MX Token Value Analysis

4 min readFeb 13, 2021

Introduction

MX is the exchange token of MXC Exchange with a total supply of 1 billion. The circulating supply is 127 million excluding the burn and vesting tokens. Starting from July 2019, 100% of the exchange’s ETF trading fee will be burnt.

CoinMarketCap data shows that the opening price of MX on January 1st was $0.1362. As of 19:00 on February 10, it was quoted at $0.81. The cumulative increase in the past 40 days was about 6 times, of which the monthly increase since February was 200.02%.

MX use cases:

MX holders will enjoy a 20% commission deduction when trading spots;
Those who vote and renew crypto assets on the Assessment Zone using MX can receive airdrop rewards of the projects;
Get the qualification to participate in the lottery of SpaceM, and buy the token with a discount;
Get extra tickets in the lottery of M-Day activities and get a chance to buy the token with a discount;
Participate in MX DeFi staking and get corresponding mining asset rewards.

Tokenomics

With an initial total supply of 1 billion MX, MXC exchange has been buyback MX using 100% of the trading fees earned on spots and ETF trading since July 2019. Apart from that, MXC took the advice from the community and initiated a vote to burn 240 million MX that was not circulating last year.

The total supply of MX, for now, is 608 million after the burning, of which the team locked 450 million as its treasury and EFT vesting of 306.9 million MX. The current circulating supply is 127.3 million.

Calculated at a unit price of 0.7 US dollars, the current circulating market value is 88.969 million US dollars, ranking 180th in market value.

Fundamentals Analysis

Exchange token is actually a form of trading platform equity. The trading fee burns the exchange token, which makes a connection between the token and the growth of platform business. The value of the exchange token will also increase with the growth of platform trading volume.

Trading fees are the main source of income for the platform. The fee will be used to burn the exchange token, so users who hold the token will have a deduction to the trading fee. On the other hand, burning will make the token scarce. When the total amount decreases and the demand increases, the value of the token will rise.

In the post-epidemic era, financial releases, hot money increases, and loose fiscal and monetary policies will continue to be the main theme of the economy. Profit-seeking hot money will flood into areas with high returns. In such a general environment, the activity of crypto asset transactions will increase, and the concept of exchange token will become one of the strong concepts of crypto assets.

The current circulating market value of MX is 88.969 million US dollars, and the circulating market value of BNB is 19.53 billion US dollars, a difference of nearly 220 times. However, in terms of actual volume, MXC is the fourth largest trading platform in the Chinese-speaking region. Its real trading volume is second only to Binance, Huobi, and OKEx, indicating that MX is still underestimated.

MXC is one of the most powerful platforms in the world for mining high-quality assets. Due to the early discovery of high-quality assets, in MXC, you can buy AAVE for $26, SNX for $1.9, and KSM for $0.9. MXC has multiple assets, and has since been listed on platforms such as Binance and Coinbase, and achieved good gains. MXC has also become the first choice for many users to purchase high-quality assets in advance.

This strategy and development path are very similar to the rise of Binance in 2017, so MXC is also considered the next Binance.

Previously, MXC was well-known in the Chinese-speaking regions. This year, MXC has proposed a globalization strategy internally to open up the global market.

On February 11, MXC announced the “Oasis Plan” and established a 5 million USDT ecological fund to encourage public chain developers to add MX usage scenarios to their projects. This is also considered a prelude to the launch of MX Chain. The Grant Reward of Oasis Project is very similar to the Grant Reward of Polkadot Web3. It is actually laying out the MX ecosystem.

MX Practical Value