Conflux (CFX) Price Prediction

Deep Dive

1. Corporate Treasury Lockups (Mixed Impact)

Overview:
Conflux’s Ecosystem Fund proposal (Sept 2) seeks partnerships with public companies to lock CFX in corporate treasuries for ≥4 years. This would apply to 500M+ CFX (~10% of circulating supply) for PoS node operations and RWA management. A governance vote is pending.

What this means:
Approval could tighten supply and signal institutional commitment, but the 4-year lock risks deterring firms needing liquidity. Historical precedent: Similar token lockups at Harmony (ONE) in 2022 temporarily lifted prices 40% before fading.

2. Network Upgrade & Throughput (Bullish Impact)

Overview:
The v3.0.1 hardfork (completed Aug 31) boosted throughput to 15,000 TPS via parallel processing. Binance temporarily halted deposits/withdraws during the upgrade, now resolved. Developers are incentivized via $6M grants for AI/RWA tooling.

What this means:
Higher TPS addresses scalability concerns – critical for Conflux’s cross-border payment ambitions. Post-upgrade, CFX rallied 73% in July 2025, but recent 25% weekly drop suggests traders are pricing in execution risks.

3. Offshore Yuan Stablecoin Experiment (Bullish Risk)

Overview:
Conflux’s AxCNH stablecoin (1:1 offshore yuan) began pilot testing in Singapore/Malaysia on Aug 29 via partner AnchorX. Success here could position CFX as China’s de facto blockchain for BRI trade settlements.

What this means:
Adoption would drive CFX demand for gas fees, but reliance on China’s regulatory tolerance introduces risk. The PBOC has warned about “unauthorized stablecoins” twice since July (CoinGeek).

Conclusion

CFX’s path hinges on balancing supply shocks (via lockups) against real-world adoption of its upgrades and stablecoin. Technicals show oversold conditions (RSI 28.6), but macro headwinds persist with crypto market cap down 8.7% weekly. Watch the Sept governance vote turnout – low participation could stall the treasury plan, while >60% approval might trigger a liquidity crunch.

Will AxCNH’s pilot transactions surpass $100M/month by Q4 2025?