Monolith is a company that offers a DeFi focused personal Banking alternative. Through their Non-Custodial wallet and VISA Debit card users are able to spend their Crypto assets whenever they feel, while still being fully in control of their funds. The fees are low, and there is no upfront cost to getting a card in terms of holding tokens or paying a one-off fee - totally free! The use case of Monolith's $TKN Token is as a revenue share of the collected fees from Card top-ups, and exactly how this works is likely to be improved further in the not too distant future. The team have worked hard since their ICO in 2017 and are constantly working to improve the service and features they offer. I will go into more detail in future articles, but a few people I have spoken to about this project have asked "Where can I buy $TKN ?". A good question indeed, so here is my analysis below:
How can a Summary come right at the start? Most people are already bored and just want to know where is best. So, I will start at the end and go into detail afterwards:
The Swap Exchanges
Many more people are familiar these days with how the swap exchanges work. A pool is funded with equal values of Ethereum and the token to create guaranteed liquidity. This means that there is always somewhere for you to buy and sell the token. The only issue is "Slippage" (otherwise known as "how much the price changes when you buy/sell lots"). The way to reduce slippage from using liquidity pools is either a big pool or, as I will discuss later, combining multiple different pools into one. $TKN has three pools; Uniswap, Kyber and Bancor. These pools can be accessed easily with a wide range of software and hardware wallets, such as Metamask, the Coinbase Wallet and Ledger Nano S.
Uniswap V1 - This pool has not yet been migrated to V2, but that does not matter as it still works perfectly fine. It is the largest liquidity pool, with a current value of Approx $426k. This means that slippage is low and often gives the best price on its own compared to either Kyber or Bancor. The great thing about Uniswap pools is that anyone can add additional liquidity to the pool and earn a percentage of the trading fees generated by the pool.
Bancor - This is the second biggest pool for $TKN, valued at Approx. $106k . Bancor works in a similar manor to Uniswap, and anyone can add liquidity. The slight down side, and why it is so much smaller than Uniswap, is that liqudity must be provided in BNT and the token you are adding (e.g. $TKN).
Kyber - Is the smallest pool , valued at Approx. $29k, and this is because while there will be upgrades to how liquidity is provided in the future, currently it is not possible for private individuals to add to Kyber pools.
There are two popular DEX aggregators that many are using for $TKN, and those are 1inch.exchange and paraswap.io. These are two examples of exchanges that combine the three Uniswap, Kyber and Bancor pools to find the best possible combination from all three to maximise your buying or selling power. A note to remember though, is that Gas fees can be higher with these exchanges, due to multiple transactions taking place, but often this is offset considerably by the additional tokens you receive. It is always worth checking before pressing that final confirm button!
A comparison and visual for each one is below, and you can hopefully see how they work:
Special Mention - IDEX
IDEX.io is a great exchange, but at this time there is little volume there. If interest picks up in $TKN as they continue to deliver, modified tokenomics and sign up more and more customers, then people may start to move over to this decentralised exchange. The big plus about IDEX over the swap exchanges is that limit orders are straight forward and easy to use. Time will tell whether IDEX can grow as a good place to buy and sell $TKN. Perhaps my "OK" rating is a bit generous, but perhaps people will start setting limit orders with future targets and the books can grow from there.
All three of the centralised exchanges that $TKN is currently listed on are not great due to lack of liquidity and very thin order books. I would not recommend using any of them at this point. In the future this could change, as greater demand pushes people into setting orders on those exchanges, but I personally would be cautious and not store any of my $TKN on a centralised exchange, especially for the long term, as you are not in control of your own funds like you are on a DEX.