If you are a cryptocurrency enthusiast, chances are that you noticed a new cryptocurrency called ICP, among the top 10 cryptocurrencies on Coinmarketcap. It seemingly came out of nowhere and secured a place with a circulating supply of 123,747,068 ICP, a market cap of more than $41 billion, and an initial price of over $400. Those numbers are enough to raise curiosity in the crypto community, with many knowing very little about it.

What is ICP?

Internet Computer or ICP is a new network that markets itself as the third major blockchain innovation after the Bitcoin and Ethereum blockchains. It is the brainchild of a non-profit organization called Dfinity, which is based in Zurich.

The genesis of the ICP blockchain and token

Although ICP was listed this week on Coinmarketcap, the project has been around for five years. Its founder Dominic Williams created the project in 2016. He raised $121 million from backers who include Multicoin Capital, Scalar Capital, ZeroEX, Electric Capital, Aspect Ventures, SV Angel, Polychain Capital, and Andreessen Horowitz.

More than 50,000 people registered to the project received the ICP utility token through an airdrop in 2018. The Internet Computer alpha mainnet went live in December 2020. It was launched into the public domain on May 10 as part of a move towards decentralization.

Why the hype around the Internet Computer blockchain?

Decentralization is one of the terms that are primarily associated with Blockchain and cryptocurrencies. The idea is that platforms or systems can be operated in the public domain where no single entity has control over them. Centralization lends itself to evils such as manipulation and hacking.

ICP aims to be the protocol that facilitates the decentralization of the internet. To understand what this means, think of a decentralized exchange that does not lend itself to regulation by a central authority but instead has regulatory protocols built into the system through its immutability and smart contracts. Some decentralized platforms have already joined the ICP networks, and they include a professional social network called Distrikt, a decentralized exchange called Enso Finance, and a luxury goods provenance platform called Origyn.

The ICP is built to function at internet speeds, which likely means it will be fast, and it was also announced that it has support for decentralized applications. The decentralization agenda means the blockchain-based internet built on ICP will be completely free of centralized institutions. The platform founders hope that it will finally speed up the evolution of the internet towards an internet of value.

Information currently available on its website suggests that developers can use the Internet Computer instead of centralized servers to host websites and run other internet services. It also claims that the ICP blockchain already has built-in functionalities and the capacity to support back-end software.

Should you buy and trade ICP?

Anyone who wants to trade ICP should first conduct intensive research into its nature and review the possibilities. For example, its price peaked at $731 on the first day before dropping below $400. It traded at $334.50 at the time of this press.

ICP is already off to a volatile start. Its current 24-hour high is $390, while its 24-hour low is $330. This is good because it shows that there is buying and selling of the digital token, which may lend itself to speculation. However, based on what we know so far, its Blockchain is positioning itself to be a central pillar in the internet’s next major transition.

If the project achieves its objective, then ICP might become highly valuable in the future. This might also be supported by the fact that it has a little under 124 million ICP in supply, which means it has a limited supply just like Bitcoin. Its maximum supply is 469 million ICP and its market cap is already at a significant $41 billion.

On paper, this looks like a very good cryptocurrency to hodl, especially considering that it is still at an affordable price range. However, anyone considering buying ICP should exercise caution because there is currently no way of telling whether the project will succeed or crash like some past projects. Whatever the case, it is always a good idea to tread with caution.