Dymension (DYM), the newly launched modular blockchain, becomes the top gainer in the crypto market for the second straight day, surging over 30% again on the second day.
Yesterday, DYM surged nearly 55% after Dymension’s mainnet went live. Its trading volume soared over 7,000% on debut day and maintained a similar level today. So far, the token has surged nearly 125%, from $3.54 to currently $7.87.
The token quickly became the 65th largest cryptocurrency on the market, taking over popular meme coins like BONK and gaming tokens such as The Sandbox and Axie Infinity. The network quickly became popular among the developer community, as it’s poised to be the first platform to allow developers to create their own application chains using the Cosmos Interchain technology.
What is Dymension?
Dymension is a modular blockchain ecosystem designed to secure and interconnect application chains, named rollups, through the standardized Inter-Blockchain Communication (IBC) protocol.
It aims to enhance scalability and efficiency in blockchain systems by providing a layer one blockchain system engineered to safeguard and link rollups, thus standardizing them like the ERC standardizes tokens.
This approach enables the creation of deployable and high-speed modular blockchains, known as RollApps, intended to offer lightning-fast transaction speeds and address scalability issues inherent in traditional blockchain systems.
Why is Dymension pumping?
DYM’s massive rise in popularity within hours of launch can be attributed to several factors. The platform provided $390 million worth DYM airdrop to over 528,000 wallets, which strengthened its credibility among the developer community.
The token reached a $5.2 billion valuation shortly after launch, despite a botched start marked by transactional errors and delays. This valuation reflects strong market interest and optimism about the project’s future.
The token has also been listed on major exchanges, including KuCoin, Kraken, and Binance, with trading pairs like DYM/USDT among others. These listings have significantly contributed to its accessibility and trading volume, further driving interest and valuation.
Most importantly, the platform’s ability to create application-specific blockchains, or RollApps, has positioned it as a notable player in addressing scalability and efficiency challenges in the blockchain space.
These factors have greatly contributed to Dymension’s popularity, driving its value beyond the pre-launch anticipated prices. Despite this, Binance has marked DYM with a seed tag, indicating its innovative yet volatile nature.
It remains to be seen whether DYM can maintain its robust performance throughout the week.