Today I’m wrapping up this little series on exchanges that offer native coins. If you missed the first installment, I covered Binance, KuCoin, Huobi, and CryptoBridge. We saw how these are organised in a similar way with the rewards for the coin holders as well as scheduled token burnings that work to reduce the supply.
The exchanges I covered in part 1 have been around for a relatively longer time compared to those which I’ve chosen to cover in today’s video.

I want to take a look at how these new up and comers are trying to improve upon this concept. But before I get into all of that fun stuff, it dawned on me that you may be curious as to why I think these types of coins can perform well in the long run.

So let’s address this.

We all know that the monetary value of cryptocurrencies is ridiculously speculative at this point.
Many of them aren’t seeing the real world uses which they were designed for in the first place, people are basically investing in them for their potential, or for the simple reason that they think other people will want to have them in the future.

When looking at these native coins of cryptocurrency exchanges there is one simple thing to remember.

They are directly related to a cryptocurrency exchange.
No matter the climate of the crypto market, people are buying or they are selling. This is all done on exchanges. If these traders want to save some money on fees, they’ll chose to do this trading on an exchange that gives discounts on fees if they trade with or just hold the native coin.

These native coins are realising their real world use case and their steady increase in price reflects this.

What’s more is that as interest in cryptocurrency grows, these exchanges will see increasing numbers of users and trades. And remember that many of these exchanges are also holding scheduled coin burnings to effectively reduce the supply, making these more scarce than at the start.

If you’ve been watching my videos for a while now, you’ve hopefully noticed that I’ve covered quite a few decentralized exchanges. This is a little hint that I think these will also prove to be pivotal for the future of cryptocurrency interactions. Lucky for us, these decentralized exchanges also offer native coins which I think will be increasing in value over time as well.

Ok so let’s take a look at some up and coming exchanges and what they have to offer.

(I’ll go over centralized exchanges first and then get into the proper decentralized options.)

As always, this should go without saying, but I know it’s important to give a reminder that centralized exchanges will ALWAYS be vulnerable to hacks and theft, that means your investments on these centralized exchanges are vulnerable to hacks and theft.

VIEW VIDEO HERE^^^^

FCOIN

First up, let’s take a look at one of the most controversial exchanges (so far) and why it’s gaining the attention of its competition.

FCoin is a centralized exchange based in China that was founded by the same man who was the CTO Huobi. It was launched only a couple of months ago.

Here are some notable aspects of its design:

• Total of 10 Billion supply (awfully big number)
• Trans-fee mining
• 51% of all FCoin will go to the public, 49% is allocated to FCoin itself and its investors.

Instead of going the ICO or airdrop route, FCoin’s method of coin distribution is different. You just need to make a transaction, or trade on the exchange, pay the transaction fee in BTC or ETH and you’ll get that equal amount back in FCoin. I mean, technically it’s different from an ICO, but the concept is the same.
The benefit for holding FCoin is that 80% of the fees collected are distributed in the form of BTC to all holders of FCoin.
If the only real benefit for holding FCoin is to ultimately receive more Bitcoin, it seems the motivation to make trades decreases considering that you still pay 100% of the fees in BTC or ETH.

Regardless, this incentive to make trades in return for its coin has seen FCoin achieve the kind of trading volume that outpaces many of the other top crypto exchanges. This probably explains why the CEO of Binance felt the need to speak out and criticise this one.

Besides this drama, FCoin is aiming to be perhaps the most transparent trading platform. It also let’s its community members decide which coins will be listed on the exchange.

It will be interesting to see how this one plays out in the long run, that’s for sure.

This next one seems a bit boring compared to FCoin, but it’s still new and has potential all the same.

Bibox (BIX)

Much like the other exchanges covered in Part 1 of this series, Bibox is a Chinese exchange that has a native token called BIX, it’s an ERC20 token actually.
Bibox distributes 20% of its profits to BIX holders on the condition that you make at least one trade a week on that exchange. This one has the same model for discounted trading fees and as Binance, 50% for the first year and this halves each year after until eventually no discount is applied.
Also Bibox does the same token buy backs and burnings. Final supply of BIX will be 200 million.
Bibox has also developed a method to standardise its listing and delisting decisions.

If you’re bummed that you missed the beginnings of Binance or KuCoin, Bibox could be what you’re looking for.

This next one is yet to be an exchange, but I wanted to cover it regardless because it has plans for a centralized exchange and also a decentralized exchange to follow.

Halo (HALO)

The Halo platform will allow you to add any crypto exchange account you have (assuming that exchange has an API) and access it through its platform.
It’s wallet will also allow you to store any cryptocurrency.
I'll let that sink in for a second... ;)

At the moment if you hold Halo coins, you can participate in its master node system and receive rewards that way.

When the exchange goes live you can expect this mid December 2018 if all goes well with the timeline they’ve set.

Last but certainly not least, I want to speak a bit about Blocknet.

Blocknet (BLOCK)

This one is also more than just an exchange, but on a different level than Halo. Blocknet is all about decentralisation.
Like Halo, Blocknet is also a platform but this one is aiming to be the internet of blockchains.

It’s a really cool project that keeps decentralisation a top priority while allowing different blockchains to interact and ultimately be a part of a network of blockchains.

This has huge implications, and by that I mean an increase of exposure of these blockchains to each other and their respective user bases.
Its first application is its decentralized exchange (Block DX). This DEX has been up for about a year and as with many other DEXs, the trading volume doesn’t quite compare to the other more popular centralized exchanges.
(But that doesn’t mean that people will come to their senses and realise the need for DEXs in the near future. ;) )
I’ve made a video that shows a bit how you can use Blocknet so if you’re interested in seeing what a true decentralized exchange is like, check out this link here.
Holders of Blocknet’s coin,BLOCK, can benefit in a lot of ways, but mainly, its staking mechanism is one of the most profitable I’ve seen yet.

They offer three types of nodes for holders of BLOCK, Service nodes, Staking nodes and Trading Nodes.

• If you want to trade using Blocknet DX, you’ll need to run a trading node which only requires that you synch the wallets of the coins that you’d like to trade.
• If you want to earn rewards, you can run a staking node, for which there is no minimum required, but you will need to keep this running at all times to receive rewards, which can range from 9 to 14% in annual returns.
• The service nodes have a minimum requirement of 5,000 BLOCK to qualify, this node will reward you with 18% annual returns.

Additional Reading/Sources:

FCoin:
FCoin Exchange
FCoin Investors
FCoin Drama
FCoin Distribution Explained

Bibox:
Bibox Exchange
BIX details
Bibox Optimism

Halo:
Halo Platform
Steemit Article on Halo's Goals
Halo Blog/ Newsletter
Halo Public Release

Blocknet:
Blocknet Website
Coins Available to trade on Block DX
Beginners Guide to Blocknet
Node Setup for Blocknet