Exchanges Tokens

[totoy4741]

I don't agree. As long as exchange users benefit from tokens, it will not be worthless and will attract other exchanges users to it for more profits. As a BNB holder, you directly benefit from the profits binance makes. Because profits from the exchange are used to burn coins, this creates a basic supply/demand incentive.

If there were only 100 BNB tokens left, and binance made $10 million dollars for the quarter, they would spend $100,000 to buy back and burn each coin. Obviously a lot of people will hold, so the value will keep increasing and attracts more investors. I am a BNB maximalist, and i regret selling my $10,000 BNB into shitcoins and now building back my pile. But sadly shitcoins all fell on average over 90% while BNB is about to hit new highs soon.

OP is talking about what if that exchage completely shuts down or lose their reputation after years? If that means those exchange's tokens might not have any value right.

I think so too, cause those native exchange tokens  are mainly for trading fees purposes only inside its designed exchange platform. And since they don't support or any product they the be used to their value might end up zero once the exchange that supports that native token shuts down.

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[Furious 7]

I am holding part of my portfolio in Exchange tokens like OKB, BNB, HT, GT. and i can say that compare to other altcoins, they are much more stable in general. For example when hole market falling by 25% Exchange tokens may lose 15-20%. Thats kind of my  monitoring for the last year.

The price of a native token exchanger in my opinion has the potential to rise if the value of market cap or transactions in the cryptocurrency market continues to increase. Native tochers from large exchangers have greater opportunities because they have a clear roadmap and are usually used as token utilities to reduce transaction fees or participate in IEO

Large exchanges have many users and therefore exchange tokens will always rise high because of the development of such exchanges such as BNB and HT that are successful exchange tokens with high prices and even market capitalists are able to compete with other large altcoins that means their tokens have good plans forward.
There is no need to be afraid of holding their tokens because I have arrived at the bullrun, their tokens will come up by themselves.

[Maestro75]

New exchanges even DEX are creating tokens, I an one of the supporter of Vitex exchange and you can see it with my avatar, this exchange distributes dividends to its VX holder which feels good to hold than using native tokens for the trade frees. DEX today are doing these to gain support, Weidex is just one of them and I think they are also starting to get some trust from users.

That Vitex Exchange gives out it VX token as dividends to its customers do not mean the value will be strengthened. If anything, it will further weaken the price and force it down. Of all exchange tokens only the Binance coin has been able to remain strong and the highest price of $40+ at its peak. Others have not be able to go pass $10.

[JCviggen]

For now exchange tokens will majorly the purpose of being used on the respective exchange. Majority of exchange platform build their token to function in capacity of the exchange platform. I think that is enough for them if they serve the purpose rightly.

of course. they fully perform their functions, but you should think about who will need these tokens if something happens to the exchange. these tokens will simply die because they have no other uses besides using inside the exchange, so always fix your profits in time

[Greatchu]

Do not be moved by exchange tokens, it's just like the difference between bad projects and good projects, not all exchanges are good, you have to be sure that the project token is worth holding or else you will be disappointed, for example image if vindax has a token where as vindax is a scam exchange

[mdzahed134]

I think that exchange tokens will be alive, because exchanges are the enter for all people in crypto world, so when there will be hype, and I`m sure that hype will be and exchange tokens price will be very high because of it

All of the exchanges native token will be high prices that is not like that. So many crap exchanges platform i see Cat.Ex created CATT token but right now it is almost dead. Actually this one wasn’t crowd funded project, there are no legit investors, when listed price dropped 70%. OOOBTC exchange launched native token OBX also garbage these project. And those are fake exchanges and fake trade volume.       

[Mianae]

You're right because if these tokens are only used within the exchange as trade forces es, the price will not go up as it should but if they create other utilities for it then the price will definitely go up. Maybe they can integrate a mechanism to pay dividends to token holders and other utilities to drive the price.

