In the world of investments in Crypto, you have met the name Rune and you have wondered what it is and how it works. This article gives you a detailed look at the Rune cryptocurrency, the native token of the Thorchhain network, and the role it plays in its ecosystem.
For investors interested in runes, identifying a reliable and intuitive trading platform is essential. Abarai , through his swap service, simplifies the purchase process, offering a friendly interface for both beginners and experienced investors.
What is Thorchain?
Thorchain is a decentralized protocol that allows the direct (without intermediaries) cryptocurrency between different blockchains.
Imagine you want to change Bitcoin (BTC) on Ethereum (ETH). Traditionally, this requires a centralized platform, such as an Exchange. Thorchain eliminates these barriers, giving a direct and fast way to change cryptocurrencies.
Here are some important things about this blockchain:
- The main purpose, interoperability: Thorchain is designed to allow cryptocurrency exchanges between different blockchains. This means that you can trade Bitcoin for Ethereum, for example, without the need for centralized exchange.
- Operation: Use a decentralized cross-chain liquidity protocol, based on an automated market makeup (AMM). This model facilitates transactions between blockchains that were not previously interoperable.
- Cryptocurrency Rune: Cryptomoneda Rune feeds the Thorchain network. It is used as an association token that accompanies each asset from the liquidity pools of the platform.
The main features of Thorchain
- Full decentralization -everything is managed by an open-source protocol.
- Cross-Chain exchanges -allows direct exchanges between different blockchains, such as Bitcoin, Ethereum, Binance Smart Chain and many more.
- Insured liquidity - Thorchain contributes to the dilution of liquidity by associating each trading pool with runes. This approach helps to focus liquidity.
- Without oracles: Unlike other dexes based on centralized oracles, Thorchain uses arbitration traders to maintain the right prices. These traders adjust prices by buying or selling assets on different scholarships, thus eliminating the need for oracles.
Structure of Taxes on Thorchain
The structure of taxes on Thorchain is designed to support the functioning of the network and to stimulate participation. Next, we will explore swap fees, liquidity duties, runs combustion mechanism and network transaction costs.
A. Swap fees (exchange)
Swap fees are applied when users perform exchanges between assets on Thorchin. These taxes vary according to two main factors:
- Market conditions - in high volatility moments, taxes can increase to reflect the high demand.
- The size of the transaction -the larger exchanges can involve greater taxes due to their impact on the liqueurs of the poles.
Why is this fee there?
Swap fees are essential to cover the operational costs of the network and to reward liquidity suppliers. Basically, these taxes ensure the proper functioning of the Thorchin ecosystem.
Benefits for users
- Fast and effective liquidity for transactions.
- A financially supported network to provide long -term stability.
B. Taxes for liquidity suppliers
Thorchain encourages users to actively participate in the ecosystem by providing liquidity in poles. Suppliers receive direct benefits from the network collected swap fees.
How does it work?
- Directly proportional rewards -liquidity suppliers receive some of the taxes generated, in proportion to their contribution in poles.
- Clear incentives - This reward structure contributes to maintaining a constant level of liquidity, vital for the functioning of the network.
C. Transaction Fees
The last important category of taxes on Thorchain is represented by transaction fees. These fees are applied to cover the processing costs of each network transaction.
Why are they needed?
- Operational costs - Transaction fees cover the necessary resources to validate and process transactions.
- Security - These taxes contribute to monitoring and protection against cyber attacks.
The Rune burning mechanism
Another unique aspect of Thorchhain is its mechanism of burning the rune cryptocurrency. Some of the fees generated by the network is used to reduce the total run of runes through a process called "burning".
What are the benefits of the combustion mechanism?
- Reducing the total offer - as the total number of runes decreases, its value can increase (if the demand remains constant).
- Increasing the value of investors -by reducing the circulating offer, the token becomes more valuable, which is beneficial for long-term investors.
Cryptomoneda Rune: his roles in the thorchhain ecosystem
Just as Ether (ETH) feeds the Ethereum network, the Rune cryptocurrency is essential for the functioning of the Blockchain Thorchain. Rune is more than just cryptocurrency - it is the "engine" that keeps the ecosystem in operation.
