Graph (GRT) takes flight as Web3 becomes a hot topic in the tech industry
The world is experiencing a sort of digital revolution underway thanks to modern technologies, starting with the internet itself. This has been going on for a long time now, and over time humanity has begun to change its position regarding the things it considers valuable.
For example, nowadays, data has become more valuable and valued than almost anything else. Companies like Google and Facebook are well aware of this and use the data for analytics and advertising, which has helped them rise to the top of the list of the richest and most powerful companies in the world.
However, their wealth and success is based on exploiting the data of people who had no idea it would be taken from them, or what would be done with it. This is why the blockchain industry has given rise to multiple projects aimed at giving control of this data back to people. One such project is The Graph (GRT), which has seen a resurgence in popularity recently as talk of Web 3.0 has taken off.
Why is the price of GRT increasing?
The Graph is an indexing protocol created to query networks like IPFS and Ethereum, through the creation of so-called “sub-graphs”, which are open APIs. Recent data shows that the project’s native token, GRT, dropped to a low of $0.34 around January 24. After that, the token made a number of attempts at a sustained break above its main support and resistance at $0.48.
Experts believe that there are three reasons why GRT is gaining momentum, namely a wave of new subgraphs, increased focus on network capabilities due to community engagement, and finally, the rise of Web3.
Regarding the first of the three reasons, it has recently been noticed that the list of subgraphs is getting longer. These include subgraphs for dApps and popular blockchain protocols. These open APIs can be created by anyone, and their goal is to make data more accessible to users, and to make the Graph a global graph of all public information in the world.
The protocol is currently hosted on the Ethereum platform and is working on adding support for EVM-enabled networks, such as BSC, Polygon, Avalanche, Arbitrum and others.
The second reason for the rise in popularity of the project includes efforts to build community awareness and engagement with the project. This goal has been achieved through various events, such as the ongoing ETHDenver conference. The Graph is currently sponsoring a chess tournament there, hosted by Nifty Chess.
He also developed The Graph Grants Initiative, which collaborates with the data analytics platform called SimpleFi. The two are working on funding the creation of subgraphs for several DeFi protocols.
The third and final reason for GRT’s growth seems to be the growing popularity of Web3. It’s a topic that has recently begun to grow at a rapid pace, and it comes up in many mainstream conversations.
Web3 is defined as the idea of a new iteration of the Internet, based on blockchain technology. It incorporates concepts such as token-based economy and decentralization. Web3’s goal is to take the Internet to the next level, where the majority of content and data will not be controlled by tech giants. Instead, public data would be freely accessible, while private data would be owned and controlled by individuals.
Given The Graph’s data goals, it’s no surprise that many who find Web3 desirable find their way to this project, thereby raising its price.
To learn more about this token, see our Investing in The Graph guide.