[thisnewcoin]

Do not be moved by exchange tokens, it's just like the difference between bad projects and good projects, not all exchanges are good, you have to be sure that the project token is worth holding or else you will be disappointed, for example image if vindax has a token where as vindax is a scam exchange

Right now almost every exchange has their own token, this is ridiculous that all those shit exchanges have their own token too like Coinsbit token, Latoken, Emirex token, Coinlim, Coineal tokens and so on! So, buying those coins will be the worst decision, noob's job. If someone wants to buy exchange token they can easily buy the Binance, Kucoin, Gateio coins because these are the top exchange with the real volume!

[cytpoway121]

I have seen many exchanges have launched their own token like Binance with BNB, Idex with IDEX, Hotbit with HTB, Yobit with YO etc. where exchanges use their own tokens as another way to pay fees to support token. In addition to it, different strategies are used to create a hype like decrease in supply etc.
But if an exchange goes through a hard period of time and shuts downs then ultimately that token will come to its end because there is no community other than that exchange supporting the token simply because it has no usage outside the exchange.
According to me exchanges should promote the usage of their coins/tokens outside the exchange to build a community in support of it. If your community consists of huge individual entities who believe you then a great community can be formed. Otherwise lack of applications would lead these things to disaster.

Yes you are right, if anything happens to the body of exchange tokens, the token dies along with it, which is why every exchange platform are introducing several innovations, to drive and promote their exchgange to ensure relevance for a long time.

If you look towards binance, huobi and others, you get a very use case sample.

[kaneki007]

Just don't deal with small crypto exchanges from shitty jurisdiction. For example, look at this Turkish exchange. My money is on them exit scamming soon.

https://bitcointalk.org/index.php?topic=5235763

If you want to invest in token exchanges you should choose exchangers who already have a good reputation or at least their projects have been running for a long time. We can take the example of BNB and KCS, I think the two tokens can be used as a safe investment because their exchange has been operating for a long time.

[Crypto_lion]

Exchanges tokens are coming in the with the sole purpose of profit sharing in most of the cases and in some cases where you can reduce trading fee like binance. But personally I don't find much use for profit sharing tokens because come in who would want to share the profit with small time users.

[nutriagrigia]

Exchanges tokens are coming in the with the sole purpose of profit sharing in most of the cases and in some cases where you can reduce trading fee like binance. But personally I don't find much use for profit sharing tokens because come in who would want to share the profit with small time users.

These tokens are very useful for active traders. I had a period of active trading. I traded for about 5 months on the Binance and then I calculated that I saved about $ 100 just because I used BNB token to reduce fees.

[Ashong Salonga]

That is why it is in need that you have to choose a right and reputable exchange so that you can assure that the exchange token you hold will never die because it is indeed that the sole purpose exchange tokens is to be used on the exchange platform of the ones who have launched that token. If you do really want to ensure the safety of your exchange token, choose wisely the exchange project though it is hard to do, but it will all be worth it once you secure that the exchange will never die so that you can continuously use the exchange token you have. That is the awful truth about exchange tokens that dies together with their exchange once it encounter a problem because it cannot be used out of the exchange and will not have a value since it is mainly created for the use of the exchange where it came from.

[killerfrost]

New exchanges even DEX are creating tokens, I an one of the supporter of Vitex exchange and you can see it with my avatar, this exchange distributes dividends to its VX holder which feels good to hold than using native tokens for the trade frees. DEX today are doing these to gain support, Weidex is just one of them and I think they are also starting to get some trust from users.

That Vitex Exchange gives out it VX token as dividends to its customers do not mean the value will be strengthened. If anything, it will further weaken the price and force it down. Of all exchange tokens only the Binance coin has been able to remain strong and the highest price of $40+ at its peak. Others have not be able to go pass $10.

