Cryptocurrency exchanges are significant players in the ecosystem. They provide multiple services to traders who are looking fr easy ways to trade or swap coins. Many of them offer proprietary token, so their traders can benefit from additional features.
Some of the cryptocurrency tokens are among the most popular coins in the industry, and Huobi Token (HT) from Huobi exchange is one of them.
HT, the only token that Huobi officially launched, provides multiple opportunities for holders, including fee discount, event eligibility, and many more.
What is Huobi token [HT]?
Huobi Token, launched in 2018, is an official ERC-20 token from Huobi Group, the owner of renowned Huobi cryptocurrency exchange. It has a limited supply of 500M.
HT holders benefit from multiple features and options like discount in trading fees. Furthermore, Huobi Group offers many types of application that holders can use HT in them.
Huobi Group has divided the 500M Ht into three categories. 100 M HT is reserved as team incentives will be vested in a four-year roadmap.
The group has given away 300 M HT for free to those users who bought “point cards”. The remaining 100 M HT will be used as user rewards and will fuel the platform operation.
The repurchase and destruction of Hubo Token help it keep the 500 M limit. The group will use 20% of revenue from Huobi Contract and 20% from income in Huobi Global to repurchase and destruct HT.
What is HT For?
As mentioned before, Huobi users – or any other cryptocurrency user – can benefit from multiple features of Huobi Token. Next to some common use-cases like trading and payments, HT holders will have privileges and advantages in the Huobi ecosystem.
Many Huobi partners accept and support HT, which makes it a practical cryptocurrency as a whole. Travala is one of the major partners that accept HT as a payment. Project Hope, C5Game, Youhodler, and Token Pocket are some of the other partners.
Voting
Huobi has a service called FastTrack – launched in 2019 – that provides the voting opportunity to the users. They can vote for listing new tokens and cryptocurrencies in the exchange, for example.
Only HT holders can participate in the voting process in FastTrack. The platform announces five candidate projects at the beginning of each month.
The winning candidate will be listed on the exchange, and those who voted for that project can “exchange for a certain amount of tokens at a discounted price”, according to Huobi Global.
The platform uses all the profits of FastTrack in the repurchase and destruction process.
Rewards
HT holders receive exclusive options from Huobi Global. They can become a Huobi VIP and benefit from multiple features of that option by holding 160,000 USDT equivalents of HT. Another important reward focuses on merchants supporting HT.
Huobi supports HT Cross Margin collateral deposits. So, HT holders have an easy process to deposit their tokens for borrowing other currencies. The other reward for HT holders is the ability to use this token in Huobi margin trading that provides them with a dedicated richer trading strategy.
Fee Discount
Some discount in trading fees can be critical for traders. They spend a portion of their earnings in each transaction and trading. So, lots of them are looking for ways to get a discount on those fees. Almost every crypto exchange with a dedicated token offers discount in trading fees for the token holders.
The default trading fee for spot trading in Huobi exchange is 0.2%. Huobi Token holders can enjoy from a discount by just depositing HT in their account.
The first level of HT deduction for them is 10% that will lessen the trading fee to 0.18%. The discount rate increases based on the user’s HT holding level and goes up to 90% for professional users holding 2000 HT or more.
Mining
Huobi offers lock and mining option for HT holders. They can lock HT for a preferred period of time (7 days, 30 days, 60 days and 90 days). You have to lock 100 HT at least to start mining.
There are multiple options for Huobi users who want to lock their HT and earn rewards. They can do the process in the Huibi global website or HBG app.
The selected HT holding from the user will be locked for the time period chosen. After the mining contract expires, the earned HT is available to transfer to HBG account and regular trading.
You can see the complete guide for locking and mining Hubo Token here.
Differences Between Ht And Other Cryptocurrency Exchange Tokens?
Huobi Token has some similarities and differences with other famous cryptocurrency exchange tokens like BNB, CNB, and EXM. Some of the exchange tokens are compulsory for trading, but HT is not. Huobi Token is more focused on improving the user experience and satisfaction of traders in the main exchange platform. By offering multiple rewards and options like mining, trading fee discount, VIP membership, and even discount eligibility, Huobi is somehow trying to grow its ecosystem with HT.
About Huobi Exchange
Leon Li founded Huobi Exchange in China in 2013. After some restrictions from the government, he registered the exchange in Singapore, but the Chinese branch is still active as a blockchain consulting and research company.
Huobi now acts as a holding named Huobi Global with offices in Hong Kong, Korea, Japan, and the US. It became a publicly listed company in 2018 in Hong Kong and is now one of the biggest cryptocurrency exchanges around the world.
Conclusion
Cryptocurrency exchange token is becoming crucial in the crypto industry. They provide additional benefits to users, and some of them are now among the top cryptocurrencies regarding the market cap.
Some exchanges offer initial tokens – in a process called IEO – to raise funds for their operations. Some others, like Huobi, launch their token after some years of operation to offer better options to their users. Huobi Token is now somehow considered crucial for traders in that exchange. It can have a significant impact on the overall ecosystem because of the voting power it offers to holders.
