If you were to invest or trade in Tfuel or any market for that matter, you should understand the company or project in which your investment would be tied. I have seen a whole lot of chart analysis here, but I have not seen a project analysis, that is what I want to address to give you a better idea of what Tfuel and Theta are all about.
Theta Labs (Tfuel /Theta) Project The goal of the Theta Labs project is to create an environment where they can harness the power of end-users / investors computational and broadband resources to plug demands in the technology sector's ever-growing needs. They are actively achieving this now, whether you know it or not, by incentivizing users to buy, own and stake both Theta and Tfuel.
The initial focus was in the Gaming/Streaming sector but has exploded to include so much more. This includes video platforms, computational projects like Foldinghome, and the NFT marketplace to name a few.
The Eco-System for Tfuel Tfuel is the gas for the network, the currency to keep things flowing through the pipes if you will. Theta Labs will be minting 4% new Tfuel each year to pay users who run Edge Nodes or simply watch Theta compliant videos. What an Edge Node is, is the exact thing the network needs to do computational jobs, such as Foldinghome or video transcoding. Those platforms that enable the Theta network for video streaming, will be turning the watchers into broadband sharers and pay them Tfuel for doing so.
The platforms will buy Tfuel from the network and pay that out to Edge Nodes for completing jobs, and watchers for helping deliver the content. This is an expense these platforms already expect as the current standard fees go to CDN's (Content Delivery Networks). What is exciting about using users instead of CDN's is it incentivizes users to watch longer, and find streams/videos in which have Theta technology-enabled. A buzzword in the industry... user retention. On top of this, the concept is not only proven but working as we speak. What's more, for the platforms the cost to run on the Theta Network will lower their cost over the traditional CDN's. The end-user in turn can sell their Tfuel back to the environment completing the circuit.
What looking at a chart won't tell you It can be easy to get lost in the nuances of a chart. The moving averages, the positive or negative candlesticks, and all the emerging patterns. What is the most important thing about Tfuel and to a degree Theta is the Upcoming launch of Mainnet 3.0. This is coming on June 30th. What is going to happen with Mainnet 3.0 is users will be able to stake (invest) their existing Tfuel (min. 10k) into their Edge Node. The network pays these stakes a percentage based on their existing stake amount and the total amount staked to the network. These users are putting their Tfuel into the pipes to get things going and being rewarded for doing so.
The formulas to understand how much you can get for staking Tfuel are already known as they have already been used and proven by the Theta staking. As we sit today May 3rd, 2021 a user staking the minimum of 10,000 Tfuel based on the current total stake of around 12% Tfuel you would yield about 10 Tfuel a day in rewards once Mainnet 3.0 goes live. This amounts to at the current price of $0.38 about $4 a day for a $3800 investment. Yearly RTO $3.80 x 365 = $1387 which is about 47%.
Why is that so good? Because as we sit here today the value of Tfuel is heavily disproportionate to the value of Theta. The Theta Stake rewards are live and paying out today. The Tfuel rewards are not yet here because Mainnet 3.0 has yet to launch. Users staking Tfuel now are doing so only to test the process and only receive a minuscule amount for doing so.
So what is likely to happen? As you can see there is a tremendous RTO based on the known numbers now for Tfuel. This will not last, because institutional investors are going to figure this out soon enough if they haven't already and are going to make the move into Tfuel. When this happens the value of Tfuel is only going to go up. Possibly hitting $1.20 by June 30th. This also means those who get the minimum Tfuel to stake now, will not only benefit from the Staking rewards, but also the price increase. Taking your $3800 investment to $12,000 whilst still paying you your staking rewards now at a higher value.
Why am I telling you this? I have an open-source philosophy. The current world works in a way with which I don't agree with. That is hoarding knowledge for the benefit of self. Yes, I have already made my investment in Tfuel. So perhaps one could argue I only stand to gain. Fair enough, but I also know that there are many out there who haven't yet, and while making this public here does run the risk of also attracting the attention of institutional investors, it also puts the knowledge out there for the little guy, something those investors would not do unless they felt it would mainly benefit themselves.
The last fundamentals to consider
Look at the team! Steven Chen (Co-Founder Youtube before Google). Mitch Liu and Jieyi Long.
3 patents on the technology so far.
Proof of Staking (Theta has been running for a year now)
Corportate investors (Sony/Samsung++)
Large cap corporate sponsors
Low transactions fees
Allows for NFT's
In closing I am humbled if you took the time to read this. I will be even happier if you take the time to do yourself a favor and learn what the Theta Network is all about. Only then will you appreciate the value of what I have laid out here. The possibility for the little guy to make a difference is right here. Earlier the better.