BTCC, one of the oldest cryptocurrency exchanges in China and once one of the top three trading platforms in the country announced they are relaunching their exchange services with a plan to issue their own token.
BTCC revealed Monday that its new and improved exchange is operational, with new trading pairs that include bitcoin, bitcoin cash, ethereum and litecoin against the U.S. dollar. The relaunched exchange also features crypto-to-crypto trading.
BTCC revealed they are introducing a rewards system for their users, with customers being rewarded points for various actions, such as signing up for the service, verifying their ID and trading. The points are redeemable for BTCC’s token, which will be tradable on the platform as well.
The firm has not yet revealed a timeline for the issuance of the token, only stating that it will be in a couple of months. BTCC also revealed that the token supply will be limited, although they have not yet decided on a hard cap or a ratio based limit.
BTCC says they are planning to add more major cryptocurrencies on the platform and are open to listing other ERC-20 tokens.
The company’s relaunch happens after almost a year after they suspended Chinese Yuan trading in September 2017 after the People’s Bank of China got tough on fiat to crypto exchanges and ICOs.
BTCC shifted their operations to Hong Kong and started a crypto-to-crypto platform named DAX, but this was also suspended in December 2017.BTCC’s regional competition, Huobi, and OKCoin, successfully moved to a crypto-to-crypto model and rejoined the world’s largest exchanges afterward.
BTCC’s new rewards system will launch at a time when trans-fee mining has become an option among Chinese crypto exchanges. Trans-fee mining is a system where the user is reimbursed their transaction fees with the platform’s self-issued token, similar to BTCC’s future plan, except that the firm’s token may only be redeemed at a later date.
Aaron Choi, BTCC’s vice president of international business, commented that since BTCC will waive trading fees in the first three months after the relaunch, their rewards model is closer to a giveaway than mining.
Choi does admit that trans-fee mining may become a future option for the platform, as they have not yet decided on the issuance model for their token.
BTCC diversified their business interests into three areas: the crypto exchange, a mining pool, and its Mobi wallet service. BTCC was acquired by a Hong Kong-based blockchain capital firm this January.
A week ago, we reported that BTCC signed a memorandum of understanding with Value Convergence (VC) Holdings Limited. The firm is keen on acquiring a 49 percent stake in BTCC’s mining pool business.