Up to 35.7% ROI Yearly with BIX (Bibox token) Incentive Rewards — Worked Example
Note: Bibox has revamped their staking model. Read about the new model and example rewards here.
Original content kept below for reference.
Disclaimer: This is NOT financial advice and should not be taken as such. Not guaranteed to be correct or continue to be correct. Do your own research.
BIX is the token of the Bibox Exchange. If you hold BIX on the exchange, you get distributed a share of their weekly trading fee revenue. This is a worked example of how much ROI you can get holding 100 BIX.
Formula
The formula to calculate daily incentive rewards is as follows:
Daily Incentive = (Daily Bibox Vol) * (Bibox Trading Fee) * (Number of BIX you Own) / (BIX Circulating Supply)
The example from Bibox:
The user A holds 130,000 BIX and ranks in top 100 in term of trading volume, and the trading fee revenue of Bibox during that week is 1,000 BTC, then the incentive reward user A can share will be (130000/130000000）* 45% * 150% * 1000BTC = 0.675BTC.
The number of registered users and the trading volume of Bibox are increase rapidly, the amount of the reward also will be raised. We are looking forward to bringing more benefits to our users. Thanks again for your support and encouragement to us.
The formula to find the yearly ROI is as follows:
[(Daily Incentive) * 365] / [(number of BIX you own) * (purchase price of BIX)]
Worked Example
At pixel time (14 Oct 2017):
* Daily Bibox Volume = 204,724,033 USD
* Bibox Trading Fee = (0.1%, but BIX holders get 50% so) let’s use 0.05%
* BIX Circulating Supply = 130,000,000 (conservative estimate, not including amount burned)
* BIX Price = 0.362 USD
With that, the calculation is as follows:
A whooping 35.7%! And if you don’t include the 50% trading fee discount for BIX holders, the ROI becomes 71.4%!
Caveats
- You’ll have to hold BIX in Bibox. Holding other tokens doesn’t count. Holding BIX in other wallets don’t count.
- You’ll have to make at least one trade in Bibox per week (any token, any amount).
- You’re exposed to the price fluctuations of BIX (eg, if BIX price falls by 50%)
Epilogue
Bibox exchange is at pixel time the 8th largest crypto exchange by volume. The ROI will change directly based on the Bibox volume (assuming other metrics remain the same). At pixel time, the ROI is already substantial (compared to NEO’s GAS generation ROI of ~4%) even in this bear market.
If this article helped you, consider signing up for Bibox using my referral link here!
Other staking coins you might be interested in:
References
- https://coinmarketcap.com/currencies/bibox-token/
- https://coinmarketcap.com/exchanges/bibox/
- https://bibox.zendesk.com/hc/en-us/articles/360002336133-New-Fee-Structure-on-Bibox
- https://bibox.zendesk.com/hc/en-us/articles/360002338354--Event-Bibox-Increase-the-Ratio-of-BIX-Incentive-Reward-
- https://bibox.zendesk.com/hc/en-us/articles/360002055853--Event-Bibox-Will-Update-The-BIX-Incentive-Reward-Program-on-2018-6-15
Hi! Thank you for reading till the end! They say time is money, and I hope I saved you some time and money with this article! I too spent some time researching and compiling this. If you’re feeling generous, please consider donating any amount you like, or using any of my referral links!
