greatly depending on the configuration.

▲BZZ node business advertisements occupying Baidu search page

Can I participate in BZZ mining?

At present, Swarm has officially released very little information about the economic model. The specific application of BZZ in the ecosystem and the mining rules after the mainnet is launched are still unclear.

For example, according to current information, Swarm will be similar to Filecoin, requiring BZZ coins to be pledged for mining, but how to pledge, what is the mining output, and what kind of hardware configuration is more suitable? There is no specific white paper published yet. There is even no accurate rule for the output of mining nodes built with a series of hardware currently available in the market.

In this regard, the risk of BZZ mining is obviously not low, and there is a certain gambling element in grabbing the first mine. In other words, there are many unpredictable parts.

Ni Yiye of Westworld also said that Swarm’s economic model and technology are still immature and need to be further observed after the mainnet is launched. “Swarm is more of a grab for market heat,” he said.

Today, those who support Swarm believe that Swarm's first mining will have great benefits under the high popularity. If the launch was hasty, then Filecoin's launch was also hasty. Although it later experienced a series of challenges, it has come through with some bumps and bruises. Those who do not support it think that Swarm is too weird. It makes people feel that the launch was a bit hasty when the economic model and other aspects are not perfect.

In any case, Swarm is beneficial to the Ethereum ecosystem, and there should be no disagreement on this.