The Ultimate ABCC Exchange Token FAQ Pt. 1 by
The purpose of this impending anthology of articles on the ABCC exchange is to answer any and all questions regarding how it functions as well as provide information on the ABCC token ($AT); how it’s released, how you can earn some of it, how earnings are distributed, as well as how and why the system we created was designed with more integrity than that of any other exchange-based token in this cryptosphere.
This series will also definitively show, without a doubt, that the ABCC exchange is the absolute best exchange in the entire cryptocurrency sphere.
In this article, I will not beat around the bush, be dishonest in any part of my representation of this exchange nor its competitors simply for the reason that I don’t need to. This exchange is actually such a quality project that obfuscating any aspect or detail about it would be doing all of that helped found and build it a tremendous disservice.
So, without further ado — I present to you literature that is designed to clarify several aspects of the ABCC exchange.
Introduction
Over the last few weeks, I have mentioned on several of my personal platforms that I am a partner with the ABCC exchange and, as such, have a high interest in ensuring that information about the exchange is clear and ambiguous.
What’s the Premise of This Exchange?
So, you might be thinking,
“What’s the premise of ABCC exchange? This seems like another exchange out of the thousands in crypto.”
More or less, the creators and myself were dissatisfied with the current exchange offerings out there. Between the wash trading, lack of regulation and politics on exchanges, we felt that we could provide a better option.
Thus, the ABCC exchange was born.
I’ll admit that it took us a few tries to really figure out our position in the market and what would work best. But when we did finally come to a solution, we never looked back.
In the interest of transparency, let’s just cover some of the background information of this exchange, so that everyone knows that there is a group of legitimate, existing and accountable individuals that are helping to make this thing go ‘round.
Our Advisors
This is located right on the main website (at the bottom).
You might not be too familiar with those names above, but one guy whom has been in the crypto community that I’m sure everyone has heard of is, Forrest Chen.
What is the $AT Token?
This is our native token on the ABCC exchange and obviously the primary value offering for the exchange.
The token does operate via a trade-to-mine consensus.
That’s not something that I’m going to dance around.
However, I am Going to Make it Abundantly Clear That:
a) This does not work the same way that Fcoin did (I’ll outline all the ways it doesn’t)
b) There is zero wash trading on the platform (and I’m going to prove that)
c) There is zero spoofing on the platform (and I’m going to prove that)
d) The ABCC team itself is not benefiting in an immediate manner from the distribution of $AT tokens (and I’m going to prove that).
e) This is the only exchange-based token that has a finite amount that was ALSO not pre-mined. Please read that bolded statement carefully. Yes, there are exchange-based tokens with a fixed quantity (like $BNB) and yes, there are exchange-based tokens that were not entirely pre-mined 100% (although, none come to head; I’m just giving the benefit of the doubt in this area). But there are no exchange-based tokens that meet BOTH criteria except for the ABCC Token [$AT].
Killing the Fcoin Comparisons
Speaking on behalf of myself and not the exchange in this statement, I absolutely despise references to Fcoin. I understand why they’re made, but that does not make them any less annoying.
With this article, I’m expecting any and all comparisons to ‘Fcoin’ to cease. Now I’m sure some of you reading may be wondering, ‘What is Fcoin?’
Great question.
Allow me to explain.
The Brief History of Fcoin
So, around the end of June and in the beginning of July, people started to see the gas transaction on Ethereum’s network spike to exorbitantly high prices in comparison to what it had been in weeks past:
The primary culprit was the Fcoin Token, an ERC20 token created and founded by Zhang Jian, an individual noted for his contributions to the Huobi exchange.
Now, it’s important to note that Fcoin is the exchange, and Fcoin Token is their native currency.
Somehow, some way this token that was unknown to anyone at the beginning of June had managed to accumulate volume that exceeded that of $BTC at $9 billion per 24 hours.
“How the Hell Did That Happen?”
Through a fraudulent trade to mine program that they had instituted.
Their whitepaper is 404'd now (surprise, surprise), but fortunately, the internet was able to keep an archive of this broken system that they were running on their exchange.
Here’s a screenshot that shows the model that they were trying to operate:
Apologies for the quality of the screenshot, it’s the best one that I could find.
In essence, individuals in the community had all of their transaction feesreimbursed by these tokens.
So What’s Wrong With What Fcoin Was Doing?
Several things.
- This allows the platform to set their own price and valuation for $FT tokens. For example, if you accrued $1,000 in trading fees — the number of $FT tokens that they decide to give you is contingent upon how much they value an $FT token. That’s hardly a free market. In fact, it’s an artificially manufactured market.
