December ushers in a whirlwind of activity for cryptocurrency enthusiasts with major macroeconomic shifts and critical developments among altcoins. Historically, December has seen significant upgrades, and this year is no exception. What are the essential points to note about the impending REZ Coin burn and the Hayabusa upgrade?
Renzo (REZ) Coin Burn
Following a burn in November, REZ Coin’s team announced that regular burns would occur on the 5th of each month. Many altcoins have suffered this year, prompting various projects to adopt buyback and burn strategies. Proactively buying back coins and enhancing treasury reserves signifies a positive move for protocols aiming to repay their community.
On November 5th, the team initiated their first burn, withdrawing over 114 million tokens from circulation. Rewarding 12.7 million REZ Coins to ezREZ stakers, the team plans to burn tokens acquired in the last four weeks on December 5th. This upcoming burn was announced on November 13th.
While these burns might not significantly impact the market short-term, reducing circulating supply could benefit medium to long-term investors. A favorable reaction to a potential interest rate cut on December 10th might also elevate REZ Coin, bolstered by positive news flow.
VET Coin Hayabusa Upgrade
Michael Poppe, an analyst favoring altcoins, frequently highlighted the VeChain (VET) Hayabusa upgrade. Scheduled for completion on December 2nd, the upgrade saw its testnet launch on November 4th, with the mainnet now incorporating Hayabusa.
The mainnet transition will conclude on December 9th, requiring validators to update to the StarGate protocol version before the deadline.
“StarGate is a pivotal component of the broader VeChain Renaissance initiative’s Hayabusa phase. Designed to transform user participation on the VeChainThor network, StarGate offers a new approach by using NFTs as staking collateral, creating a dynamic and transparent framework for delegation, reward distribution, and governance.”
Innovations introduced by Hayabusa include NFT-based staking, which impacts VTHO rewards and governance. These could potentially affect VET Coin prices in the medium to long term, depending on market sentiment.
VET Coin is attempting to recover from the $0.01244 support level but has yet to reclaim the key resistance at $0.01823. Meanwhile, BTC hovers near $92,000 as the daily closure approaches.