Deep Dive
1. Institutional Staking Adoption (Bullish Impact)
Overview: Core’s partnership with Hex Trust allows regulated institutions to stake BTC and CORE directly from custody accounts. Over 7,000 BTC ($500M+) are already timelocked on Core, and this program targets Asia-Pacific/MENA institutions through licensed custodians.
What this means: Institutional inflows could create sustained buying pressure for CORE tokens while locking BTC to earn yield – a dual mechanism that historically correlates with governance token appreciation. However, adoption depends on CORE’s ability to maintain competitive APY rates amid Bitcoin’s price volatility.
2. Rev+ Protocol Economics (Mixed Impact)
Overview: The Rev+ model shares 30-50% of gas fees with developers and stablecoin issuers based on usage metrics. Early data shows a 200%+ surge in dApp revenue post-launch (Core DAO).
What this means: While this incentivizes ecosystem growth, it introduces inflation risks – 45% of CORE’s 2.1B max supply remains to be emitted. Successful implementation would require balancing developer rewards with controlled token releases to avoid dilution.
3. lstBTC Flywheel Mechanics (Bullish Impact)
Overview: The upcoming lstBTC liquid staking token mandates that 15% of each minted lstBTC is used to buy and stake CORE (CoinMarketCap).
What this means: This creates protocol-enforced demand for CORE, especially if lstBTC gains traction in DeFi. A similar mechanism helped Lido’s LDO token rise 320% in 2024. However, the impact hinges on lstBTC adoption – currently untested at scale.
Conclusion
Core’s price trajectory will likely hinge on whether its Bitcoin-aligned DeFi products (staking, lstBTC) can capture meaningful market share before circulating supply inflation accelerates. The 7.95% weekly price gain suggests cautious optimism, but the token remains 49% below its 2024 peak. Can CORE sustain momentum if BTC struggles to hold $113K support? Watch for lstBTC adoption metrics and Rev+ fee distribution data in Q4.