Dfinity, developers of ICP launch ‘Terabethia’ as coin set for record lows

Key Takeaways:

• ICP developers launch Terabethia to help bridge Internet Computer and Ethereum.
• Terabethia to tackle problem of Ethereum congestion, high gas fee.
• ICP potentially to drop to ATL.

NIGERIA (CoinChapter.com) – Dfinity Foundation, developers of Internet Computer, a decentralized, open-source, general-purpose blockchain designed to host smart contracts with native its native coin ICP, has developed ‘Terabethia,’ a new cross-blockchain bridge connecting the Ethereum network with Internet Computer.

According to developers, the Ethereum cross-blockchain bridge would enable ERC-20 tokens to exist natively on Dfinity’s network.

Terabethia enables cross-chain contract communication, asset mirroring, and transfers across different blockchains. Dfinity built the bridge on a forked version of the Ethereum scaling tool StarkWare.

This would allow contracts on Etherum or Internet Computer to communicate and allow anyone to mirror and use any Ethereum asset on the Internet Computer and vice versa.

Many other functions of Terabethia

The Ethereum bridge will allow Internet Computer smart contracts to hold Ethereum assets on Ethereum and make calls to them. However, it was not built to enable ERC-20 assets to exist directly.

Terabethia would also help create liquidity and complementary products for the user base of the two blockchains, such as non-fungible tokens (NFTs) or other decentralized finance (DeFi) products.

The protocol attempts to tackle the problem of Ethereum network congestion and high gas fees. Meanwhile, the Internet Computer uses a “reverse gas model” where developers supply the funds needed to run the applications or contracts that use their gas, known as “cycles.”

In a move that looked like being prepared for the integration, Internet Computer started the year with its reverse gas model to focus on scalability. It helps developers supply the funds needed to run the applications/contracts that use their gas.

ICP price continues to decline, set for new record lows

ICP price has decreased 6.48% over the past 24 hours to $24.78. This is contrary to the coin’s performance over the past week. Instead, it has experienced an up-trend of 5.0%, moving from $23.38 to its current price.

Technical indicators show that the drop may not be over soon. For example, the Exponential Moving Average (EMA) indicates a potential drop to $13, which would be its lowest price ever.

The trading volume for the coin has increased 29.0% over the past week. However, the overall circulating supply of the coin has increased 0.09% to over 190.94 million, which makes up an estimated 40.69% of its max supply, which is 469.21 million. The current market cap ranking for ICP is #41 at $4.6 billion.