Cryptocurrency Markets Continue to Dip: Buy Utility Tokens at Discount

crowdedmind (50)in #trading • 7 years ago

Hey Fellow Cryptocurrency Traders!

This article is a short one that dives into a couple tokens that have well defined utility within their blockchain or ecosystem. What do you mean, utility? Yes. A simple example of this is Wagerr tokens - these tokens are used within their gambling ecosystem to transact with. Together, the tokens and network create a synergy that allows Wagerr to better balance fees while using a token buyback program to buyback and burn tokens to increase value of the token over time. The fact that there are a fixed supply of tokens in the Wagerr ecosystem means they will increase in value as users are on-boarded into the ecosystem and begin playing Wagerr gambling games.

Below are a few more examples of coins with utility that will more than likely increase in value as the development teams continue to build, tweak, and refine their products into the launch phase. *The tokens with utility mentioned in this article are more than likely good buys because:

Underlying value driver - basic principles of supply & demand dictate token price
Supply = tokens within ecosystem, not always fixed, but typically does not increase quickly
Demand = users in blockchain ecosystem or platform;
Utility = how token is utilized in the ecosystem or platform;
Blockchain Startups - most of these ICOs are simply startups with a great idea and most have not even created a prototype or Minimum Viable Product which leads nicely into my next point;
Speculation - since many of these ICOs are startups, their product is not out yet, which means their token is not yet needed by users...they don't even have users yet!
Users need tokens to use that startup's services or purchase their products - as long as the company has traction and the demand increases, price will only naturally increase as the supply remains constant.

Below are short token utility descriptions for:

Wings $WINGS
MobileGo/GameCredits $MGO/$GAME
I will continue to pump out more articles highlighting the utility of tokens within their given ecosystems so make sure you give me a follow for more!.

Wings DAO - Price Discovery & Promotion Platform

Wings Website

The Wings DAO platform is currently in beta and is essentially a crowdfunding platform with built-in community support. The price discovery and promotion side of the platform is awesome because we're starting to see ICOs use the Wings forecasting service prior to their ICO. The picture above shows us that CoindDash, AdEx, and ACT have used the platform - Bancor was the first to use it and is below those three on the website. As we see below - **the Wings DAO platform user stakes their WINGS tokens within the project - the ACT ICO has been announced that at least 22% of WINGS are in used on this ICO evaluation.

This is a great way to begin building your community prior to launching an ICO and is an awesome way to get 'plugged in' to the cryptocurrency trading community - the people who are most involved in the ICOs right now. Participants depositing their WINGS earn a % of rewards on a weighted basis depending on the number of WINGS owned in the pool. Have you used Wings DAO or work with the team? I would love to chat with the team about platform development - maybe do a piece, feel free to reach out if you're reading this!

GameCredits-MobileGo Mobile App Store

I have been a MAJOR supporter of this project and was lucky enough to get in on the ICO. GameCredits has been around for sometime and growing, but launched the MGO ICO in order to further develop their ecosystem and payment processing infrastructure. Their ICO was the most successful ICO at its time, raising $53m. As we can see above, the GAME and MGO tokens both have unique uses within their ecosystem.

Perhaps the best part of the MGO token is that the team will do a token buyback with 10% of quarterly profits. *If quarterly profits are large, this will move to a monthly buyback basis. Tokens that are purchased in the MGO buyback are burned forever, leading to a decreased supply. Below is a hypothetical to help you better understand why this is important as a price determinant.

Cofound.it $CFI - Priority Pass

Cofound.it

I have yet to wrap my head around this project entirely, but Cofound.it is making it easier for blockchain startups to raise funds via ICO or token crowdfunding. 5,000 CFI is required to acquire the 'Priority Pass' which is a membership for those in the Cofound.it community to get priority access to information and investing in ICOs within the Cofound.it ecosystem. Above are a few upcoming projects they are launching.

Many token sales or ICOs are scams. It has been hard for a lot of newer cryptocurrency investors to identify these bad apples, but I'm doing my best to spread info and notify the community. I will continue to produce articles highlighting token utilization so please give me a follow or like if you found this helpful and want access to more. Good luck with your trades and make sure to do your due diligence when putting your money ANYWHERE!

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