THORChain Unveils Significant BTC Upgrade: Is It RUNE Crypto’s Moment to Gleam?
THORChain’s BTC update reduces confirmations from 3 to 2, potentially enhancing RUNE cryptocurrency. Could this initiate a rebound after the January 2025 downturn?
When RUNE, the cryptocurrency behind THORChain, started its upward trend in early November, few anticipated the rally would falter by mid-December. The subsequent collapse in January 2025 hit hard, proving devastating for RUNE investors and THORChain alike.
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The RUNEUSDT Downturn
Between November and December, RUNE appreciated by almost 60%.
Nevertheless, after reaching approximately $7.465 in December, values plummeted below $4.275, ultimately sinking beneath $1 by early February.
(RUNEUSDT)
Consequently, an 85% decline from December peaks left RUNE investors anxious.
Many feared a collapse reminiscent of LUNA was unavoidable.
THORChain’s situation has not improved since.
Despite the team’s efforts through the TCY airdrop news, RUNEUSDT values have remained stagnant, fluctuating without significant movement.
Claiming @THORChain‘s $TCY will be smoother than butter
— THORWallet (@Thorwallet) April 23, 2025
On the daily chart for RUNE, local resistance stands at $1.70, with base level at $0.96. A optimistic market is improbable unless buyers intervene forcefully and surpass the liquidation line.
The silver lining is that an overall recovery in the cryptocurrency crypto market may stimulate buyer interest. Furthermore, the team is dedicated to improving its ecosystem and user engagement.
Can This THORChain Bitcoin Confirmation Update Elevate Prices?
Importantly, THORChain is set to launch a pivotal news that could position RUNE among the top cryptocurrencies to invest in 2025.
With validator consent, the platform intends to lower Bitcoin confirmation needs from three to two.
This adjustment might thrust RUNE into the limelight, as Bitcoin deposits on the DEX would be processed 33% quicker, minimizing delays.
In a communication on X, THORChain developers clarified that BTC deposits currently take three confirmations, equating to roughly 30 minutes.
Halving this to two confirmations would reduce the duration to about 20 minutes.
The repercussions would be immediate. Not only would BTC swapping speeds enhance, but the update would also limit arbitrage chances and improve available volume provision.
Increased processing speeds grant traders a competitive advantage in the crypto asset landscape, where mere milliseconds can dictate gains or losses. Hence, the 10-minute improvement in capital efficiency is significant for users of the THORChain DEX.
From a liquidity provision standpoint, trading activity may surge due to enhanced available volume loops, fostering buyer interest.
Will Validators Endorse the Proposal?
Although the update appears promising, protection concerns persist.
The BTC protocol generally processes a block approximately every 10 minutes, and there are opinions that six confirmations are necessary for a transaction to be regarded as secure and irreversible.
THORChain developers contend that data supports the reduction of confirmations from three to two. Their research indicates that the risk of distributed ledger reorganization is exceedingly rare, even at two confirmations.
Furthermore, they point out that trading platforms like Binance and Coinbase, where some of the most prominent Solana meme coins are available, operate based on two confirmations, managing billions in BTC seamlessly.
In the event of a reorganization, the THORChain governance framework, Mimir, would promptly reverse transactions without jeopardizing decentralization.
The community is attentively observing the validators’ reactions. Out of 110 validators, 74 must concur for the proposal to be approved.
(Source)
To date, 61 validators are in favor of the proposal, believing it will enhance user experience and possibly elevate prices.
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THORChain Bitcoin Update: Can RUNE Crypto Bounce Back Following Q1 2025 Decline?
- THORChain aims to cut BTC confirmations from 3 to 2, thereby shortening deposit times by 33%
- RUNEUSDT experienced a sharp decline in January 2025, dropping below $1 in early February
- By adopting a 2-confirmation model, the DEX will align with major centralized exchanges such as Binance and Coinbase
- Will the validators endorse this proposal? Only 74 votes are necessary
The post THORChain Releases Key Bitcoin Update: Time for RUNE Crypto to Shine? appeared first on 99Bitcoins.
