The price of Reserve Rights (RSR) crypto skyrocketed on Monday morning as the global cryptocurrency market showed some signs of recovery.
As of writing, the global crypto market cap had surged by five per cent to reach US$ 1.26 trillion. Meanwhile, the prices of Bitcoin and Ethereum were up by 5.2% and 6.5%.
The rise in the price of RSR crypto, which ranks 258 globally, has caught investors’ attention due to the surge in its price and volume. At 2:30 AM EST, the RSR crypto was up by 51 per cent and trading at US$ 0.007625 per token.
Meanwhile, the volume of the Reserve Rights token was up 488% to US$ 130.5 million. Let’s find out more about RSR crypto:
What is RSR crypto?
The RSR crypto is the governance token of a crypto-powered payment application called Reserve. The payment app is reportedly popular across Latin America and allows users to convert their local currencies into US dollars.
Also Read: What is LockPay and is it a pump and dump scheme?
Reserve enables its users to convert their currency, which may have been affected negatively due to rising inflation, into the US dollars through RSV (Reserve stablecoin).
According to CoinMarketCap, the RSR crypto is an ERC-20 token, and it was launched in 2019 via an initial exchange offering (IEO). The main purpose of the RSR crypto is to act as a governance token for Reserve protocol.
The RSR crypto also acts as a backstop for RSV holders if the collateral token defaults. To take this kind of insurance, the holders need to stake on any RSV or divide the RSR crypto by staking on multiple RSVs.
Generally, stablecoins are pegged to the US dollars held in Reserve controlled by a stablecoin issuer or a custodian. However, Reserve Rights claims that its stablecoin is backed by a basket of several digital currencies managed through smart contracts.
Bottom line
The RSR crypto has been gaining momentum over the past few weeks, and on May 12, the protocol tweeted…
