The cryptocurrency Constellation (DAG) has risen more than 130% in the last four weeks. The coin has outperformed both Bitcoin and Ethereum in terms of performance and could even continue to rise, according to a popular trader. But what is Constellation (DAG)? We introduce the cryptocurrency and say: what is Constellation (DAG)? Why is Constellation special? What are the price forecasts for Constellation (DAG)?

Now DAG at capital.com buy now

What is Constellation (DAG)?

Pseudonymous analyst CryptoCapo_ writes to his more than 136,000 Twitter followers that he is currently watching and accumulating the Altcoin Constellation (DAG). DAG is currently trading at $ 0.061, about 41% below the all-time high of $ 0.10 reached on May 15. DAG performed above average last month and has risen by around 130% in the last four weeks – despite the market-wide downturn.

But what is Constellation for a cryptocurrency? Constellation (DAG) is a blockchain infrastructure that has been in place since 2018, allowing anyone to build and transact business on a blockchain. According to the developers, existing blockchains do not support the speed, scalability and economic incentive necessary to create appropriate applications for enterprises.

Simply put: Constellation connects data from the real world with the possibilities of blockchain-and this through so-called state channels (L_0 standard). Constellation’s L_0 standard is designed to allow anyone to develop business mechanisms and rewards on a blockchain. According to the team,”a real evolution of the capabilities of the digital currency”.

For example, companies in all industries should be able to use Constellation (DAG) to create applications and add blockchain-like functions. Incentives can be linked to real business metrics and results, the developers promise. Like WordPress, Constellation offers an open source framework with developer tools that anyone can build on.

In addition, the blockchain aims to connect different blockchains and create so-called blockchain interoperability. Constellation is based on a network called Hypergraph, which aims to enable fast, cost-effective and scalable enterprise solutions.

What role does Hypergraph play in Constellation (DAG)?

Hypergraph is Constellations decentralized, toll Network that supports the transfer of cryptocurrency DAG. According to the developers, Hypergraph currently supports millions of transactions per month and allows the peer-to-peer network used to transfer the native token DAG. The following participants are in the Constellation network:

  • Token buyers and holders: These individuals have purchased, speculated or traded DAG and / or sent DAG as peer-to-peer currency between their wallets.
  • Node Validators: These people manage nodes (nodes) and receive DAG as a reward for participating in Hypergraph and consensus building.
  • State Channel Companies: Individuals and organizations can use the Constellation protocol HGTP to create unique companies and tokens on the L_0 standard.

What are State Channels at Constellation (DAG)?

According to the team, Constellation’s so-called L_0 State channels are a further development of smart contracts á la Ethereum. This is not only to create a new cryptocurrency standard, but also data security, traceability and accountability to stakeholders. State channels are programmatic, deterministic applications that can be built on Hypergraph using $DAG.

Why is Constellation (DAG) special?

Traditional blockchains and ecosystems typically charge fees. These are programmed and set in Layer 1 – the base layer. According to the Constellation team, this is not efficient enough to drive a digital economy of the future. The networks are also slow and cumbersome and not designed to manage complex business logic that meets real-world needs.

Constellation’s network, hypergraph, and transport protocol HGTP are designed to provide speed, security,and L_0 consensus with no base-layer fees. By creating state channels with advanced programmable business logic and peer-to-peer networking, we want to offer everyone the opportunity to develop a business that draws value from the Constellation ecosystem-with economic incentives. developer:

“Our goal is to attract the next blockchain entrepreneur to build a scalable business with trust from multiple stakeholders engaged with the business.“

It also promises backward compatibility with first-and second-generation blockchain ecosystems, allowing them to benefit from the hypergraph benefits that Constellation offers.

What is Constellation (DAG) used for?

Constellation allows businesses or individuals to tap into a crypto ecosystem and integrate blockchain technology into existing systems and applications through state channels and the L_0 standard. Normally, smart contracts cannot be integrated into existing systems and applications and only support simple data structures with limited permissions. This is where Constellation comes in and, according to the developers, offers optimization options for various use cases, including:

  • Data validation: Users can back up a data source by making it immutable
  • Shared rewards: Users can place digital assets on the chain and programmatically distribute rewards based on real-world actions and outcomes
  • Digital Currency Wrapping: Wrapping digital currencies to be compatible with other digital currencies ($DAG / Bitcoin) and providing liquidity to cross-chain ecosystems on the toll Deploy Hypergraph network

What is the DAG token?

DAG is the native, limited cryptocurrency available on Constellation’s decentralized hypergraph network. DAG enables seamless exchange and interaction between the various state channels, nodes and L_0 tokens and companies on the hypergraph. The more state channels start, the more benefit the DAG token has – and the scarcer DAG becomes. The peer-to-peer transfer of DAG is possible without a transaction fee via the Stargazer wallet.

A maximum of 3.67 billion DAG will be available in total. More DAG can not be created. Node rewards are capped at a maximum of 1.6 billion. Rewards are minted according to the underlying reward mechanics until the upper limit is reached.

Constellation (DAG) Price Forecasts 2021 – 2028

DAG plays a role as a validation reward essential role in the hypergraph network, the token also drives network liquidity via various liquidity pools. These aspects alone could have a positive impact on the price. In the short term, various traders expect a breakout in DAG. The coin is currently trading at $ 0.061, so a return to the all-time high would mean an increase of around 40%. What is valid in the longer term? Here are the DAG price forecasts from 2021-2026:

  • CoinCodex.com is generally bullish on Constellation (DAG). 23 Indicators of technical analysis give bullish signals, 7, on the contrary, indicate bearish signals.
  • WalletInvestor.com don’t expect big price jumps at Constellation (DAG). The DAG 1-year price forecast sees the coin initially rise to $ 0.10. Within the next 5 years says WalletInvestor.com then an increase to 0,32 dollars ahead.
  • Similarly, the DAG forecast of DigitalCoinPrice.com off. By the end of 2021, DAG will rise to $ 0.09. At the end of 2022, DAG then moves to 0,11 dollars. According to the price forecast, DAG will only break the 0.20 dollar limit in the course of 2026. Finally, by the end of 2028, a DAG rate of 0.28 dollars is predicted.
  • Gov. Capital’s 1-year DAG price forecast predicts a price of $ 0.10 within the next 12 months. The DAG 5-year price forecast then sees the coin triple its value and rise to $ 0.36.

Now DAG at capital.com buy now

Top Brokers for buying and trading cryptocurrencies

  • Buy Real Bitcoin or Bitcoin CFDs
  • Wallet and Exchange in one
  • 14 + Cryptos
  • EU regulated
  • Over 40 cryptos on offer
  • Fees rather in the midfield

Cryptocurrencies are a highly volatile, unregulated investment product. Your capital is at risk.