Legolas Exchange compared to other Exchange Tokens

Earlier I wrote the article ‘Legolas Exchange ICO Review’, in this article I told other Exchange Tokens have done pretty well in terms of ROI. I will tell you a bit more about that in this article. This article isn’t an advise to buy $LGO, I am just trying to help everyone understand Legolas Exchange.

Just a small heads-up over 40,000 people already subscribed for the ICO. So before you read all of this, be sure to register first! You can do that over here.

Cryptocurrency Exchanges

In the past few months, several cryptocurrency exchanges have leveraged the blockchain technology to build their offering and have issued their own tokens through ICOs.

Legolas Exchange has created the $LGO token, which is used to pay all the transaction fees on the Legolas Exchange. At any transaction, 25% of the transaction fee paid in $LGO is destroyed, diminishing the $LGO supply with time. You can read more about the usability of the $LGO token in this article.

Some other cryptocurrency exchanges have adopted similar systems, by emitting their own coins. A few examples are:

• Binance and the Binance Coin ($BNB)
• Quoine Exchange and QASH ($QASH)
• Kyber Network and the Kyber Network Crystal ($KNC)
• KuCoin and Kucoin Shares ($KCS)

Legolas Exchange ($LGO)

Type of exchange: Hybrid
Use of the token: Pay for the transaction fees (Obligation)
Token destruction: 25% of the $LGO paid as a transaction fee are destroyed

Binance Coin ($BNB)

Type of exchange: Centralized
Use of the token: Pay for the transaction and listing fees (Possibility)
Token destruction: Every quarter, 20% of the profit of Binance is used to buy back $BNB which will be destroyed. This stops when the total supply reached 100 million $BNB coins.

Kyber Network ($KNC)

Type of exchange: Decentralized
Use of the token: Liquidity providers only have to pay transaction fees with $KNC
Token Destruction: Destruction scheme planned, no official figures

Quoine Exchange ($QASH)

Type of exchange: Centralized
Use of the token: Pay for any fee on the Liquid / Quoine / Quoine platform
Token Destruction: No

Comparison

Below is a comparison of different crypto-exchanges which work with their own token as a platform currency:

*In the scenario that the LGO token sale is fully subscribed at a BTC price of 11,000 USD.

The token model created by Legolas has been tested by different exchanges, including Binance, the #1 exchange in terms of trade volume. By decreasing the total supply of tokens at each transaction, the value of the coin is directly linked to the trading volume on the exchange. Holders and $LGO believers will have a good chance to benefit from this process as volume will grow on the platform.

Conclusion

Even though several exchanges have issued their own tokens through ICOs, Legolas Exchange offers a significant added value through its tokens, as $LGOs are the only way to pay all the transaction fees on the Legolas Exchange. The token destruction scheme which destroys $LGOs at every transaction has been successfully tested by Binance, the first cryptocurrency exchange in terms of volume.

If you want to invest after you did your own research, you can register for the ICO over here.

Cheers,

Khilone
https://twitter.com/Khil0ne