Recap of AMA with Michael
At 20:00 on Dec 20, 2019 (UTC+8), Michael Gan, CEO at KuCoin, attended an AMA (Ask-Me-Anything) in the KuCoin English Telegram Group. The AMA session was composed of 2 sections: 1: Answering 10 questions selected from Twitter; 2: Free Q&A with Telegram group members.
Q1: Currently, the situation of exchanges hacked information and assets of users as well as the situation of scam appear more and more. What do you think about this situation and the plan? how about your exchange? (from Twitter ID: @cook_001)
A1: Yes this happened more and more often and you may not know that over $1B has been lost to crypto-breaches to date. At KuCoin, security is one of our top concerns, and we have introduced plenty of security mechanism to protect our users.
For instance, we worked with Boston start-up Arwen to introduced a brand-new solution — Decentralized Settlement Service (DSS)
Unlike Decentralized Exchange, the Decentralized Settlement Service (DSS) powered by Arwen allows users to protect coins in on-blockchain escrows, trade instantly across coin pairs using cross-chain atomic swaps and settle trades directly to their wallet of choice. KuCoin is the first exchange to support Arwen’s secure settlement technology, and this will bring enhanced security to KuCoin users. With this service, traders no longer need to deposit coins in the exchange, even while they trade on KuCoin’s orderbook, enjoying enhanced security and high liquidity in one place.
Many people have asked me if KuCoin has a fund to cover any possible losses from hacks or something. What I want to point out is 1. we do not make it a fund but we will take the initiative to cover the losses if such a terrible thing happens. 2. what we focus on is how to prevent such things from happening rather than letting it happen then doing something to make up for it.
Q2: Hello I have a question, I am from Latin America and I see only Binance moving here and some other Latin American exchanges , do you guys have plans for Latin America ? Here it’s a big market for crypto. (from Twitter ID: @Sergioa33719275)
A2: Yes, KuCoin is a global exchange and we have lots of users from countries like Brazil and Argentina. We’ve been in touch with some partners in the Latin America and see what we could do together. Also, we will be happy to offer fiat-to-crypto service for this continent.
Q3: Most of investor just focus on the price of token in short term instead of real value of project. Can you tell us the motivation and benefits for investors to KCS for long term? (from Twitter ID: @isay0823)
A3: KCS is the one and only native token of KuCoin and KuMEX, which means it is the backbone of everything. If you are holding KCS, I would say you are one of our team as you could enjoy the growth bonus of KuCoin as well.
Also, there are plenty of more direct benefits of holding KCS — getting daily bonus, trading fee discount, participating Spotlight and more.
In the long term, I think KCS will outform most other tokens in this market along with the sustainable growth of KuCoin.
Q4: Since mass adoption blockchain increased rapidly in 2019, what Kucoin plans for the following year? (from Twitter ID: @El_Sand1)
A4: We will continue to drive the mass adoption of crypto and blockchain technology. In many countries, we are working with educational institutions to conduct blockchain education.
Q5: In current exchange like platforms, there is main problem is wash trading for generating volume in their platform. So, Do you have any plans to prevent wash tradings in your exchange platforms? (from Twitter ID: @maikimphuong1)
A5: First I have to admit although KuCoin is one of the cleanest exchanges in the industry, we are suffering from wash trading as well. But the good thing is we have an advanced system to track suspicious behavior of any wash trading attempts of our partners and market makers, and we have achieved many positive results.
Q6: The big problem of some exchanges at this time is liquidity, so what does KuCoin do to make sure liquidity for users fastly to attract more users in exchanges space? (from Twitter ID: @Cryptoboy235)
A6: In terms of liquidity, I think the ranking CMC recently introduced is quite interesting. KuCoin now ranks 12–13 on this list, and we will make our way to top 10 in next Q1.
We’ve been working with many market makers and quant traders to increase the liquidity of KuCoin. Take BTC/USDT trading pair for instance, the bid-ask spread is $0.1 for most of the time, which matches other top exchanges.
Sharing a screenshot of the orderbook, you could see that the spread now is $0.1 (7161 vs 7160.9), indicating a very good liquidity.
And I’m happy that thanks to our team and partners, the market depth of KuCoin is good as well, you can easily buy 10BTC on KuCoin without impacting the price a lot.
Q7: A country like Venezuela, where there is no education in cryptocurrencies, we have problems with communication and security, that requires solid and reliable crypts, simple exchange and varied currencies, would you be the total support to support us, especially the unbanked ones? (from Twitter ID: @Periodistech)
A7: Definitely! We are providing crypto service to many unbanked people. Due to the geo and cultural difference, we may not be able to fully understand your needs, so appreciate if you could share with us more about how we could help you, and this will help us to do better as well.
