Thorchain’s native token RUNE gained 30% in the last 24 hours after crypto venture firm Multicoin Capital revealed that it has accumulated a large position in the asset.
RUNE was trading at roughly $3.90 on Feb. 23 before Multicoin announced their investment, which sent prices soaring to new all-time highs at $5.61.
THORChain’s token was largely unaffected by the Feb. 22 crash that saw BTC and many altcoins dip significantly, with RUNE up 34% in the past seven days. This announcement comes off the back of a strong year for RUNE, with the price up almost 62,000% since it launched 18 months ago.
The rally has pushed RUNE up the market cap rankings to now rank as the 60th-largest crypto asset, with a total capitalization of $1.24 billion.
THORChain started in 2018 and is a decentralized cross-chain automated market maker (AMM) exchange allowing users to trade spot tokens across blockchains.
Alongside the announcement, Multicoin shared a research report in which they outlined the potential of THORChain. The report revealed that the investment firm is excited about the ability to trading tokens between different blockchains as a key opportunity for traders:
“Trading is one of the primary use cases for crypto. However, trading across chains requires users to trust centralized exchanges and use two wallets […] This process is clunky. Swapping PERP tokens on Ethereum for SRM tokens on Solana is a UX nightmare.”
Multicoin is a crypto investment firm founded in 2017, that invests in blockchain companies, cryptocurrencies, and tokens. The firm invested in decentralized music sharing service Audius in October 2020, and recently invested in Manta Network at the start of February.