Now the continued collapse of the crypto Market is why aptos’s rise has taken the community by surprise.
If you’ve been keeping up with the crypto headlines you might know that Aptos was built by the same team that was working on Facebook’s failed digital currency DM AKA Libra.
You might also know that Aptos received hundreds of millions of dollars of VC investment leading to speculation that apt would crash and burn the moment it began trading due to the cell pressure from early investors.
There was also speculation that the listing of Apt Futures could suppress its price.
For reference many people believe that internet computers ICP coin crashed and burned because crypto exchanges listed futures for ICP long before the coin began trading.
Now I can’t say I know enough to accept or reject this Theory but I do know it had Aptos fans concerned about apt when the Aptos mainnet launched last Monday.
It was clear that Futures manipulation was the least of the crypto Project’s concerns.
Aptos uses reported speeds as slow as four transactions per second, this was a far cry from the 160 000 TPS the project claimed it could handle.
To add insult to injury Aptos apparently only released the tokenomics for apt the day after its main net had launched/.
Aptos also announced that it would be airdropping apt to early Network participants, not surprisingly apt crashed in response to all this chaos.
However apt has since recovered and even hit a new all-time high over the weekend.
This is likely due to the hype around Aptos NFTs combined with the surprisingly restrictive vesting schedule for APT.
As you can see the first big vesting Cliff won’t occur until November next year.
Now this is a smart move on the part of the Aptos team because it means there won’t be very much cell pressure from early investors in the depths of the crypto bear Market.
All the most aggressive vesting Cliffs are conveniently placed around the time, the next crypto bull market should come around.
Does this mean that APT could perform well during the crypto bear Market? well, yes and no.
Aptos is a brand new smart contract cryptocurrency with a very small ecosystem relative to its peers, this means that most of APT’s price action is coming from speculation and the proof is in the Bitcoin dominance.
Bitcoin’s dominance has remained remarkably low during the crypto bear market and this is actually extremely bearish for Aptos and other altcoins.
That’s because it suggests that the retail speculation has yet to be properly flushed out of the crypto Market, not only that but Aptos has a very unique risk compared to other smart contract cryptocurrencies, it was created by developers who worked on a digital project that was literally crushed by Regulators around the world.
Regulators may be biased but they’re not dumb.
For the most part if Facebook, Instagram, WhatsApp or any of Meta’s other subsidiaries and operations happen to adopt Aptos you can bet that’s going to raise a whole lot of red flags at the three letter agencies.
Anything that resembles what Libra AKA DM was trying to do will most likely result in regulatory scrutiny.
Now this analysis barely scratches the surface of Aptos.