- Since there is virtually no cap on the amount of $FT tokens that one can get from such a ‘trans-fee mining’ model, this encourages individuals to wash trade as much as possible. The issue with wash trading is that it gives the fake impression of liquidity in markets where there truly is none, which deceives prospective investors. It also undermines the integrity of the exchange itself if individuals are allowed to do such things freely.
If you’re wondering what ‘wash trading’ is, here’s a quick definition for you:
3. Since the exchange themselves held 49% of the tokens unrestricted, they essentially became very wealthy when considering the fact that there was nothing stopping them from liquidating down said tokens.
Fcoin Token Was Quickly Embroiled in Controversy
The community, rightfully so, found out about Fcoin Token’s issuance model, the absurd volume traded on the exchange and the catastrophic impact it had on the crypto community and Ethereum’s protocol and made the prompt decision to lambast the idea and the project publicly.
Coinmarketcap even went as far as to de-list the exchange entirely from their platform, which was a smart move and I personally stand behind said move.
However, the unfortunate impact of Fcoin is that their residual negative impact on the community ended up trickling down to ABCC (a completely transparent and legitimate exchange), resulting in us being branded as a similar project.
However, you will soon find out that the ABCC exchange is absolutely nothing like Fcoin and, in every way possible, is the most legitimate exchange out there in the cryptocurrency market.
Explaining the $AT Token
So, for those that have been to the website, you’ve probably noticed that there is already a brief write-up on the $AT token that is currently available for viewing.
However, I decided to write this article, in specific, because I know that the write-up in its present form is a bit confusing, I admit.
Part of the reason for that is probably nuances in the native tongue of some of the founding members of the exchange. English is not their first language, so some of the necessary nuance in the explanation that is needed to paint a clearer picture is absent.
But this is no problem, because I will outline every single thing about the $AT token that you need to know in this article. Then, I will show you the numerous additional facets of the exchange that make it an obviously superior choice to any other exchange in existence currently.
Token Issuance Model
Let’s just start with the token issuance model and some of the basics of the token, first.
From the website, you’ll see:
Now, before we get into what gets released and when, let’s break down a few basics here.
There are only 210 million total tokens that will ever be released
On the Left Side of the Circle
- The investors have locked in 10% of these tokens. Investors refers to any venture capital firms or institutional players that decided to invest their money directly into the exchange. That is their entire take of tokens (and no, they do not have them all in their possession currently).
- The team have locked in 20% of these tokens. The ‘team’ refers to the ABCC organization. So, even as a partner and as a working member of ABCC team, I am not directly receiving any tokens.
- The exchange platform itself receives 20% of these tokens. The ‘exchange platform’ refers to the markets for liquidity and market making if necessary. If not, then they will be re-issued.
On the Right Side of the Circle
- 10% of these tokens were issued as rewards for historical trades. These historical trades were trades that were made from the middle of April to June 27th, 2018. For those that remember, $AT token was not launched until July 25th on the exchange (in an official trading capacity). However, if you were trading between April to June 27th, 2018, then you had an opportunity to vie for that 10% (21 million total tokens). The tokens were distributed via an airdrop and the amount of the airdrop that you received was contingent on the total amount of trading fees that you had accrued in that period of time in proportion to the rest of the traders on the platform. So, if you accrued 5% of the total trading fees earned on the platform from April to June 27th, then you would have been entitled to 5% of those tokens that got released, which was 1.05 million tokens.
- 40% of the tokens are reserved for the trade to mining winners. We’re about to explain how that works in great detail, so hold your horses.
How is the $AT Token Released?
So, if you’ve been in our Telegram channel, this is the primary question that everyone has been asking!
How in the world is this $AT token released and how do I earn some on this platform?
Great question. Let’s tackle it, shall we?
So, as mentioned before, 21 million tokens were already granted to the historical trading participants.
So, we can now ignore the ‘10% to historical trades’ section of the circle (on the right side, just cross that out in your mind).
Now, Let’s Look at the Token Issuance Model:
If the above chart confuses you at all, don’t worry — we’re going to break this down.
Here’s What You Need to Know:
- There are 84 million $AT tokens that will be released via this model.
All 84 million of these $AT tokens that are being released satisfy this category (Trade-to-Mine) right here:
2. We are currently in period 1 (one).
3. The first token was issued on July 9th. So, July 9th is the first day of this period. I posted the article where we announced the first day of the ‘trade-to-mine’ period for anyone that might have missed it before.
4. Since the first day was on July 9th, 2018, that means that the last day is on November 6th, 2018. I know this because I just did the math.
How Trade-to-Mine Actually Works
So, now that you understand how these tokens are issued for the next 120 days, you’re going to need to understand how trade-to-mine works as well, which I’m more than happy to explain to you all. Continue to follow me closely.
