An Analysis of the Logic Behind the Rise in $GRASS Token Price

Author: hitesh.eth

Compiled by: ShenChao TechFlow

Are you curious why the price of $GRASS is rising?

Grass allocated 10% of its total supply for Airdrop One, distributing it to 2 million users. About 100,000 users received over 100 $GRASS, worth approximately $200, by running the application and sharing public data with the Grass network. This public data was originally shared for free by users without their knowledge to many websites.

This airdrop is just the beginning. Next is staking, with about 35% of circulating $GRASS currently being used for staking. The current annualized yield is approximately 50%, which is quite attractive. Additionally, venture capitalists cannot immediately unlock their staking rewards, which gives regular investors more confidence, especially in light of past disappointments with tokens like $TIA and $SUI.

Now, the public data you share is transmitted via TLS encryption, ensuring user privacy. Those who run nodes will be rewarded as the demand for Grass increases.

The founders of Grass revealed a few weeks ago that their daily data retrieval volume reached 80TB. Even if this data retrieval volume is reduced to 10% after the airdrop activity, we can still expect about 10TB of data retrieval daily, totaling around 300TB monthly.

So, what is the average cost of data retrieval in low to medium scenarios? It's approximately between $0.1 and $100 per GB. We can conservatively estimate that $1 per GB is a price that companies might be willing to pay to use the Grass network for data retrieval. Based on this estimate, Grass could potentially generate about $300,000 in revenue monthly, and if daily data retrieval reaches 80TB, monthly revenue could exceed $3,000,000—this is quite feasible in the near future.

You might be curious why I am writing this article; it's because I find it interesting. I do not hold $GRASS, nor do I run any nodes, and I am not being compensated—this is purely independent research out of interest, aimed at providing you with educational information, and I am not offering any investment advice here.