What is degrain (DGRN)? Your ultimate guide
By Peter Henn
14:18, 27 September 2022
It’s one of many upcoming cryptocurrencies, but what is degrain (DGRN)? What is the degrain definition? What is degrain used for? Let’s see what we can find out about this new token.
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NFTs and blockchains
One of the biggest, if not the biggest, growing sectors in the entire cryptocurrency sphere back in 2021 was non-fungible tokens (NFTs). The rights to the links to individual digital pieces of artworks became a massive story, garnering interest both from crypto outsiders and from people and organisations who had no prior links to blockchain technology. While the excitement, which helped bring the market out of a summer slump last year, has died down somewhat, NFTs are still a big deal and remain prominent.
Something that is worth noting when it comes to NFTs is that they tend to operate on just one blockchain. In most cases, this is the Ethereum (ETH) blockchain, although there are some others. This means that, in effect, it is difficult to transfer your NFTs from one blockchain to another, meaning, on the whole, there are only a couple of ways to pay for NFTs, usually either with ETH or with a marketplaces own native token, which will often be based on Ethereum anyway.
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Degrain explained
One thing that aims to solve this problem is the Degrain network. This platform, which was set up in 2022, intends to serve as the first cross-chain NFT marketplace, allowing people to buy on one blockchain and sell on another.
As the platform’s whitepaper says: “Users will be able to trade and accept payments from a multitude of networks. Imagine listing your NFT on the Ethereum network and receiving the payment on up to nine networks. Imagine seeing an NFT you really want to get your hands on, which is listed on the Ethereum network and being able to purchase that NFT using BNB on the Binance Smart Chain.”
Something that is important to point out is that Degrain is not entirely clear as to how the way it allows cross-chain NFT transactions to take place actually works. As far as the whitepaper is concerned, it says: “Our smart contracts will automatically match transactions using complicated algorithms from different networks to match the offer to the native chain of the NFT.”
It is worth mentioning that, while the algorithms may well be complicated, it is hard to see why, exactly, it does not go into more detail. There will be people who are experts in systems like this – after all, it could be argued that the problem that Degrain aims to solve is not one that would have too much of an impact on many beginners to either NFT collecting or to crypto in general – who would be interested to see how things work before they decide whether or not to get involved in Degrain. After all, they are not likely to just be asking ‘what is Degrain?’ but also ‘how does Degrain work?’. That is not to say that Degrain is a scam or anything like that, but it is a piece of information that many potential investors might find useful, but it remains unavailable.
Talking of such things, Degrain does not list its founders. Again, while this is not too rare in the world of cryptocurrency, it is entirely possible that potential investors will want to know who they can hold responsible for any developments the platform might make.
What is degrain (DGRN)?
Degrain aims to make trading NFTs across blockchains easy - Photo: ShutterstockEvery blockchain-based platform needs to have its own native token, and Degrain has the conveniently-named degrain, also known by its potential ticker handle DGRN. DRGN is designed to be used to buy and sell NFTs on the network, with people involved in the business being paid rewards in the crypto.
Something else that DGRN will do is, according to the system’s whitepaper, give holders what it describes as a “lifetime passive income”. It does this by allowing the Degrain platform to collect a 2% tax on all transactions on the platform, which is then converted into wrapped ether (WETH) and distributed among the system’s holders.
Although the degrain crypto is not available to buy on the open at the time of writing (27 September 2022), it will not be long before it will be. The token’s presale will end on 30 September 2022, shortly after which the crypto will be made available on the Uniswap (UNI) decentralised exchange (DEX).
According to the Degrain website, the platform is designed to be funded by its founders and DGRN holders, explaining: “Too many projects are funded by the same venture capitalists that end up dumping upon retail investors. This will not be the case at Degrain. There will be absolutely no venture capitalist investment. Degrain will be 100% founder and community funded. Liquidity will be locked for 10 years. Team tokens will be locked for 365 days until 1 October 2023. After this, there will be a five-year monthly vesting period until 1 October 2028.”
What’s next for degrain?
In terms of what happens next to the system, Degrain has already set out a road map. The first stage, which involved setting up the website and a smart contract, as well as the launch of a presale and marketing has already taken place at the time of writing. This first section also involved an audit by CertiK. However, according to the CertiK website: “CertiK has paused Degrain’s audit and is awaiting cooperation by the team to perform KYC (know your customer checks) due to high-risk findings identified during the audit process.” This news generated a tweet from Degrain which said: “CertiK have paused the Degrain audit due to the team not going ahead with a KYC which was always said the team won’t do. We have posted proof in telegram where CertiK said no KYC will be needed for an audit. Payment was then made; days later CertiK requested for KYC.” For what it is worth, an audit by InterFi found that the system had a low-risk severity, active membership and a medium risk of centralisation.
Anyway, at the time of writing, we are currently in stage two. In this phase, the token should be listed on Uniswap, as well as have its price statistics made on CoinMarketCap and CoinGecko. Apple and Android apps will be developed, a staking smart contract audit will be made, a hackathon will take place to uncover hidden bugs and a multichain bridge function should launch. Once this is all done it will be time for stage three, which should see DGRN available on other exchanges, the launch of an NFT marketplace and a private members’ club, a crypto launchpad, partnerships with big companies and the development and launch of a governance smart contract. Finally, the system’s fourth and final stage promises a networking event, an NFT launchpad, the growth and development of a community of DGRN stakers and charitable activities. There are no firm dates set for the third or fourth stages.
Final thoughts
Before we finish this Degrain explainer, there are some things that we need to point out. Firstly, as we have said, there are some technical omissions from the whitepaper. Secondly, again, there are no people identified as being behind Degrain. Thirdly, although there is some language on the crypto’s whitepaper which indicates that DGRN will be based on Ethereum, it is never explicitly mentioned what blockchain will host degrain, meaning that we do not know for sure that we are talking about the degrain token rather than the degrain coin. Therefore, as is usual with cryptocurrency, it is important to be careful and do your own research before you decide whether or not to invest in degrain.
FAQs
Is degrain crypto a scam or legitimate?
It is not easy to tell. A lot will be more clear if and when the CertiK audit is ready. Let’s not forget that, just because something fails and loses investors money, that does not mean that it is necessarily a scam. As always with cryptocurrency, it is more sensible to be careful and do your own research before investing.
Is degrain a good investment?
It is hard to say at this stage. It might be worth waiting to see how the crypto performs once it is released onto the open market.
Where can I buy degrain crypto?
At the time of writing, there is currently a presale for DGRN, available on the platform’s website. Once that finishes on 30 September 2022, degrain should become available on the Uniswap exchange.
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