Check This Out:
- As you saw in the graphics above, during this 120-day period, there will be a total of 42 million $AT tokens that are released.
- These tokens are released every ‘block’, the same way that new bitcoin is ‘mined’ every block.
- However, instead of 10 minutes per block (like Bitcoin has), $AT tokens are released every 6 hours.
- Doing the math, we know that there are 87.5k tokens that are released every block. [Math: 42 million tokens/120 days = 350k tokens/day. 1 Day = 24 hours. 24 hours contains four separate 6-hour time blocks. Therefore, 350k tokens (reward released per day) divided by four (number of 6-hour time blocks), gives us our answer. So, 350k tokens/4 = 87.5k tokens. That’s how we know there are 87.5k tokens released every 6-hour block].
- The distribution of $AT is simple. Your individual trading fees in said block correspond with the number of $AT that you will be rewarded with. So, if your trading fees amounted to 5% of the total trading fees in a given 6-hour block, you would receive 5% of the $AT being released, which amounts to 4,375/87.5k tokens from that block. Simple as that.
“But Wait, Isn’t That the Same as Fcoin?”
No.
Here Are a Few Key Differences:
- There are a finite number of tokens that can be won per block (87.5k). On the illegitimate Fcoin exchange, the number of tokens you could win in a given day was without limit
- You are not rewarded based on how much you trade, but in proportion to your trading fees. On the fraudulent Fcoin exchange, if you and 100 other people have $1 million worth in trading fees, you’d each be receiving $1 million worth in Fcoin. On this exchange, you’d only receive 1% of the tokens being released during that time period and the same would go for your colleagues/counteparts.
- The value of the $AT token is irrelevant in this equation. For the Fcoin exchange, they were rewarding individuals with their native token in relation to the going exchange rate the day before. So, if the Fcoin token was trading for $10/each, then they would take [trading fees/$10], and award you tokens that way. Obviously, that’s not a legitimate setup for a plethora of reasons. On the ABCC exchange, conversely, you will receive the same number of $AT tokens regardless of price. It does not matter whether the tokens are going for $5,000/each or just $.00001/each — if your trading fees only represent 5% of the total trading fees on the platform, then you will only receive 4,375 tokens. Period. No debate.
We Have Also Instituted Anti-Spoofing Measures on the Platform
[We are the FIRST cryptocurrency exchange to even attempt to do so!]
If you aren’t familiar with the term ‘spoofing’, here is what it means with a cogent example:
Here’s how we prevent spoofing (no other exchange does this):
Here’s how we prevent spoofing (no other exchange does this):
Source: https://help.abcc.com/hc/en-us/articles/360011483952-Announcement-on-banning-malicious-orders
Now, this isn’t a one-size fits all solution and it isn’t perfect, but it goes a long way in stopping spoofing on the platform.
This New Feature Does Two Important Things:
A) It stops you from placing sell orders that are at a price point that is more than 4x the market price. For example, if $XRP is trading for $1.00, you will not be allowed to place a sell order for any price above $4.00+.
B) It stops you from placing buy orders that are at a price point that are at less than 1/4th the market price. For example, if $XRP is trading for $1.00, you will not be allowed to place a buy order for any price below $0.25.
This obviously does not entirely prevent individuals from attempting to spoof, but it does go a long way in preventing some forms of manipulation on microcaps and coins of that nature.
The team and I are working together in unison to brainstorm more effective strategies for preventing this form of trading manipulation in the future.
We Have Also Instituted Anti-Wash Trading Measures on the Platform as Well
[We are the First Cryptocurrency Exchange to Do So]
For this part, only a simple picture is needed here:
As you can see from the screenshots above, if you trade too often, we will restrict you from trading for a period of time.
Our API also is not open to the public at this time.
This effectively stops wash traders and bots dead in their tracks.
This is something that Bitfinex, GDAX [now Coinbase Pro], Binance, OKex, and any other popular exchanges that you can name right now do not have. In fact, to my knowledge (personally), I don’t believe that there are ANY measures that they have in place to seriously curb manipulation or wash trading.
We, however, have dedicated our exchange to stopping such illicit practices, because we value integrity and faithful trading over flash-in-the-pan gimmicks or additional fees from the nefarious activities of wash-traders and underground “market makers” that operate without an exchange’s consent.
Conclusion
Despite the fact that we have covered so much in this article, we have still just barely scratched the surface when it comes to discussing all that this exchange has to offer.
Rest assured though that by the end of this series, you will be convinced without a doubt, that the ABCC exchange is the best exchange in all of crypto. Period. Bar none.
Until next time!
