WhiteBIT Token. What to expect from the new project of the largest European crypto exchange?

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Summary

Getting back to my last article , exchange tokens are something issued by exchanges in the — crypto space as a strategy of fundraising like other companies. Exchange token value goes far along and it’s helpful for the smooth running of the exchange while giving additional benefits to the holders of the token. A crypto exchange token is a digital asset that is native to a cryptocurrency exchange.

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Why do exchanges create their own tokens?

According to the information from Cryptopedia Staff, there are three primary use cases for exchange tokens that directly benefit both the exchange itself and its community.

Enhanced liquidity: Liquidity refers to the availability of trading activity that can be relied upon in a financial market. In lieu of traditional market makers, crypto exchanges can use native tokens as an incentive for traders to bring more activity, thus liquidity, into crypto markets. One way of rewarding traders for increased productivity would be for the project to offer them exchange tokens proportional to their total trading volume, or through designated staking programs.

Fee discounts: In order to incentivize trades and build customer loyalty, many exchanges offer fee discounts via a crypto exchange token. In most cases, users receive a discount when paying their fees by using the exchange token, though some exchanges also offer tiered fee discounts based on the amount of exchange token a user holds in their account wallet.

Governance: Not all cryptocurrency exchange tokens are designed to serve as an optional benefit to platform users. Several crypto exchanges have distributed native tokens that are meant to serve as a governance mechanism for the exchange’s future development. Exchange tokens designed for this purpose typically offer their holders voting rights or exclusive privileges.

How to buy native tokens on crypto exchanges?

◼️ Private sale

It’s a closed round of selling tokens to private, often institutional investors, usually at a lower price.

◼️ Public sale

It can be in the form of an ICO or an IEO, so that’s an open round of token sale to anyone at a fixed price and usually in a limited amount.

◼️Entering the cryptocurrency market

Well, it makes sense that the last step would be to enter the cryptocurrency market. After these two steps, the token is listed on the exchange and marketed, where it can be bought and sold like any other asset.

WhiteBIT exchange. The exchange at the forefront.

The history of the exchange began relatively recently, in 2018. The company was founded by entrepreneur Volodymyr Nosov, currently the CEO, in Kharkiv, Ukraine. The platform obtained two European licenses and is actively developing its functionality and markets. It is now available in 150+ countries, has over 3 million users, and is considered the largest crypto exchange in Europe. During its existence, the exchange has implemented a number of products available to crypto investors with different backgrounds and goals.

After reading a large number of interviews and articles about WhiteBIT, it appears that the global mission of the company is the mass distribution of blockchain technologies in the world. The exchange plans for as many people as possible not only to have access to cryptocurrencies,- but also to actively use them. This requires appropriate conditions and opportunities. The key here is the simplicity, convenience, broad functionality, and security of the services the user receives.

Numerical indicators:

• Volume(24h) — 1,113,314,106
• Weekly Visits — 3,309,955 (Top 6 exchange)
• Markets — 243
• Safety rating AAA (Top 3 security exchange)

Some WhiteBIT products deserve special attention, as they are not common for every crypto exchange. So, you can read more about them in the new BeInCrypto Review , where you can find the information about margin trading and futures trading (that appeared quite recently and are currently represented by the BTC/PERP pair), smart-staking, demo token, trading competitions and much more.

Today, WhiteBIT is not just a cryptocurrency exchange — it is a whole ecosystem that includes:

• Decentralized exchange WhiteSwap is an automated market maker (AMM) of a decentralized bank (DEX) that works on the Ethereum blockchain;
• Whitepay — a crypto payment processing system;
• Bitcoin Global, a P2P cryptocurrency exchange platform — a place where users can exchange cryptocurrencies without verification and fees for replenishment and withdrawal;
• “Gagarin Show” — the world’s first entertainment and educational YouTube show about cryptocurrencies. By the way, this is really an original show with no analogs.
• Gagarin News is an online crypto news resource for readers from all over the world.

WhiteBIT Token. What are its advantages over other tokens?

From the information known to us — WhiteBIT Token (WBT) will be issued in a fixed amount of 400 000 000 WBT. No new tokens will be created above this amount. 200 million WBT will be treasury tokens that will be unlocked over the next three years. A fixed number of tokens with an application of a burning algorithm based on a weekly exchange’s earnings from the fees should contribute to the gradual growth of the asset.

• Also, 240 million- is allocated to various funds — staking, liquidity, security, ecosystem development, influencers, guarantees, team tokens;
• 80 million. Private Sale. Immediately after purchase, tokens will be frozen for 3 months, after which 20% will ‘thaw’ every month over a period of 5 months. This solution helps create anti-dump conditions for the WBT token.
• 80 million Treasury Tokens to be unlocked within 3 years, after the end of the Private Sale;

What benefits will WBT bring to you?

1️⃣Increased referral rate (40–50%)

2️⃣Fees reduction

3️⃣Daily free ERC-20/ETH withdrawals

4️⃣Daily free AML checks and much more

My personal expectations about WhiteBIT Token

Firstly, the price of selling the private round was $1.6 at the circulating supply of 200 million, the capitalization would be 320 million, which, I suppose is hardly enough to hit the top 100. Recall that the exchange has a very good record of trading and attendance. Next, the IEO price of the- token will be approximately $2, the capitalization will be 480 million, allowing it to enter the Top 90 again. Now, the main competitors of WhiteBIT Token are in the top 30 and to get there, it’s necessary to have the capitalization of 2.5 billion dollars, so, with a supply of 240 million, the price of token should be 10 dollars, which is a minimum of 500% ROI. That, in my mind, is quite real. Also, if we have the imagination, we can assume that in order to be at the same level with the BNB, the price of WhiteBIT Token should be around $200, which is x100!

The Top of the most popular native tokens in crypto exchanges

• Binance Coin

Binance coin initially ran on the Ethereum blockchain with ERC-20 standard but has since become the native coin of the Binance chain. It was launched during an initial coin offering (ICO) in July 2017 and has a strict maximum supply of 200 million BNB tokens.

• LEO Token

LEO Token (LEO) is the utility token intended for the use on Bitfinex exchange and other trading platforms managed by its parent company iFinex.

• FTX Token

It’s a utility token that can be utilized to lower trading fees. It can also serve as collateral, alongside many other use cases within the FTX platform.

• OKB Token

OKB is the global utility token of the cryptocurrency exchange OKX (formerly known as OKEx). OKB aims to link potential digital asset projects to OKX users and professional investors, establishing an OKX ecosystem that fosters the development of blockchain technology and the digital asset sector.

• Cronos

Cronos (CRO) is the native cryptocurrency token of Cronos Chain — a decentralized, open-source blockchain developed by the Crypto.com payment, trading, and financial services company.

And my personal analytical observing about native tokens on crypto exchanges:

Finally, having considered a large amount of information about native tokens on crypto exchanges,- I can draw a small conclusion that looking at the rating in CoinMarketCap and taking into account all the features and benefits of the new product from WhiteBIT, it will be able to compete confidently in the market of cryptocurrency and find itself at the highest positions in the ratings. And also, having looked at the historical data on the development of the largest tokens on crypto exchanges and seeing the development of WhiteBIT exchange, it’s easy to conclude that the new WhiteBIT Token will succeed.