What is Monolith?

Monolith is a non-custodial wallet that allows users to store, manage, and spend their Ethereum-based assets with ease. Built on the Ethereum protocol, Monolith provides a decentralized and secure way for users to access their crypto, without the need for intermediaries or third-party custodians. This means no KYC, or other hectic procedures. With Monolith, it's just you, your assets, and the DeFi protocols of your choice.

Unlike traditional wallets, Monolith is designed to give users complete control over their assets, enabling them to hold, send, receive, and spend their crypto without any restrictions. With Monolith, users can enjoy the benefits of decentralization while also benefiting from the convenience of a modern payment solution.

The company is based in UK. According to their 2022 status, Monolith is not currently on the Financial Conduct Authority’s temporary crypto asset register. While crypto trading isn’t regulated, the FCA keeps a register of firms and they must pass checks for anti-money laundering and anti-terrorism activity.

Besides the app, Monolith also offers a physical card that can be used for regular payments, like buying coffee or renting an AirBnb. The card provider, Contis, is regulated by the FCA as an e-money provider, which offers some protection but not as much as you’d get with a bank. For instance, with e-money, customer deposits are stored in a segregated account, essentially ensuring that if Monolith went bust, you’d likely get back at least some of your funds. But your money isn’t covered under the Financial Services Compensation Scheme, which protects sterling deposits up to £85,000.

Monolith protocol has never been hacked. As a non-custodial wallet, Monolith's sole business model is centered around creating the most secure wallet there can ever be. The code is open-source and can be publicly audited at any time. Although the wallet is developed by the Monolith team, they can never access your private key. The private key is generated on your device, which puts you in sole control over your funds – no backdoor or gimmick. 

The wallet also has a range of safeguards in place. For example, you have to enter your PIN to access the app and you can even set daily spending limits on your account. Whether you're a crypto enthusiast or simply looking for a reliable and secure way to manage your digital assets, Monolith is your best wallet to take on your crypto journey.

How does Monolith work?

The Monolith experience encompasses two key components. There’s the Monolith wallet, your handy access point to the magic of DeFi on Ethereum. The other part is the Monolith Visa Debit Card, the tool that enables you to spend your crypto in your day-to-day life. Once you’ve added tokens to your wallet, you’ll be ready to load up your card to spend in the real world.

In order to access the Visa Debit Card, users must pass KYC. This is because Monolith is a compliant company on the territory of the United Kingdom. The KYC procedure is just like with centralized exchanges: you need a pic of yourself, an ID, your personal details (full name, address, date of birth), and a proof of address. 

Monolith can be used as a standalone app, without having to sign up for a credit card. Monolith derives its value from making it easy to buy crypto with your credit card and spend it, all on the same app. 

The Monolith Visa debit card is arguably the best feature of the platform. It lets you convert crypto to fiat seamlessly and spend it almost immediately at any location accepting Visa cards. However, there’s a limited number of supported tokens – ETH, AAVE, MKR, DAI, and TKN. Monolith charges a 2.95% fee for converting crypto to fiat, but it's free if you use their native token, called TKN.

The Monolith token, TKN, gives the community a chance to gain on the success of the Monolith card. TKN is backed by a growing basket of ERC-20 tokens that people use to pay for everyday purchases. Each time a Monolith card user spends any ERC-20 token, a 1% contribution is sent to the TKN Community Chest. Holders of TKN can then cash and burn their tokens at any time to redeem their share of the chest.

How to make money on Monolith?

The only way to make money on Monolith is to hold TKN in your wallet, and gain a share of the transaction fees that happen on Monolith. All the activity is mediated via the TKN Asset Contract, which accrues a 1% licensing fee on debit card transactions using tokens other than TKN.

TKN holders can burn their TKN in return for a share of accumulated licensing fees through a unique mechanism called “Cash and Burn”. Fees from card swipes will be assessed in the token being used to fund the swipe. These fees will be sent directly to the TKN Asset Contract. Over time, this contract will – in a fully automated way and without any management required – accrue tokens in proportion to the tokens used by TokenCard customers around the world. 

Price Prediction for Monolith — Can it hit $1000?

Buying and hodling TKN — the native token of Monolith — is one way of potentially making money on Monolith.

By looking at its current price, it’s natural to think about the chance of TKN hitting $1000 per token. This can happen sooner, or way in the future, and is determined by a couple of ever changing factors.

Let’s examine the potential growth of the TKN token by analyzing its tokenomics. TKN’s current market cap sits comfortably at ${MARKET_CAP}. With {CIRCULATING_SUPPLY} TKN tokens being in circulation today, that means a price of {PRICE} per TKN.

How did we come to that calculation? It’s quite easy, the price of a TKN token is equal to its current market cap divided by the number of tokens in circulation. Dividing ${MARKET_CAP} by {CIRCULATING_SUPPLY} gives us a result of {PRICE} for each TKN coin. 

By changing the order in the simple formula above we can use it to calculate other things as well. This helps us a lot because we can deduce the market cap of TKN at different token prices. Then, we can use the result to compare it to the current state of the network and see what would be required for TKN to hit that price.

At a price of $1000 per token, that means the current market cap of TKN would equal ${{CIRCULATING_SUPPLY} * 1000}. Remember that we arrived at this number by multiplying the amount of circulating tokens by $1000.

Now let’s shift our attention to the fully diluted market cap.

Some blockchains may have their tokenomics built in a way that only a small percentage of tokens are circulating at the beginning. This can be misleading because we don’t have the full picture and only take into account the current number of coins released in the market.

The fully diluted market cap represents the total value of a coin if all tokens were in circulation. TKN’s whole supply of tokens is {MAX_SUPPLY - TOTAL_SUPPLY + CIRCULATING_SUPPLY} TKN which means that no more coins above that number will ever be created.

These tokens are not created at the discretion of a specific entity. They are created automatically by the network to reward different actors that keep it secure.

How does this impact the price of TKN? Taking into account the current price of a TKN token, that would result in a fully diluted market cap of ${MAX_SUPPLY - TOTAL_SUPPLY + CIRCULATING_SUPPLY * PRICE}. TKN coins that have been burned are not taken into consideration because they have been permanently removed from circulation.

Whether it seems gigantic or not, the number we came to above only takes into account the current price of a TKN token. Doing the same calculation but with a price of $1000 gives us a result of ${{MAX_SUPPLY - TOTAL_SUPPLY + CIRCULATING_SUPPLY} * 1000} for the TKN protocol fully diluted market cap.

These are all crucial details to know when calculating if TKN can reach the price of $1000 per token. If the diluted market capitalization is way too high, the token has little room left to grow. Blockchains in general have no cap on the value they can reach, whether that number seems possible it’s totally up to you.

The future of TKN depends solely on its growth as a network used by tens and hundreds of millions of users.

If you’re looking to add some TKN to your portfolio, the most trusted places to get some are Binance and Coinbase.