If there was ever a project that portends the impending tokenization of, well, just about everything, it’s the cryptocurrency token Dentacoin.
As the name etymologically suggests, Dentacoin is billed as the “blockchain solution for the global dental industry.”
Sounds pretty niche, right? It is, though the field of dentistry ’tis not small. Then again, if the world really does move toward total tokenization over the next 10 to 20 years, we might just look back at Dentacoin as early arrivers, not band-wagoners.
So let’s take a closer look at this unique project and see if it’s worth considering for a speculative play.
What Dentacoin does
Simply put, DCN is being aimed becoming the currency of choice for dental payments, treatments, etc.
Specifically, though, the DCN ecosystem is going to do a few interesting things. First, there will be a “Trust Review” platform where patients can rate offer public reviews on their dentists. Accountability!
There’s also a “Dental Assurance” program, a “revolutionary blockchain-based dental insurance concept” per the project website.
The Dentacoin team also wants to implement 1) a decentralized database where patients’ medical records can be secured, and 2) a decentralized exchange for trading DCN.
DCN is an ERC-20 token based on the network of the number two cryptocurrency by market cap at present, Ethereum.
The total supply of Dentacoins is 8 trillion DCN, so that number is definitely on the higher end of the cryptoverse’s spectrum in that regard. It’s not an attractive number for speculative investors.
The token’s ICO concluded at the beginning of November 2017, so the project has not been around for long at all.
The DCN price’s previous all-time high was $0.007552, which was reached on January 7th, 2018. DCN’s market capitalization at that time was just under an impressive $2.5 billion USD.
At press time, the token is feeling the bite of the ongoing bearish trends. The DCN price right now is $0.001461, and its current market cap is $475 million USD.
The Dentacoin project is perfectly interesting. And in the future, you might see lots of hyper-niche projects like this trying to tackle their respective fields.
But, still, there are are some things to keep in mind. The Dentacoin project itself is extremely early on; unlike other projects in the space, they don’t have much to show right now. And that’s fine too, but it does beg the question whether the token is overvalued presently at the $475 million market capitalization.
In my estimation, that valuation is overvalued, at least at present. Can Dentacoin hit that market cap again down the road when it does more to prove itself? Certainly. But it’s too high for my taste at the moment.
That’s no knock against what Dentacoin is trying to do. It looks like a very interesting and noble project. We just warn against rampant speculation that might get you burnt in the short-term.
CoinBureau can’t give you financial advice though, so ultimately you have to decide what’s right for you. If you like Dentacoin, it’s certainly a different kind of hodl for 2018 and beyond.
Featured Image via getway.io