Exchange tokens are one of the hottest topics of the crypto market. Driven by the bullish sentiment, the price of major exchange tokens is on an upward trend. KuCoin’s native token KCS has had an amazing performance over the past 2 months. At the beginning of 2021, KCS rose from a low of $0.66 to a high of $6.95, an increase of over 1,000%. In addition, KuCoin also announced that “Empowering KCS” will be one of the key priorities in 2021 and beyond, which also boosted the confidence of KCS holders.
So, what exactly is the KCS? What is KCS used for? And what benefits can be obtained by holding KCS?
In this article, KuCoin Blog will take you deep dive into the KuCoin native token KCS and its ecosystem.
What Is KuCoin Token (KCS)
KCS is the native token of KuCoin, which was launched back in 2017 as a utility token that allows traders to share the growth benefit of the exchange. It is currently issued as an ERC-20 token running on the Ethereum network and was supported by most Ethereum wallets. Sooner or later, as the KuCoin decentralized trading solution goes live, KCS will be the native asset of KuCoin's decentralized financial services as well as the governance token of the KuCoin community in the future.
The total supply of KCS was set at 200 million, and there is a planned buyback and burn until just 100 million KCS remain. KCS currently has a total supply of 169,843,459 and the circulation supply is 79,843,459. The total market cap of KCS is $438,728,748, ranking it in the top 100 on CoinMarketCap.
KuCoin is a global crypto exchange that currently provides Spot trading, Margin trading, P2P fiat trading, Futures trading, Staking, and Lending to its 6 million users in 207 countries and regions around the world. KuCoin ranks 8th on CoinMarketCap and 10th on CoinGecko. As the core of the KuCoin ecosystem, KCS, will be the underlying fuel and native token of the KuCoin decentralized products, which will benefit the KCS holders and ecosystem builders.
What Makes KCS Unique?
KCS Bonus is a unique incentive mechanism for KCS holders and KuCoin ecosystem builders. It is also regarded as one of the best ways to make passive income. Users who hold at least 6 KCS can get a daily bonus, which comes from 50% of KuCoin's daily trading fee revenue. The amount of rewards that users can get depends on the number of KCS held and the trading volume of the KuCoin Exchange. With the increasing trading volume of KuCoin, the estimated APR of KCS bonus exceeds 30% lately. According to the KuCoin annual report, one KuCoin user got 70,000 KCS bonus in 2020 and the current value is over $350,000. Buy KCS and get a daily KCS bonus.
What Is KCS Used For?
KCS, as a utility token, has a number of use cases. In the KuCoin ecosystem, KCS can be used to pay trading fees on the KuCoin Exchange, allowing users to enjoy discounts of 20%. The use case of KCS also includes participation in token sales on KuCoin Spotlight, as well as LockDrop/BurningDrop on the Pool-X platform.
Furthermore, KCS, as a payment method, also has a lot of use cases, such as:
- SwirlPay, a decentralized payment service, supports KCS payments.
- PlayGame, a direct-to-play gaming platform, enables users to play games with KCS.
- KCS can be used to make hotel reservations on Travala, the leading blockchain travel booking platform.
- Purchase fashionable products on Print-ted with KCS.
- KCS is able to serve various offline and online payment scenarios via Pundi X.
- Use KCS to buy monster card packs on Splinterlands.
- Collateralize KCS to borrow US Dollars (USD) and Vietnamese Dong (VND) on Constant.
- CoinPayments, a borderless online payment platform, accepts payments in KCS.
- BetProtocol added KCS as the main token used on their gaming applications.
What Is KCS Burn?
The KCS team is executing KCS buyback and burn regularly. Starting from January 2021, the KCS team decides to adjust the period of KCS buyback and burn from each quarter to each month. In each period, 10% of the net profit will be applied to the buy-back of KCS. As of now, the KCS team has burnt 30,156,541 KCS, accounting for about 15% of its total supply.
The New Chapter of KCS
To better develop and optimize the existing smart contract and to empower KCS to engage in the blockchain ecosystem in a more multi-dimensional way such as through DeFi, DEX, etc, the KCS smart contract has been upgraded in January 2021. According to the KuCoin and KCS roadmap for 2021-2023, the upgrade of the KCS smart contract is just the beginning, as there will be more KCS products going live in the future. At the end of 2021, KCS will be the underlying fuel and native asset of KuCoin's decentralized financial services.
KuCoin has also announced that “Empowering KCS'' will be a key priority of KuCoin and will build KCS as a killer product rather than a simple token, which is bound to further diversify the benefits that KCS holders can access. With the development of the KuCoin ecosystem and the increasing number of KCS holders, KCS will enter the top 30 or even the top 15 of total market cap in 2-3 years.
As a native and utility token, KCS has lots of use cases. Driven by the prosperity and development of the KuCoin ecosystem, the value capture capabilities of KCS will be further enhanced. In the long run, KCS performs as the key to the entire KuCoin ecosystem, as well as the governance token of the KuCoin community in the future. So, the future of KCS is worth looking forward to.