KuCoin Token (KCS) is the native token of the KuCoin cryptocurrency exchange, which enables a profit-sharing model between the platform and its users. The total supply of KCS was initially set at 200 million, and there is a planned buyback and burn until just 100 million KCS remain. The KCS was originally an ERC-20 token based on the Ethereum blockchain, incentivizing KuCoin users to enjoy a stream of passive income by holding it. It has also been supported by KCC or KuCoin Community Chain since its launch, the public blockchain built by KuCoin’s fan communities and holders of KCS.
The KCS token is an innovative way for KuCoin to share 50% of the platform’s trading revenue with holders of the token on the exchange. All KuCoin users who hold at least 6 KCS are eligible to earn a daily dividend of 50% of KuCoin’s revenues from trading fees. In addition to receiving rewards in revenue sharing, KCS holders also enjoy fee discounts and the opportunity to participate in initial token offerings and other unique services offered by KuCoin.
Another significant milestone for KCS is the development of the KuCoin Community Chain (KCC). KCS is the only fuel and native token for KCC and can be used to pay gas fees and support the development of projects built on KCC.
In March 2022, KuCoin co-released the KCS whitepaper with KCS Management Foundation and KCC. After that, KCS will play a more significant role in scaling its adoption cases and empowering its Web3 building.
The KuCoin Token was launched as an ERC-20 token on the Ethereum network in 2017. It was initially devisevd as a mechanism for profit-sharing between KuCoin and its users, encouraging crypto traders on the platform to enjoy a more valuable experience.
As one of the top 5 cryptocurrency exchanges worldwide, KuCoin started its operations in September 2017. Since then, it has gone on to service tens of millions of crypto traders looking to buy, sell and hold more than 600 different kinds of digital assets.
The KuCoin token was first established as a way for the exchange to share its revenues from trading fees with its users. From a utility token used to pay trading fees and access to the exclusive campaign within the KuCoin exchange, KCS evolved to be the key to the entire KuCoin ecosystem.
With the rapid growth of KuCoin, KCS broke a new all-time high on December 1, 2021, reaching $28.8. And the release of the KCS white paper was followed by the direct burn of 20 million KCS on March 31, 2022, which accelerated the deflationary process of KCS.
As KuCoin started offering more services to its customers, the value and price of KCS also received more support. Let’s take a look at the use cases for KuCoin Token next.
Here’s a list of primary use cases for KuCoin Token (KCS):
KuCoin token holders get special discounts on trading fees and other associated costs within the KuCoin exchange. The percentage of discounts is calculated based on the number of KCS tokens held by the user. In addition, KCS holders can also use the KuCoin Token to pay for transaction fees and enjoy a 20% discount.
As a KCS token holder, you can receive exclusive access to initial token offerings from new and upcoming projects featured on KuCoin Spotlight/BurningDrop.
To incentivize the KCS ecosystem, builders and holders with at least 6 KCS will enjoy a daily bonus from 50% of KuCoin's trading fees revenue. Therefore, how much bonus you will get depends on your holding volumes and overall trading fee revenue from KuCoin.
The KCS coin also serves as the native asset in the KCC network, allowing users to pay transaction fees or gas fees within this public chain.
As one of the top 100 cryptocurrencies by market cap, the KCS token is among the most valuable digital assets to invest in or trade. Crypto traders can choose to buy, exchange or HODL their KCS to grow their crypto portfolio. Review the real-time KCS price, market cap, 24-hour trading volume, and news before you trade KuCoin Token.
KuCoin shares a portion of its revenues earned in trading fees with its users, who hold a minimum of 6 KCS coins. The amount received, known as KCS Bonus, depends on the number of KCS you hold, the total amount eligible for a bonus, and the daily trading volume on the KuCoin platform.
You can also convert small balances of cryptocurrencies (or dust) in your trading account into KCS. Check out each asset’s page to learn more about converting your small balances into KCS.
At the time of launch, the initial supply of the KCS token was 200 million. However, since its launch, KuCoin and KCS developers undertake buyback of the tokens from the market and burn a percentage of the supply every month. The process is expected to continue regularly until KCS circulating supply reduces to 100 million in the crypto market.
As one of the top cryptocurrencies by market cap, the KuCoin Token price experiences volatility due to numerous factors. Here are some of the critical factors that drive the KuCoin token price action:
As the native token of one of the leading crypto exchanges in the world, the price of KuCoin Token is heavily influenced by the mood in the crypto market. Positive sentiment among crypto traders will increase the trading volume on the KuCoin Exchange, driving up the current price of KCS and its market cap. On the other hand, a bearish market sentiment keeps investors out of the market, bringing down the trading volume on the exchange and reducing the KuCoin Token price.
Whenever KCC and KuCoin announce new features and services, crypto investors have renewed interest in the KCS token. Adding new features to the exchange or promoting new products that will increase the use of the KCC ecosystem can increase the value of KuCoin Token.
Whenever the KuCoin and KCC team burn KCS tokens, the deflationary process can make the remaining tokens in the market more valuable, supporting the KCS price statistics. A burn event that reduces the total supply of KCS almost always sends the KuCoin Token price and market cap higher in the market.
As one of the top 100 digital assets based on its market cap, the KCS token already commands considerable attention among seasoned crypto investors. It is one of the most promising cryptocurrencies whose market cap can propel higher as more investors get interested in the crypto market. Since 2021, the KuCoin Token price has strengthened by more than 2,000%, powered by increased crypto trading worldwide.
KuCoin is one of the largest cryptocurrency exchanges in the world, with a user base that runs into tens of millions. An uptick in new market investors can increase the platform’s user base, increasing its revenues and the KuCoin Token price.
The KCS to USD price can also gain higher value in the future as the KCC ecosystem evolves and adds more decentralized applications. As KuCoin’s operations scale and evolve further, KCS could become even more lucrative as a digital asset to trade and HODL.
KCC is expected to become a key ecosystem for DeFi, gaming, Web3, and other applications in the coming months and years. KuCoin and its team focus on bringing in more developers to create exciting dApps in its ecosystem.
In addition, there are plans to make the KCC even more scalable using innovative subroutines. Details on this can be found in the KCS white paper.
There are also plans for the KCS ecosystem to work with KuCoin and KCC to build a more scalable payment system in the future.
KCS Management Foundation has already finished the process of burning 20 million KCS tokens permanently. This will further accelerate the cryptocurrency's deflationary process and support its future value.