Because the total supply of Binance Coin is less than that of other tokens, OKB, HT are also one of the leading exchanges, and their token prices have also increased significantly in recent years. Because their total supply is too large, you cannot see them surpassing 10$. If their total supply is the same as BNB, I think they may have gone to $ 40-50 last year

[rdewilde]

I have seen many exchanges have launched their own token like Binance with BNB, Idex with IDEX, Hotbit with HTB, Yobit with YO etc. where exchanges use their own tokens as another way to pay fees to support token. In addition to it, different strategies are used to create a hype like decrease in supply etc.
But if an exchange goes through a hard period of time and shuts downs then ultimately that token will come to its end because there is no community other than that exchange supporting the token simply because it has no usage outside the exchange.
According to me exchanges should promote the usage of their coins/tokens outside the exchange to build a community in support of it. If your community consists of huge individual entities who believe you then a great community can be formed. Otherwise lack of applications would lead these things to disaster.

You have stated out very good points but there are things to consider as well, exchanges are known for crypto trading and so forth, so having additional products and services different from what it is known for might disrupt the ideas of the platform which is why there are many projects today each going towards a specific direction, so the more they improve the more their token is worth it. In my own opinion, i believe the best way is, continual improvements which will ensure the exchange remains at its best.

[Doranile432]

Yobit, hotbit and coinsbit are all bad idea, I advice you stay away from such exchanges because they aren't good enough, look what's happening with bcnex and vindax, if you are so interested in exchange token it's not too late to buy BNB,OKB, huobi token

[Iyanu14]

I have seen many exchanges have launched their own token like Binance with BNB, Idex with IDEX, Hotbit with HTB, Yobit with YO etc. where exchanges use their own tokens as another way to pay fees to support token. In addition to it, different strategies are used to create a hype like decrease in supply etc.
But if an exchange goes through a hard period of time and shuts downs then ultimately that token will come to its end because there is no community other than that exchange supporting the token simply because it has no usage outside the exchange.
According to me exchanges should promote the usage of their coins/tokens outside the exchange to build a community in support of it. If your community consists of huge individual entities who believe you then a great community can be formed. Otherwise lack of applications would lead these things to disaster.

I am of the opinion too that exchange tokens should have usefulness beyond the exchange of origin.  By this, they will have more values and attract more investors.  It's only tokens of well established exchanges that are still having good values, many others have almost become zero.

[Rafiqul]

Have you had a better look on bnb and study the project well? Some exchange token will die but that wouldn't be inclusive of platform like bnb whose project development is fast growing. Also, this does not only apply to cryptocurrency but every other assets including the traditional market

I agree with your opinion. Also I think when any token exchanges a good exchange, it will develop rapidly.

[mdzahed134]

Do not be moved by exchange tokens, it's just like the difference between bad projects and good projects, not all exchanges are good, you have to be sure that the project token is worth holding or else you will be disappointed, for example image if vindax has a token where as vindax is a scam exchange

Right now almost every exchange has their own token, this is ridiculous that all those shit exchanges have their own token too like Coinsbit token, Latoken, Emirex token, Coinlim, Coineal tokens and so on! So, buying those coins will be the worst decision, noob's job. If someone wants to buy exchange token they can easily buy the Binance, Kucoin, Gateio coins because these are the top exchange with the real volume!

I never heard any exchanges which have no native token, now it's likes a exchanges tradition/trend back in 2016. All of new exchanges platform are crap also their own tokens are priceless. Though right now so many new exchange platform are developing Leasehold(own DEX), CrypCore exchange these  IEO's not started yet. BNB token you can buy blindly according to the major exchange host token.                    

[forexandcryptoauditor]

By offering discounts with their own tokens, exchanges can attract new investors and increase their user base. I think this is a good strategy. And this is the thing exchanges are different from each other. During IEOs, changes get new investors as well as due to the use of their own token the liquidity increases. Binance apart from providing exchanges is already working as blockchain platform for dApps. I think other exchanges also think about utility outside their platform.