Top-100 Altcoin to Watch: Theta Token (THETA)

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Voyager

Theta Token¬†(THETA) is set to have a big Spring with the upcoming launch of the network’s mainnet and new mobile wallet. But, before we jump into the details of what’s planned for the next few months, it’s important to understand a little more background on Theta Network.

Under the Hood

In short, Theta is attempting to disrupt traditional Content Delivery Networks (CDNs), which provide the backbone infrastructure that delivers video streams to the end viewers. The architecture leverages a decentralized set of user-ran computing nodes that work to cache data, enabling a more efficient streaming system. Theta is initially focused on two major categories of video streaming, live and on-demand.

With live video streaming, content creators publish onto what are called ‘ingest nodes’ that run on computers contributed by the user community. These ingest nodes are responsible for transcoding the video stream to different bitrates and resolutions. From there, the caching nodes pull the video streams and relay the data to the end viewers.

For on-demand streaming, the only difference is that content creators upload the source video file to a storage system for later retrieval.

To facilitate this architecture, Theta is currently building out its protocol. As outlined in the Theta white paper, the protocol incentivizes the major players in the decentralized system, including caching nodes, content creators, advertisers and viewers. Caching nodes earn THETA for caching and relaying video streams to other views, while advertisers are able to fund ad campaigns with tokens to support content creators, streaming sites and viewers. These viewers, in return, can give their tokens to their favorite influencers and content creators.

Mainnet Launch and More

Theta made waves in November when Tencent (TCEHY) partnered with blockchain esports entertainment platform Sliver.tv, owner of the Theta project, to create a dedicated esports channel for the battle royale game Ring of Elysium. The channel is powered by THETA and features streamers from FaZe Clan, Method and NRG, as well as giveaways, predictive markets and other engaging content.

Moving forward, Theta’s mainnet is scheduled to launch on March 15, with a 1:1 token swap from ERC-20 THETA to the native token on the Theta blockchain. The total supply will be capped at 1 billion.

Additionally, an initial supply of the new operational token of the protocol, Theta Fuel, will be seeded. According to the announcement, this is projected to be a 5:1 distribution for each THETA held.

Theta Fuel will increase in supply approximately 5% per year, subject to adjustment based on network demand. Validator nodes and guardian nodes that stake Theta to the network will earn these new Theta Fuel tokens, proportional to the amount of Theta they stake relative to the total amount of Theta staked.

To help maintain a balanced equilibrium of Theta Fuel in circulation, all Theta Fuel used as gas to deploy or interact with smart contracts will be burned.

Apart from the mainnet launch, Theta will be releasing its own mobile wallet for Android and iOS, in addition to the start of the first Theta-exclusive livestreamers on Sliver.tv in February.

Trading History

THETA/USD via CoinCodex

Theta Token’s price has been on a tear over the past month, currently up over 32% to $0.067442. This brings the token’s market cap to $48 million, making it the 67th largest cryptocurrency.

Final Take

Theta’s potential market size, partnerships with major tech and gaming players and the fact that it will be launching its mainnet and other products in the coming weeks definitely make the project one to keep an eye on.

More: Theta: Decentralized Video Streaming Powered by the Blockchain

Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.

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