12 Cryptocurrency Exchange Tokens That Can Save You Money While You Trade

By Contrast Crypto on Altcoin Academy

In 2016 we had cryptocurrency exchanges and tokens on cryptocurrency exchanges, but did we ever expect to see cryptocurrency exchanges mint their own digital tokens to be used on their platforms? I know I wasn’t thinking that in 2016.

Binance was the first cryptocurrency exchange to launch a token with their successful 2017 ICO that raised $10 million. Seeing how lucrative an exchange token launch could be, other exchanges including KuCoin and Huobi quickly jumped on board to launch their own token.

While each exchange has their own token, each token generally has the same perks: lower fees, profit sharing, access to airdrops, and even early access to new listings. Though one other benefit has emerged in recent times: exchange tokens act as a metric for how well an exchange is performing, sometimes even preceding market movements — which can be seen with Binance Coin outperforming the majority of the cryptocurrency market in late 2018, early 2019.

Quite frankly, it was a brilliant move by the Binance team to launch their own token. First off, when we enter a new bull run, exchanges will see an increase in trading as well as an increase in the demand for the exchange token so users can benefit from the perks of using the tokens — I mean, hey, there’s money to be saved and potentially made, so why wouldn’t you get involved?

Cryptocurrency exchanges may also take part in buyback programs from time to time. Buybacks and coin burns allow the supply to be reduced significantly, and when coupled with an increase in demand for the token, often results in an increased token price.

Cryptocurrency exchange tokens are poised to be one of the better investments in the cryptocurrency market due to their built-in utilities and frequent supply reductions, but does that mean they’re a good investment? Cryptocurrency exchanges are huge targets for hackers, which is evident in the billions and billions of dollars stolen from cryptocurrency exchanges.

If a cryptocurrency exchange goes down due to a hack, should the same be expected from their token because the utility is now gone?

Here We Go: 12 Cryptocurrency Exchange Tokens That Can Save You Money While You Trade

— Market Cap: $4,460,715,192

— Price: $28.68

— 24 Hour Token Volume: $259,911,778

— 24 Hour Exchange Volume: $992,593,075

— Technology: Binance Chain

— Consensus Mechanism: Proof of Stake

— Launch Date: July 2017