While underlying technology may be the foundation of any innovation in the crypto world, user interface is equally, if not more, important. An accessible and easy-to-navigate platform could be the difference between a successful project with a growing user base and a failed one.
Bonfida was created to improve the user experience on Serum, a Solana-based decentralised exchange (DEX). After seeing great demand, the project expanded to include other products. However, the potential for the FIDA coin to lose value poses a problem for the platform. If you are interested in the DEX, this Zatrun.com article is just for you.
What is Bonfida (FIDA) and How Does It Work?
Bonfida was launched in September 2020 to fill the gap between investors and Serum, a Solana-based DEX. The project’s role was to create an accessible user interface for this DEX. However, over time, the platform’s purpose expanded even further. Today, the platform serves as an infrastructure provider for many products and services in the Solana ecosystem. Its current most popular service is a domain name service like Ethereum Name Service.
Bonfida’s flagship product, Solana Name Service, allows the community to convert complex wallet addresses into characters that people can understand. The platform also released Jabber; the first messaging application it hopes will overcome communication barriers in Solana’s Web3. The Web3 infrastructure, as in Serum, improves the user experience in the DeFi ecosystem.
Bonfida allows Solana ecosystem investors to easily access a decentralised exchange, Serum. However, it also offers some products and services such as Solana Name Service and Jabber. As a Web3 infrastructure provider, the project has become an important foundation for many new projects being developed on Solana. For example, users can communicate on the blockchain completely encrypted via Jabber. This ensures users’ privacy.
Solana Name Service, Bonfida’s most popular product, allows users to link complex wallet addresses to a domain name. For example, you can link a difficult-to-read wallet address made up of numbers and letters to a domain name like “zatrun.sol.” This makes it much easier for anyone who wants to access your wallet to do so. Additionally, the project offers users the opportunity to create various products with different software.
What is FIDA Crypto?
Bonfida has a utility and governance token called FIDA coin that can be used in various ways, including purchasing domain names, using the platform’s bots, and staking. This token can also be used to propose or vote on proposals for developing or upgrading the protocol. When you purchase the token, you become a kind of shareholder in the project, giving you a chance to participate in the platform’s governance.
Owners of FIDA coin also can stake and earn rewards. You will need a SPL wallet like Phantom or Solflare and some SOL to pay for gas fees. If you already meet these requirements, you can get started by visiting the Bonfida staking portal and connecting your wallet. Staking FIDA allows you to earn approximately 0.1% token rewards per day.
According to CoinMarketCap, FIDA coin was launched on December 23, 2020, at $0.5677 and was immediately met with an uptrend. The asset rose to $3.62 on May 18, 2021. The asset then entered a period of consolidation. The price of the cryptocurrency then started to rise again, beginning with the announcement of a perpetual contract trading competition on August 26. On September 10, the cryptocurrency reached $8.26 and then reached its all-time high (ATH) of $59.61 in November 2021.
Is FIDA a Good Investment?
However, the celebration was short-lived, and the price quickly dropped. It fell below $5 by the end of the year and was fluctuating around $2 at the beginning of 2022. A crypto crash across the market intensified the trend of losing value, and FIDA hit an all-time low of $0.28 on June 18, 2022. The cryptocurrency is currently trading at $0.44. Analysts currently say that the token could reach over $1 in 2023.
Currently, Bonfida is the 640th largest project in the cryptocurrency market, with a market cap of over $19.7 million. The crypto market entered a bear market as of the beginning of 2022. The price of many cryptocurrencies has dropped by over 90% from their high levels in 2021. Therefore, FIDA’s price decline seems not to be due to its own problems. The adoption and usage of the Solana blockchain directly affect FIDA coin.
