HoloToken, an ERC-20 substitute for the credits on the Holo platform, has performed relatively well in recent times. Find out how the tokens will be used.
With HoloToken’s (HOT) impressive performance as of late, it has become one of the hottest topics in the cryptocurrency world.
The token gained the attention of crypto enthusiasts when it reached US$0.001913 early into its life. While HOT slumped together with most cryptos in the bearish market, it has since gained in footing in the scene and its price has been growing ever since. HoloToken’s price rose up to as high as US$0.001497 on September 8.
— Crypto Stats Bot (@CryptoStatsBot) October 5, 2018
As of October 5, one HoloToken is worth US$0.00112591, 5.23 percent from the price a week earlier. The token is also among the top 50 largest cryptos with a market cap of US$155 million.
With the entry of the relatively new crypto into the market, many have asked—what are HoloTokens for?
Tokens are Used as Fuel for Holo
HoloToken is an ERC-20 token that serves as a temporary substitute for the Holo fuel that would, similar to Ethereum’s Ether (ETH), the gas powering the Holo platform. Holo is a multipurpose decentralized network that, among other functions, acts as a cloud hosting service.
Using the Holo fuel, application developers can lease hosting services and storage capacity from willing people. Computers needed to host peer-to-peer applications not need to run high-end graphics cards or application-specific integrated circuits (ASICs) as the Holo team claimed that even run-on-the-mill computers, as well as smartphones, could perform the required tasks.
The hosts, for their services, would be incentivized with Holo fuel. The host would hand the provider a Proof-of-Service invoice that, when validated, would serve as the bill for the hosting services. Hosts, then, could cash their Holo fuel into fiat currency.
Moreover, users can use the Holo fuel to purchase in-app accessories, access, and other services.
Holo just finished its initial coin offering (ICO) on the end of May, in which it raised 30,202 ETH for more than 133 billion HOT. As the project is at a relatively early stage, HoloToken holders could simply research and wait for further developments to understand if the crypto will further increase in price or not.