Competition is heating up among cryptocurrency exchanges. For consumers, traders, and speculators, this is a very positive development, all things considered. Bgogo aims to bring more competition to this market in the coming months, as it uses a new feature known as “supernode listing authority”.
The Bgogo Concept Explained
Providing cryptocurrency users with yet another exchange is never a bad thing. More platforms to choose from allows for more competition and an improved trading ecosystem overall. Bgogo aims to become “the cryptocurrency exchange of the community, by the community, and for the community”. To do so, it uses a supernode listing authority, meaning the platform will mainly focus on listing the most promising digital assets and cryptocurrencies on the market.
How Does it Work?
Introducing supernodes is nothing new in the world of cryptocurrency. Various currencies use supernodes to provide vital services to the community, mainly those related to anonymity and privacy. In the case of Bgogo, its supernodes are elected based on the top 21 accounts holding the native BGG token. Supernodes can be re-elected every quarter, which adds some more intrigue to this exchange.
As of right now, the supernodes listed on Bgogo’s website include the likes of Pantera Capital, ICODrops, Genesis Capital, Dfund, Utopia Capital, and others. All of these entities own equal amounts of BGG tokens, and more supernodes will be added to the list as time progresses. This VC-backed exchange will undoubtedly attract a lot of attention, mainly because it has received so much financial support.
For the time being, Bgogo maintains two major base currencies. Both Bitcoin and Ethereum are linked to all other currencies on the platform. The other supported currencies are still relatively low in number, although there is no point in adding hundreds of coins which generate little to no trading volume. Even so, some of the tokens currently listed on the Bgogo website will raise eyebrows, as they may not necessarily be among the top assets.
The BGG Token
It’s become customary that every new project in the world of blockchain has its own asset or token. In the case of Bgogo, its token is known as BGG, of which 10 billion exist. Active users of the Bgogo platform will be rewarded with these tokens through “trade mining”. It is a way to recompense users for the trading fees they pay while using this platform. Tokens will also be bought back by the Bgogo team every single day. To do so, they will use 100% of the trading commissions accumulated. Re-bought tokens will be destroyed permanently.
The Road Ahead
As is always the case when a new cryptocurrency exchange launches, one has to wonder whether Bgogo will generate any real traction. So far, that does not appear to be the case, even though the project is still relatively young. Making a lasting impact in the cryptocurrency world is very challenging, especially with hundreds of exchanges being in operation already.