DGTX Minting Will 5x Liquidity on the DFE This Month
Unlike other cryptocurrency exchanges, Digitex Futures is unique in that all trading activity takes place in our native DGTX token. Our utility token actually has real use and isn’t just a hook for discounted trading fees or early investment opportunities.
Digitex Futures provides traders with the only zero-fee Bitcoin and Ether futures platform in the space and, because we have our own native currency, we can mint new tokens to cover operational costs and increase liquidity on the exchange.
This quarter’s mint will do exactly that – attracting more traders (and bigger size traders) who can take advantage of trading on highly liquid markets without paying a single fee.
This Quarter’s DGTX Mint
We will be using the DGTX tokens from this quarter’s mint (March 1, 2021) predominantly for the purpose of market making and thus increasing liquidity on our two futures markets, BTCUSD and ETHUSD.
Up until now, the average total of bids and offers on our BTC market is about 30,000 contracts. Following today’s mint, this will increase by at least 5x, meaning that the number of contracts of bids and asks will multiply by at least five times the current volume.
It’s this ability to carry out market making on this scale, without having to charge our users commissions to pay professional market makers, that sets us apart from other exchanges.
For those investors concerned that minting more tokens increases the supply and therefore dilutes the value of their existing tokens, we’d like to address your concerns.
Just like Bitcoin, the DGTX supply is finite. We won’t carry on minting tokens forever. In fact, each quarter, fewer DGTX tokens are minted than the previous quarter, until finally, in 2028, the finite maximum cap of DGTX is reached. At this point, no more DGTX can ever be minted again for any reason.
As we’ve seen from the biggest cryptocurrencies in the space, there is nothing intrinsically wrong with minting new coins or tokens (Bitcoin mines new coins every ten minutes and Ethereum every few seconds), as long as the tokens are used to benefit the entire ecosystem and there is a finite cap on the number that can be minted.
DGTX Mint Schedule Is Public and Transparent
DGTX minting has always been at the core of our revenue model as stated in the initial whitepaper, and the DGTX minting schedule has now been posted on our CoinMarketCap page for a few months. This means that the market is fully aware of this schedule, and it is fully factored into the DGTX price.
We will use these minted tokens responsibility in order to increase liquidity and make our markets more attractive to more and bigger size traders. We firmly believe that by using these minted tokens in this manner, we can increase the demand for DGTX and make the token more attractive to HODLers, speculatores, and traders alike.
As a utility token that facilitates commission-free high-frequency trading strategies that aren’t possible on other fee-charging exchanges, the DGTX token will always have an intrinsic value for our users. Regardless of the current price, ever-increasing liquidity made possible by our minting schedule will attract more traders – as Adam has always said, liquidity begets liquidity.
And, minting tokens for the purpose of increasing liquidity will increase the intrinsic value of the DGTX token as a vehicle for high-frequency trading with zero fees. So, be sure to capitalize on the volatility surrounding BTC and ETH right now using our commission-free exchange that’s going to see liquidity 5x this month.
Published at Mon, 01 Mar 2021 16:33:26 +0000