It plays several essential roles for the network, causing Thorchin to be one of the most robust and safe decentralized Finance. Let's see in detail what these roles are.
Ensuring liquidity
In defy systems, liquidity is extremely important. Without sufficient liquidity, users cannot easily change their digital assets.
Rune is used to form Thorchain's liquidity poles. In each pool, Rune works as a universal pair with all other assets. For example, if someone wants to change Bitcoin (BTC) with Ethereum (ETH), Cryptocuro Rune facilitates this transaction using a Pool BTC-Rune and a Pool Rune-Eth.
In addition, users who contribute with liquidity in these pools are rewarded with runes, which stimulate participation and increase the value of the project on the market.
The Governance of the Thorchain network
As blockchain applications evolve, decentralized governance is becoming more and more important for communities.
Rune holders have a say in decisions related to the updates and changes of the protocol. They can propose changes and vote, ensuring that the direction of the network reflects the will of its active participants.
Rewards for validation nodes
Thorchain depends on a network of knots to validate transactions and maintain network security. These nodes are compensated for their contribution with rewards paid in the native cryptocurrency of the blockchain, ie runes.
Ensuring network security
In decentralized networks, security is essential. The Thorchain system uses mechanisms based on cryptocurrency Rune to prevent malicious behaviors.
How do these mechanisms work?
The validators must block (staking) a significant amount of Rune cryptocurrency. If he acts in bad faith, he risks losing his tokens. This model contributes to protecting the integrity of the system for all participants.
Cryptocurrenda Rune: the dynamics of the offer and the potential of value appreciation
In order to better understand the potential value of Rune as an investment, to explore some key aspects of its tokenomics.
Offer, distribution, price and capitalization
Total offer
Thorchhain operates on the principle of limited offer, which creates a potential for appreciation of the running value, especially as the use of the platform increases. The maximum offer is fixed at 500 million runes.
Distribution of rune cryptocurrencies
Rune was distributed both by traditional financing methods (such as private and public sale), as well as by incentives offered to the network participants.
Historical maxims and minimums:
- Cryptomoneda Rune had a maximum price of $ 20.87 and a minimum price of $ 0.008513.
- Currently, the price of Rune cryptocurrency is about 94 % lower than the historical maximum and 14,035 % higher than the historical minimum.
Market capitalization:
The total value of all the rune cryptocurrencies in circulation, today March 6, 2025, is 437,696,535 USD. The price of a rune is around $ 1,244.
Total diluted value:
- If all 500 million runs were in circulation, the total value would be $ 512,601.009.
- Reaching this maximum value can take years, depending on how the new coins are released.
Cryptocurrency rune and passive income
Do you want to increase your income? Cryptocurrena Rune gives you the opportunity to achieve passive income by providing liquidity within the Thorchin network. Liquidity is the essence of any blockchain ecosystem, and users holding the Rune cryptocurrency can become liquidity suppliers.
Advantages of Lichidity Provision:
- Constant earnings: Receive rewards for each transaction using your funds as part of the liquidity pool.
- Diversity: you can bring liquidity in different forms of cryptocurrencies (not just running).
- Total transparency: the network allows users to monitor real -time revenues and contributions.
Cryptocyda Rune: Risks and challenges
What risks involve the use of Rune?
Any investment in a digital currency comes with its own series of challenges and risks, and cryptocurrency Rune, the native token of the Thorchin protocol, is no exception. Although Rune promises immense potential for solving blockchain interoperability, there are a few critical factors that any investor or user should take into account before getting involved in this ecosystem.
Price volatility specific to cryptocurrency market
One of the most obvious risks of runes, and cryptocurrencies in general, is the extreme volatility of the price. Prices can undergo significant fluctuations in a very short time. The existence of factors such as market news, investors' feelings and macroeconomic conditions have an important impact on the value of Rune cryptocurrency.
What can you do?
