A Guide to Exchange Tokens
Crypto exchange tokens are raving digital assets that fulfill multiple purposes. A typical token is launched to increase its native exchange’s liquidity and trading activity or even help govern the exchange’s community.
This in-depth educational guide to crypto exchange tokens will give you a confident overview of the most common use cases as well as tell you everything you need to know about CoinMetro’s very own token, XCM.
What are Exchange Tokens?
Let’s start with the basics as we always do.
Crypto exchange tokens are digital assets native to crypto exchanges. As mentioned in the introduction, such tokens are launched for a number of reasons, depending on both the focus of the exchange and the customers’ or the community members’ needs.
Since crypto exchanges are platforms for buying, selling, and exchanging cryptocurrencies, launching a native token can help facilitate the exchange of virtual currencies on the platform. Moreover, holding tokens offers fee discounts and many more additional benefits.
Tokens vs Coins
Tokens are oftentimes called coins, and vice versa. They are similar in a way. However, there’s a big difference between the two.
A coin is an asset that is native to its own blockchain. Bitcoin, Litecoin, and Ether are all good examples. Each of these coins exists on their own blockchain.
Tokens are created on existing blockchains. The creator of a token will pay some of the native cryptocurrency on the blockchain they are creating the token on.
Once again, think Ethereum. Tokens that are built on the Ethereum platform with Ether being the native coin are known as ERC-20 tokens.
Equally important, most tokens exist to be used with decentralized applications – for instance, to unlock some features or get fee discounts.
The Potential of Exchange Tokens
The next thing we’re going to look at is where lies the potential of crypto exchange tokens and why the sector is raving.
The revenues of crypto exchanges mostly come from trading fees. The larger the trading volumes are, the more fees and so the bigger the profits the exchange will generate.
What do tokens have to do with growth acceleration exactly?
As exchanges require high trading volumes to earn profit, encouraging users to conduct more transactions is the key method. We already know that tokens are often used to trade at reduced rates within a crypto ecosystem, so here’s why.
Staking is a smart way of earning passive income, and exchange tokens are perfect tools to make some extra cash. You can get nice rewards for just holding tokens on your exchange account.
Staking crypto is a hot topic in 2021. Did you know that CoinMetro offers you a fantastic opportunity to get up to 5% annual staking reward for just holding tokens on our platform?
The fast growth in the number of tokens and the sky-rocketing prices are undeniable. In fact, tokens are hitting their all time highs and beyond.
The times when cryptocurrencies and tokens widely associated with concern and doubt are long gone. Today, both are great investment opportunities.
We believe that tokens are the shares of the future, with traditional investment options no longer monopolizing the financial scene. The rapidly developing digital alternatives are here to stay.
How to Recognize Tokens with Potential
What features should you look for in an exchange for its tokens to have a higher value in the long run?
There’s a huge number of crypto exchange options available, but you should be looking for something that’s both practical, offering a wide range of solutions, and easy to use.
Fiat Deposits and Withdrawals
This is a very important feature. It allows users to get their money directly where they want it, without having to hop through other exchanges and services.
Community is e-v-e-r-y-t-h-i-n-g. Having your people to have their voice in the game is always a prerequisite for growth and success.
We can’t thank the community that grew around CoinMetro enough. Together, we will continue working hard for our success.
Having a rewarding affiliate program is one step forward towards the growth of a crypto project.
Of course, an affiliate program without a superb product is pointless, but if you have something to brag about, be sure that it will be a kick for the users to get even more people on board.
Rewards are definitely positive, powerful incentives. They are a form of recognition and one of the ways to gain customer loyalty.
The features listed above is everything the CoinMetro team’s been working towards since the beginning. It’s CoinMetro in a nutshell.
CoinMetro’s Utility Token
The CoinMetro token, XCM, is an ERC-20 utility token. It’s the native token for the CoinMetro crypto exchange and trading platforms.
XCM broadens your trading opportunities with CoinMetro by a mile. You can use it on our crypto exchange, for copy and margin trading, and on our digital securities marketplace.
You can store your XCM tokens safely in your CoinMetro account or withdraw your assets to any ERC-20 compatible wallet.
When creating our native token, we wanted to build something that offers true value. Essentially, the purpose of XCM is to offer benefits and value to CoinMetro users. We are continuously expanding the use cases with all of CoinMetro’s existing and upcoming products.
The future of XCM is the Moon as it has been booming. Have a look at the chart below!
The price of XCM has risen well beyond the ICO tiers and reached new highs. So has the team’s and the community’s confidence in our utility token.
This year, it climbed an unbelievable 2,100%! If you’re not an XCM holder just yet, now may be the rightest time – and CoinMetro, the rightest place – to buy your tokens.
Become a CoinMetroid
CoinMetro is a killer, and so is XCM that is yet to unleash its true potential.
In just one year, we’ve grown 100x. As to 2021, we’ve more than doubled revenue projections for Q1, which puts us comfortably on track to keep achieving targets through the rest of the financial year.
Hop on board the CoinMetro train that will safely take you to the future of finance. Become a proud member of our amazing community by signing up today.