I have found! Finally…I have found the next Big narrative of the coming bull run. This is exactly where I will find the next big opportunities. But as per my research, these projects will not be your usual Layer 1’s or Layer 2’s. 

These will be the Picks and Shovels of the Web3 ecosystem. See when I invest in picks and shovels, I am not relying on the prospector for gold (individual crypto projects) to be successful. Instead, I am selling the tools all projects need, like picks and shovels.  Like storage, oracles, and our topic for today, data organization and queries. See why I love this sector of crypto and why I feel these 3 projects have the most potential for the next bull run.

Project 1: The Graph

I know you’ve heard me say this before. You are probably bored with it by now. But Web3 infrastructure, especially areas like oracles like Chainlink or querying protocols like PARSIQ and The Graph are some of the lowest risk areas of the market. Here are some projects I like.

So, The Graph is the behemoth in this sector. The top dog. This project is the biggest player in this category in terms of adoption and project value. The Graph has some great features like letting you create your own Subgraph for say Uniswap or Dodo Finance. That’s pretty cool. The Graph uses Graph QL, a powerful query language. Very different than the simpler REST APIs that Covalent, our #3 choice, offers.

The Graph also has one of those things I LOVE. A burn mechanism to not dilute the supply too much. You know I like it. It’s in our 50X Master Portfolio. But if I expect the industry to grow from here, and it will grow again, then why would I think there will only be one winner in this vital category?

The Graph is the #45 project by market value with a value of just over $1 billion. They’ve issued 91% of all their tokens and have the burn mechanism I mentioned before. The only major downside to its tokenomics is that while the current total supply is 10 billion, it COULD BE infinite.

Something to watch out for. Do you have any Web3 infrastructure projects in your portfolio right now? Let us know in the comments below.

Project 2: PARSIQ

Now our top value Web3 infra project, PARSIQ. There’s a lot to love about this project, too. I think it offers nearly everything The Graph does but its token costs 60x LESS. Yes, you heard that right. Instead of $1 billion, a value of only $16.4 MILLION. PARSIQ has basic API solutions like Covalent and advanced customized API solutions like The Graph. Its Tsunami API lets you do all kinds of filtering that many other APIs don’t offer.

In fact, their Data Lakes program will design a whole custom API just for 1 specific project. It’s an amazing service for complex projects. It’s like having a separate custom development team just for what your project needs from querying. But without the overhead, expenses, and salaries to pay.

Again, amazing versatility, flexibility, and options for projects of all sizes, and yet they are only a fraction of the price of The Graph. I expect both to grow from here. Coming soon is some big news improving $PRQ’s tokenomics, so I expect PARSIQ’s price to reflect its true value much sooner rather than later.

Project 3: Covalent

Covalent is in the ‘organizing blockchain data’ part of Web3 infrastructure. Remember, all blockchain data is just a series of 1s and 0s so it needs to be organized in some way so I can search for our transaction data or for that whale wallet I want to follow. These types of services give block explorers what they need to be such effective tools for us.

Covalent has what they call a unified API. All 3 on our list today use APIs as a way to communicate with the chain to get the data they need. Covalent says they can act as a ‘single API for many blockchains’. That’s good, right?

Well, yes and no. Simple is good. There’s no question about that. And from the many transactions it has processed, Covalent’s APIs work. Again. That’s good. But what about if a chain has a special customized need? Or the chain has different tech from EVM like Cardano which has unique tech but follows the same UTXO transaction model as Bitcoin.

Is all that compatible with Covalent’s existing API? It looks like sometimes yes and sometimes no. So Token balances and transaction history are good. And for projects adding crypto taxation info is a nice benefit too. But it also looks limiting in some ways.

More About Covalent

Now, let’s look at the token. Because I am investing in tech, I am investing in the token. Covalent is currently the #352 project by market cap at $66 million. It has 60% or 607 million out of 1 billion tokens issued. The price is 10.3 cents for the $CQT token. But here’s the thing:

  • Its tokenomics sucks. I mean really sucks.
  • Team and Advisors only have 16.4%. That’s pretty good.
  • The 2 private sales and public sales for 27% have taken place already
  • So the only amount I know for sure is available for the public is the Public sale of 3.4% which already took place AND Staking for 8%. This means 11.4% and however much of the 20% for Ecosystem you feel comfortable allocating is all that’s available for the public.

This is one of the lowest numbers we’ve seen anywhere for any project. That said, if you believe in it and think the insiders will hold on, you can get the token and stake it for a return of up to 20% depending on platform fees. So overall, pretty good on the tech but not so great for the token

⬆️ For more cryptocurrency news, check out the Altcoin Buzz YouTube channel.

⬆️ Our popular Altcoin Buzz Access group generates tons of alpha for our subscribers. And for a limited time, it’s Free. Click the link and join the conversation today.

The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted levels of risk tolerance of the writer/reviewers and their risk tolerance may be different than yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments so please do your due diligence. Copyright Altcoin Buzz Pte Ltd.


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.