For most Proof of Work currencies, participation in the network is beyond the reach of the average token holder. Mining generally requires time, electricity, and expensive hardware. But the world of Proof of Stake is different, and there are signs that on at least one PoS network, participation and price are strongly correlated.





Consider, for example, the Cosmos network and its native token, the Atom. Atom token holders can get rewards and increase their returns by staking their Atoms and participating in the interaction and governance of the entire network. More Atoms staked means more people participating in network governance, which increases the quality of network consensus.





And that growing participation, it seems, has a positive effect on Atom’s price.





Below, you can see a chart that compares the Atom price to the number of “bonded Atoms” (Atom tokens that are staked) since the network’s hard fork this past spring. In this chart, the blue line represents the change of total Atoms staked in the entire network, and the pink line reflects the price of the Atom token in USD. Read More at LongHash...

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