Q8: Explain the utility of KuCoin, what’s the real-life use case and application of KCS? Are you focusing on only business and IT solutions or you will spread to other sectors? (from Twitter ID: @IslanNahid)
A8: There are plenty of direct benefits of holding KCS — getting daily bonus, trading fee discount, participating Spotlight and more. With the gradual adoption of blockchain technology, KCS has also begun to expand its use cases, enhancing its intrinsic value. Now, KCS can be used to get a loan on ETHLend, perform real-time transfers through ADAMANT Messenger, and play online games on PlayGame.com. With the recent collaboration with CoinPayments, KCS opened its door to over 2.4 million merchants worldwide.
We are currently focusing on trading services while we are also working with some countries to explore how blockchain technology can be implemented in other industries.
Q9: When we going to see KuCoinShare’s own chain? I read somewhere that they going to launch mainnet this year but year going to end and not any more clarification about KCS own chain. (from Twitter ID: @Anupamutt)
A9: We do not have a specific timeline for this as we have plenty of other products and services to develop and the priority of KuCoin chain is not that high.
Q10: Why should we choose KuMex against other futures? Thanks! (from Twitter ID: @daphuyen)
A10: KuCoin is a quite tech driven company and that’s why we are quite confident about the security and stability of KuCoin and KuMEX. In the crypto futures field, we believe KuMEX could offer the best experience for most traders.
There are many things that KuMEX is doing quite good
1. The Bitcoin spot price index of KuMEX is fairer than most exchanges, so your position might be liquidated in other platforms while it is still safe on KuMEX
2. KuMEX is offering about 10 different languages, offering a very friendly trading experience
3. We have many unique features like instant transfer
We know that futures is a very risky market and that’s why we want to try our best to develop a fair platform for everyone to trade Bitcoin futures.
Q11: Binance recently acquired wazirx for Indian OTC. What are your plans for Indian OTC?
A11: We’ve been working with another Indian exchange to explore this.
Q12: Traders were expecting POL since October, can you please update us regarding the progress of POL and it’s launch?
A12: The project is developing as expected. I could not unveil too much info but I would say the team is ready to list POL.
Q13: First of all, I thank you and your project. KuCoin team is a very hard working team The KuCoin team is working hard to raise the KCS price. Although the team has worked so hard, the price of the KCS is still not at the desired level. Especially suitable for the rise in the price of circulating supply. How can you interpret this? KuCoin Exchange brought Kumex and leverage system. Compared to other stock exchanges Kumex provides a lot of language support, but the volume is low. What are the efforts to increase this volume? In addition, will there be an IEO ICO regulation to increase the price of KCS? For example, 100 kcs in the hands of those who give the ticket right, through them IEO, ICO to do. This will increase the amount of locked kcs and the amount of kcs that will be encoded. When we trade, we have minimal tokens left behind. Will there be a system for converting these minimal tokens to kcs? Will KCS be listed on other major exchanges? For example BNB is also listed on KuCoin.
A13: The price of each token will be affected by many factors. For instance when BTC dumps, most major tokens like KCS will suffer as well. I know you all care a lot about KCS price, so do I. The good thing is, we will have plenty of good news about KuCoin and KCS coming and we see KCS is recovering. Let’s invest for the long term.
Q14: What was your motivation to build KuCoin, and what is your mission now?
A14: I used to be a user of Mt.gox and the experience is terrible. That’s why I wanna build a very user-friendly exchange. The KuCoin team now is committed to making KuCoin the best place to trade and we are also trying to contribute to the mass adoption of blockchain.
Q15: Hi Michael, come 2020 when ETH goes POS, will Kucoin introduce softstaking for ETH?
A15: That would be nice! Other major coins like EOS and TRON have been enabled on soft staking and this program has helped some users to make thousands of dollars.
Q16: How do you plan to keep the VERASITY community satisfied and engaged?
A16: Not just VERASITY, for all the projects that have been listed on KuCoin, we will work with them to launch many engaging campaigns to motivate and reward the community.
Q17: The negative side of privacy is money laundering. Do you have any safeguards to prevent money laundering?
A17: Yes, we are working with top security company like Chainalysis to fight money laundering. If such thing could be effectively prevented, I believe crypto would be accepted by a wider range of people
Q18: Comparing to other exchanges, does KuCoin have any advantages in terms of fees?
A18: For sure, we have very competitive fee structure. I remember The Block did a research about this before. KuCoin is the best performer in terms of trading fee, and please note that if you pay fee with KCS, you could get extra 20% off!