To minimize the impact of these fluctuations, it is advisable to invest only amounts that you allow to lose. The diversification of the portfolio can reduce the risks associated with exclusive exposure to RUNE or other volatile cryptocurrencies.
Risks associated with blockchain technology and smart contracts
Blockchain is a relatively new field, still in development. In the case of Rune, the Thorchain protocol uses smart contracts to facilitate interoperability between different blockchain networks. However, these smart contracts can be vulnerable to:
- Unexpected Bugs: A wrong written code can generate severe errors.
- Operations: Hackers can discover breaches in code and compromise users' funds.
Example:
In July 2021, Thorchain was the target of a cyber attack, which led to millions of dollars. This incident has demonstrated the fragility of intelligent contracts and the importance of cyber security.
What can you do?
Pay attention to the news about security audits and improvements to the source code. In addition, it uses basic security practices, such as the use of safe Wallets (hardware) for storage of funds.
Competition from other interoperability protocols
Thorchhain and Rune Token operate on a competitive market, facing alternative solutions, such as Polkadot, Cosmos or Chainlink, which offers similar services. Depending on the innovations and adaptability of each protocol, the popularity could decrease.
What can you do?
It constantly monitors the evolution of the blockchain industry and compares Thorchin features with the available alternatives. Competition can limit the increase in running value if other protocols offer more advantageous solutions.
How to buy Rune cryptocurrency from the Abarai platform
If you want to buy the cryptocurrency Rune Rune quickly and without headaches, the Abarai platform comes to your aid with a simple, safe and accessible process.
What is the Abarai platform?
Abarai is a platform of Exchange dedicated to cryptocurrency trading. What differentiates it from other platforms is the simplicity and speed at which you can perform transactions, without the need for complicated accounts or tiring check processes.
With Abarai, users can buy and sell cryptocurrencies without the extent of formalities, while maintaining a safe and reliable environment.
Why choose Abarai for the purchase of rune?
Buying rune on Abarai comes with multiple advantages that make the process fast and accessible including for beginners:
- Without the need to create an account: you do not need complicated records. You just have to provide billing data.
- Quick transactions: Buying and selling takes place in just a few minutes.
- Support for several payment methods: You can buy RUNE using different cryptocurrencies or transfer methods.
- Simplification of the use process: Anyone can place trading orders easily due to simple and intuitive interface
- Data confidentiality: No personal information is shared without consent.
- Global accessibility: You can trade from anywhere, without geographical restrictions.
This combination of factors makes Abarai one of the most accessible platforms on the market for the purchase of runes and other cryptocurrencies.
Complete Guide: Purchase Rune on Abarai
Follow these simple steps to buy cryptocurrency Rune:
1. Go to the platform
Browse the official website Abarai ( www.abarai.com ).
2. Please enter the details
Select the purchase option and specify the desired cryptocurrency - RUNE, in this case. Enter the amount you want to invest or the amount of runes you want to purchase.
3. Choose the payment method
Choosing the payment method is flexible - whether you use bank transfer, bank card or other available options. Abarai accepts more currencies to make your transaction as convenient as possible.
4. Execute the transaction
After confirming the details, connect the personal wallet to complete the purchase. If you do not have a Rune storage wallet yet, you will be recommended one of your favorite users options.
5. Check the transaction
After completion, you will receive a quick confirmation by e-mail or directly in the platform interface. The purchased runs will appear in your electronic wallet.
Advantages of Abarai Platform - Safety and Flexibility for Your Transactions
In addition to simplicity, Abarai places a special emphasis on the safety of transactions.
Abarai is the platform from which it is impossible to lose Crypto.
The recent incident from Bybit, where a security breach has led to significant losses, emphasizes the risks associated with keeping assets on centralized platforms. To better understand how to protect yourself against such incidents, we invite you to read our blog article: "Hackers have stole $ 1.5 billion.
Tips for investors
Investments in cryptocurrencies and the use of protocols such as Thorchin can be extremely profitable, but they come with specific risks. Informing from reliable sources, diversifying the portfolio and using safe methods for storing and managing funds are essential steps to protect you.
If you want to learn more or prefer a video then we recommend:
