More Details about ViteX Economic Model

  • @Choeriswangqiji said in More Details about ViteX Economic Model:

    @Krillin It is reasonable. LET Me tell you why. First as mentioned above, all transaction fees will be distributed to the VX holders, in other words, ViteX will not take any of your crypto assets. Even though, ViteX will take 10% of every transaction fees as already published in this article, which means 10% * 0.5% = 0.0005 (0.05%) as a transaction fee (that will be 100x higher in other exchanges)

    I don't understand your sentence, sorry, can you rephrase?

  • @Krillin ViteX will only take 10% of total transaction fees for daily operations. And the rest of 90% of transaction fees collected will be allocated to all traders on ViteX if they are holding VX in their account. So that means 0.5% * 10% = 0.05%.

  • @Choeriswangqiji

    1. Sorry, but 0.5% is everything but reasonable, my bank takes less fees. It's the highest fee of the all market.
    2. You are speaking like everybody will be VX big holder...
    3. As a full time trader, I tell you, I will never trade with 0.5% fee, it is just a fact, and you can ask other traders.
    4. As a DEX, you can be cheaper than other exchanges, and as a DAG based DEX, you can be cheaper than other DEX.

    So your model is good only for VX whale, but not for users (especially vite token users). To me 0.5% is a deal breaker. It's just my honest opinion, I hope you will do a comparative analysis and see that your fees are 5x higher than the all market. Fee level is the 1st thing traders look at. Exchange token must be an incentive, not the inverse.


  • @nik12 Thanks for your kind advice. I will report to our dev team.

  • @Choeriswangqiji sorry but you're totally missing the point.
    If I want to buy VITE with BTC on the DEX, you will take 0.5% of the amount of VITE I am purchasing. And this is not acceptable.

  • @Krillin Yes, and how about you will receive some VX in return and you will receive dividends every day since then? So what do you think?

  • @Krillin agree, whatever if it goes to a VX holder. It a 0.5% fee, so it's a 0.5% loss.

  • @nik12 But you get transaction fees in return, that will compensate the called loss.

  • @Choeriswangqiji Token exchange must be an incentive, not the inverse.

  • @nik12 It is an incentive.

  • @Choeriswangqiji In this case, collecting a 0.5% fees it is a deal breaker for many, and a good incentive for a few. My pm is open for more feedback.

  • @nik12 You just put your eyes on the number, 0.5%. You could see and more behind this number. That is the case. Maybe this number will be adjusted, but you shall not ignore its benefits. It is an incentive one.

  • @Choeriswangqiji I think people who want to buy VITE with BTC in my example just want as much VITE as possible. They don't want VX.
    If the purpose of VX is only to be able to get more VX it's just pointless.
    If you want to build an efficient exchange you will need to be advised by experienced traders. Don't build a whole exchange based on assumptions, ask the traders what they think is best.

    CoinEx exchange implemented a very similar "trade mining" system with their CET token and it was a complete disaster.
    Hotmine exchange also implemented something very similar with their HMT token and they exit scammed.

  • @Krillin traders collecting VX is to get BTC, ETH, VITE in return. Not VX.

  • @Krillin Really, really good exemple with the CoinEx fiasco. I was also thinking about this exemple.

  • @Choeriswangqiji said in More Details about ViteX Economic Model:

    @Krillin traders collecting VX is to get BTC, ETH, VITE in return. Not VX.

    What do you mean by that? Two hours ago you were saying I would receive VX in return... now you say the opposite.

    @Choeriswangqiji said in More Details about ViteX Economic Model:

    @Krillin Yes, and how about you will receive some VX in return and you will receive dividends every day since then? So what do you think?

  • @Krillin She means you will receive VX in return for your trading activity. And this VX will gets you dividende in form of BTC ETH VITE.

  • @Choeriswangqiji I appreciate exchange tokens as an incentive, and my portfolio is full of that coins.

    1. It's classical game theory, do you prefer to save 1$ today or 2$ in a year. It is more true in trading activity, because of the nature of our job.
    2. What is the best incentive, saving money with low fees everyday or paying high fees to hope to get some of this fees one day with a ratio that you cannot anticipate back to you.
    3. Because of you architecture you can propose lower fees than anyone in the market, and based on your distribution ratio, team ask for a 0.05% fees in reality. A 0.1% (what is the reference fees for 2019 based on my own opinion) fees will provide 50% of all incomes back to the community, what is still a huge gift to the community, and it will be the exact same for vitelabs.
    4. There is also a time dimension, regarding your distribution model. What if I discover ViteX in 2 years.
    5. As a VX holder, the goal is to have a maximum users on the platform, so the platform will live for a long time, and I will get dividend for life. Better less than nothing.

    That said, it is just my own opinion, I am talking without seeing all the elements that you, project leaders have, so please consider this as a critical but well intentioned comment. As a trader, I chase good services / low fees ratio as my fist requirement when I trade somewhere. And I simply refuse to pay a 1% fee for a full trade, whatever if the money goes to the community or to me if I play a tokenomics, I am a trader not a tokenomy player, I have no time for that, and I see it as a problem.


  • @nik12 ah yes I just want neither. All I'm saying is that ViteX needs competitive fees (below 0.1% like most exchanges), otherwise I don't see why anyone would use it.
    Your post below is great summary, good job. 👍

  • Agree with the above statements. If you want to attract traders and liquidity, you must offer a competitive fee structure at or below 0.1%, then build your VX incentives inside that structure.

Log in to reply