Cryptocurrency change OKEx introduced the eighth spherical of buyback for its platform’s proprietary OKB token.In a June 5 announcement, OKEx intro
Cryptocurrency change OKEx introduced the eighth spherical of buyback for its platform’s proprietary OKB token.
In a June 5 announcement, OKEx introduced the beginning of the eighth and largest buyback of OKB tokens. From March 1 till Could 31, the change purchased and burned over 3.5 million OKB tokens, which at its present value of $5.35, interprets to a complete worth of over $18.7 million.
OKEx’s OKB buyback initiative was launched in early Could 2019, when there have been nonetheless 300 million of the tokens in circulation. After this final burn, a complete of over 20.67 million OKB tokens had been burned.
All of the burns lead to a present complete variety of tokens in circulation below 280 million OKB, for a market cap simply wanting $321 million. The burned tokens are despatched to what OKEx fittingly calls a “black-hole handle.”
OKB is a deflationary token
Per the announcement, the aim of the burns is to not affect the token’s value, however to as an alternative encourage the event of an ecosystem based mostly on OKB. In February 2020 OKEx additionally burned 700 million of unissued OKB tokens and promised to not problem any extra tokens. The agency claims:
“This [decision] transformed the OKB token into a totally deflationary token in addition to the world’s first totally circulating platform token.”
Sooner or later, OKEx guarantees that the tokens will probably be moved to their native blockchain, OKChain, however to this point there’s only a check community. Based on a March 2019 announcement, the agency is creating the blockchain and plans to additionally launch a decentralized change on it.
OKEx bets on derivatives
Since March, OKEx has been the world’s high Bitcoin (BTC) futures change by quantity and is constant to aggressively push to develop additional.
Simply yesterday, the change launched Ether (ETH) choices contracts on its buying and selling platform and introduced that EOS choices will probably be launched on June 18. The agency’s CEO, Jay Hao, advised Cointelegraph that he believes derivatives are essential for the crypto ecosystem:
“Derivatives are basic for the event of the crypto ecosystem and for attracting institutional funds. Once you have a look at conventional markets, derivatives sometimes account for greater than 4 instances the commerce volumes of the underlying asset. But, in crypto, spot buying and selling continues to be a lot bigger. That will not be the case for for much longer.”
Hao additionally advised Cointelegraph that the agency’s derivatives market is three to 4 instances larger than its spot market. He additionally stated that he expects that derivatives will quickly grow to be 4 or 5 instances bigger than spot markets in the entire crypto market. He concluded:
“Crypto has grown exponentially in the previous few years but in comparison with conventional markets and asset courses, it is nonetheless tiny. We want a classy, attention-grabbing, strong, and various derivatives market to take crypto to the subsequent stage.”