Introduction
To any who have been keeping abreast of the bustling blockchain scene, the recent phenomenon of exchanges springing up would be nothing new and would indeed by now seem to be a repetitive, pointless exercise. The highlight of these transaction mining exchanges such as FCoin and CoinPark is that they reimburse trading fees to their users in the form of their respective tokens. This is a step in the right direction but one which does not tackle the main negative effects of an exchange such as Binance.
Bgogo is a transaction mining exchange just like the formerly mentioned FCoin and CoinPark but with a twist all its own. It is led by a stellar team of individuals with solid experience from leading tech giants and its investors include well-known venture capitals such as Node Capital, Sky9 Capital, Goopal Digital, and Hike Capital.
Unique Features of an Original Design
Bgogo introduces several unique features as follows
- Supernodes — Based on this concept, there are 21 supernodes holding the highest amount of BGG tokens that are each entitled to pick a cryptocurrency they support for listing on Bgogo exchange. These 21 BGG supernodes are to be selected from leading global cryptocurrency entities and they get to share 20% of the commission generated over the trading lifetime of the cryptocurrency they elect for listing.
- BGG token holding positions — Bgogo will set a precedent by posting and updating the holding positions of its 21 supernodes.
- Token buyback model — Bgogo will utilize 100% of the trading fees it receives to repurchase its tokens.
- 105% trading fee rebate — Users are returned an amount of BGG tokens the equivalent to 105% of the trading fees they incur after every 30 minutes.
Implications of an Original Design
There are two aspects to what Bgogo is trying to do that set it apart. The first is that Bgogo is really aiming to compete with Binance. As all would know, Binance holds a monopoly of influence to the point that when a project manages to list there, its token price will shoot up pre and post listing. As such, every project vies to be listed there upon token unlock. This is not such a bad thing as it could be an attestation to what Binance has often asserted — that it vets potential listings carefully for quality. However there is a downside here as Binance has sole discretion as to who gets to list on its platform and when. There arguably have been multiple good projects denied this privilege. The other drawback is that chosen projects are more or less at the mercy of Binance as to the timing of their token listing. This may seem like a trivial thing but it could well negatively affect the timeline of projects and thus on a cumulative scale market movements. Now, Bgogo with its supernode system provides a much needed solution to the predicament faced by projects. With all of its 21 supernodes granted the right to exclusively list their best projects on a top notch market platform, decision making power is distributed and uncertainty and delay are eliminated. What this means is that no worthy projects are denied the chance of a strong start as on Binance and that the attendant difficulties that come from a central authority such as Binance are done away with.
Secondly, Bgogo with its 105% reimbursement of trading fees is inherently pursuing a more decentralized way of matching buyers and sellers. By doing away with trading fees so to speak, they are in effect relinquishing their status as the middle man. As such, contrary to what many might think, Bgogo’s main competitors are not FCoin or Coinpark or other such transaction mining exchanges but Binance and Kucoin. In fact it can be said that all exchanges in the transaction mining category are complementing each other in establishing a new standard that is of an immense benefit to the wider ecosystem.
Verdict
By upholding, preserving and pushing the tenets of decentralization amidst the current landscape, Bgogo is leading a new way forward for others to emulate. It is not content with being a game player but looks set to be a game changer. I will be looking forward to use them for my trades and am excited to see what repercussions will arise from their endeavor.
Links
Website: https://bgogo.com/
Telegram Community: https://t.me/Bgogo
Whitepaper: https://bgogo.com/assets/white-paper/BGG-Token-Whitepaper-v1.8EN.pdf