Author: Iris Li
FCoin, the fully transparent digital trading platform for blockchain assets was officially released on May. 21 this year and opened for trading on May 24. Mr. Jian Zhang, the founder of FCoin, revealed that after FCoin having been on the line for only half a month, the trading volume has not only risen to the top, but also exceeded the sum of the trading volume of the second to the seventh exchanges. Not to mention the accuracy of this data, but users has soared and it cannot be ignored that the surge in trading volume.
Mr. Changpeng Zhao, the CEO of Binance, advised users to invest rationally. He stated,
“The so-called ‘Transaction Mining’ method used by FCoin is another ICO approach and even ICO with high price. Users use BTC or EHC to pay the commissions and then the platform will return 100% of platform cryptocurrency. The basic is to use BTC or ETH to purchase platform currency and I wonder how it is different from ICO. If a blockchain project or a new exchange values at $50billion and takes 49% out of ICO, are you willing to purchase it? The truth is that FCoin returns or sells to users at this similar price. However, Binance valued at $160 million when ICO. If there is no fee income for an exchange, how will the platform survive for its profit model based on the rise of the platform cryptocurrency? Do users sure that they can play with a dealer and even an exchange dealer?”
He further pointed that the cryptocurrency of FCoin is unlocked in the same proportion.
“After the FCoin platform cashed out, what else will the FCoin team to do? It is hard to recognise and predict the competitiveness of this platform in long term. There is no barriers to enter into the competitive method. The truth is that everyone can do it; and the lower the threshold is, the lower the professionalism of the method. Just as the cryptocurrency bifurcation, there will be tens of thousands of the ‘Transaction Mining’ mothod soon and thus the method will be no value at that time.”
He emphasised that Binance will truly protect users but not harm users.