Japan Could See Tax Cuts On Crypto, Here Are 3 Top Cryptos To Consider As The World Continues To Welcome Cryptocurrency

Leader of Japan’s Democratic Party has promised a flat rate tax cut on crypto earnings if he is elected, highlighting the ever-growing mainstream integration and adoption of crypto. If the politician gets into power, Yuichiro Tamaki has pledged to reduce crypto taxes to 20%, matching the stock market. Given that tax on cryptocurrencies can be as high as 55% in Japan, this rate cut would likely attract new investors to the market.

Meanwhile, investors trying to cash in on the current positive sentiment in crypto are asking which currencies to invest in. Here we take a look at three very different but interesting coins – Ethereum, Atom, and Cutoshi.

Are Layer 2s The End Of High Ether Prices?

When the Bitcoin Spot ETFs pushed BTC to a new ATH, bringing Ethereum along with it, the expectation was that the Ethereum Spot ETFs would push ETH to a new ATH. Unfortunately for the ETH maxis, the price of Ethereum has dropped from its yearly high of $4,060 to its current price of $2,620.

Some people say this is because Bitcoin is more valuable and has greater liquidity than Ethereum.

However, in a recent interview with Omid Malekan, a professor at Columbia Business School and crypto book author, he points out that ETH’s key advantages include:

1. It’s high levels of decentralization
2. Very low inflation compared to competitors
3. The fact that “Ethereum has higher fees and that’s actually good for HQLA [High-Quality Liquid Assets] consideration because we always think of fees as being a cost to users which it is, but it’s a revenue to stakers.”

Malekan contends that ETH has “a positive real yield” due to its fee structure and burn mechanism. Another strength is that “the foundation barely owns any” and there are no affiliated labs with significant control.

The main challenge discussed is the Layer 2 question – whether L2s are “parasitic” to ETH by taking some fee capture in the short term. However, Malekan believes that L2s ultimately strengthen ETH’s network effects by enabling new use cases and economies built on top of Ethereum.

Atom Is Trending But Some Are Worried About North Korean Spies

Atom is up by 14.9% on the weekly, as open interest surges to a four-month high. Trading volume is also on the up, achieving a two-month high, and showing that traders are actively using the coin.

Cosmos, known by the founders as the internet of blockchains, is powered by ATOM. Cosmos has been trying for some time now to build a kind of ecosystem that focuses on interoperability between blockchains and protocols.

However, as the landscape of Ethereum-based L2s proliferates, people wonder if ATOM can live up to its potential. One problem with ATOM is that inflation is high because it has an uncapped supply.

Also, Atom via Cosmos recently experienced issues with North Korea. Cosmos co-founder Jae Kwon alleged Tuesday that North Korean agents were involved in developing Cosmos Hub’s liquid staking module, raising serious security concerns.

Kwon warned that the module’s design could threaten the security of all staked ATOM tokens and called for an immediate audit and enhanced oversight.

However, if ATOM overcomes this then many technical indicators are good. Should ATOM continue its upward trend, Fibonacci analysis suggests it may test $7.81, representing a four-month peak. If this level breaks, the next major target lies at $14.58, last seen in March 2024.

Cutoshi Has Just Listed On CMC, What Can They Offer The Altcoin Market?

CUTO is a token that powers the meme-based DeFi ecosystem Cutoshi. The token, which recently achieved $500,000 in presale funding, has also been listed on CoinMarketCap, (CMC) ahead of its official launch.

The Cutoshi team aims to join the principles of memes with DeFi, web3, and the blockchain – specifically autonomy, decentralization, and financial freedom.

Based on the Chinese Lucky Cat, Cutoshi has chosen to bring attention to their project with memeability – a move that makes sense when read together with the Q3 reports by CMC. That’s because meme coins are one of the top performing crypto markets of 2024.

According to the report, of the 42 tokens that outperformed BTC this year, meme coins dominate, with POPCAT gaining over 10,670% in the last year.

Looking at DeFi, the report says that while DeFi’s total value locked (TVL) has fallen 21.4% from its 2024 peak, it remains up 42% year-to-date.

Cutoshi is making the most of all of this by releasing a cross chain DEX for easy swaps and trading, and a yield farming platform to engage the community and allow them to earn tokens along the way. More parts of the ecosystem are being built including NFTs for use within the Cutoshiverse, and a Learning Academy to help more people access the benefits of DeFi.

Cutoshi is in presale at $0.022, having recently jumped by 46%. Given that the token is early on in the presale it will likely have a lot more upside before it launches, at which point it could skyrocket.

For more information on the Cutoshi (CUTO) Presale:

https://cutoshi.com/

Join and become a community member: 

https://twitter.com/CutoshiToken
https://t.me/cutoshi

This is a sponsored article. Opinions expressed are solely those of the sponsor and readers should conduct their own due diligence before taking any action based on information presented in this article.