IoT growth, partnerships, ease of mining drive Helium (HNT) price higher
Helium is a decentralized blockchain-powered network designed to allow low-powered wireless devices to communicate with each other and send data across its network of nodes.
Since July 2020, Helium’s native token, HNT, has increased 550% in value from $0.35 to a 2021 high of $2.25 on Jan. 25 as fundamentals for the network continue to improve.
Three reasons why HNT is poised for continued growth are the increasing size and coverage of its node network, the ease of running a node for passive income, and the growing number of partnerships Helium has brokered.
A growing network of nodes
Helium was founded in 2013 by Amir Haleem, Shawn Fanning and Sean Carey with the goal of creating a “People’s Network” specifically designed to improve the communication capabilities of wireless Internet of Things (IoT) devices.
Since launching its mainnet in July 2019, the network has seen steady growth in the number of active nodes and companies utilizing the Helium blockchain for IoT data transfers.
Data from Helium’s website shows there were 3,271 active hotspots at the end of April 2020. As of Jan. 26, there are 17,178 active nodes, a 525% increase over the last 9 months.
Demand for hotspots was so great that Helium sold out of units in North America and Europe, prompting several companies to create compatible devices, like the RAK Hotspot Miner or the Bobcat Miner from EasyLinkIn.
The emergence of multiple companies offering hardware that is compatible with the Helium network bodes well for the continued expansion offered by the company.
Easy node operation for passive income
Setting up a cryptocurrency mining rig or operation is no easy task. The technical know-how is high, and the funds required to develop new mining equipment that is energy efficient is quickly pricing out the average miner.
HNT miners only need an internet connection, a smartphone and a hotspot miner. The hotspots are a combination of a wireless gateway and a blockchain mining device that allow users to mine and earn rewards in the form of the native HNT token. The ease of mining HNT is likely one of the driving forces behind the network’s adoption.
New partners join the network
Aside from price action, engagement with the actual project and its blockchain is fundamental to the success of any blockchain network. The cryptocurrency sector is full of “ghost chains” that have little to no activity on them to justify the value of their tokens, and aside from bot-driven trading, many of the projects are illiquid.
A quick glance through Helium’s Twitter feed indicates that the engagement on the network is seeing steady growth as new partners are added to the network on a weekly basis.
Some of the recent partnerships include Nobel Systems, a company that hosts a parking app that monitors parking spot availability, and Airly, a company that operates a system that monitors global air quality. Helium also formed a partnership with NOWi, a company that operates a network of sensors that alert property owners when leaks and abnormal water use is detected.
The use of IoT and smart devices is likely to increase in 2021, and Helium’s numerous new partnerships and the strong performance of HNT indicate that the project is well positioned to take advantage of this trend.
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