Kucoin is a cryptocurrency exchange based in Hong Kong. The company started offering tokens on October 24th, 2017. Since then, they have grown rapidly to become one of the most popular exchanges for trading altcoins.
In this article, we will go over what KuCoin Shares are and how they work so that you can make a rational decision as to whether or not you should invest.
What is Kucoin?
What is Kucoin Exchange?
Kucoin is a third-party exchange that offers people various crypto-related activities such as buy, sell and trade. The objective of the team was to provide a simple, secure, and safe platform for users. It is currently in the top 10 largest centralized exchanges with over 1 billion daily trading volumes.
The design of the Kucoin exchange is very intuitive, and you can use it even if you have only basic computer skills. It also provides 24/7 customer service to show that customer experience is a top priority.
Overall, the model of Kucoin exchange is pretty similar to other CEX like Binance and Huobi. However, they have been developing more features to add value to their exchange using their Kucoin Shares token as the key to it. A few strategies such as converting small balances into exchange tokens or buying back their own tokens are pushing KCS prices up over time.
What is Kucoin Chain?
Kucoin Chain (KCC) was built by the fans and communities of KCS and launched just a month ago. This is a decentralized public chain with high performance to provide users with faster, convenient, and low-cost experiences.
The chain is fully compatible with Ethereum Network (ERC-20) and smart contracts with a block time of 3 seconds. Adopted by the Proof of Staked Authority (PoSA) algorithm, Kucoin Chain offers low latency, high security, and stability for its users.
KCS holders can use the native token (KCS) to get benefits of reducing transaction costs by paying on-chain gas fees on the Kucoin Chain. This means KCS usage will be increasing followed by the evolution of the chain.
What is KCS?
KuCoin Shares (KCS) is the native token of the Kucoin exchange. KCS is an ERC20 token based on Ethereum and therefore can be stored in any wallet that supports it.
Kucoin Shares’s feature was referred to as a utility token originally. However, it has developed tremendously over the last few years to be compatible with a wide range of crypto services. It could be used for IEO launchpad, lending, staking, crowdfunding and much more.
Kucoin exchange also provides holders with a portion of all trading fees in Kucoin Shares (KCS) generated by the platform, which allows passive income in addition to capital appreciation.
Detailed information about KCS token
KCS Token Price
You can check the current price of the KCS token on Coin98 Markets.
Coin98 Markets is a website that helps users to get updates of the real-time prices, as well as view the detailed information of a Token Metric from any project. More specifically, you can access the home page or the community page of a project or filter the coins/tokens by Market Cap, Trading Volume, etc.
KCS Token Metrics
- Ticker: KCS
- Contract: 0xf34960d9d60be18cc1d5afc1a6f012a723a28811
- Decimal: 6
- Blockchain: Ethereum
- Token Standard: ERC-20
- Token type: Utility Token
- Total Supply: 170,118,638
- Circulating Supply: 80,118,638
KCS Token Distribution Plan
The ICO lasted from August 13th 2017, until September 1st and raised nearly $20 million in BTC with 100M KCS distributed among founders and private investors, as well as another 100M sold during the crowdsale for an average price per coin at 0.000055BTC or approximately $0.197326 each.
This was a significant increase since launch when they were only trading at ฿0.0002100.
KCS Token Use Case
KCS Token will be used as:
- Token Burning - A certain amount of KCS will be bought back and burned regularly using the platform’s profit. This model is similar to other exchanges such as Binance and Huobi. The detailed information on the process is provided on the exchange website.
- Holding Initial Exchange Offerings (IEO) - Users usually have to lock KCS for a certain period of time to participate in new listings from Kucoin Exchange. Various new IEO projects can be found on their website.
- Trading commission discounts - The trading fee on Kucoin starts at 0.1%. Those fees can be reduced by 20% if users pay in KCS tokens. Further discounts are also available based on the certain amount of KCS held by users.
- Voting and other management functions - Kucoin gives privileges to KCS holders by allowing them to vote in its ecosystem.
- Incentives bonus - KCS holders receive their daily dividends by holding their tokens.
How to buy KCS Token
You can use Coin98 Exchange to swap other tokens for LINK following these simple steps on: https://exchange.coin98.com
Step 1: Connect Coin98 Extension Wallet.
Step 2: Select Uniswap.
Step 3: Choose coins/tokens for trading:
- Search KCS
- If the result does not come up, you can paste the contract of KCS into the search box: 0xf34960d9d60be18cc1d5afc1a6f012a723a28811
Step 4: Adjust the amount you want to swap.
Step 5: Adjust the gas fee, then click Approve.
How to mine KCS Token
Mining KCS is not possible.
How to store KCS Token
You can store KCS token on Coin98 Wallet with these steps:
Step 1: Open Coin98 Wallet & click Receive on the home screen.
Step 2: Search KCS Token.
Step 3: Click on the correct result.
Step 4: Copy the wallet address and send KCS to this address.
Roadmaps & Updates
Team, Investors & Partners
Kucoin’s management team has eight core members. Their key founders are Michael Gan and Eric Don.
- Michael Gan / CEO & Founder: Former technical expert of Alibaba Group, Ant Group, and a senior partner of Internet giants including KF5 and MikeCRM. Michael manages ideas decisions and the company's long-term strategic plans.
- Eric Don / President & Founder: Eric is a senior Internet researcher and system architect in the Internet industry. His background includes roles as CTO and senior partner in IT companies including YOULIN, KITEME and REINIOT. Eric manages Kucoin’s operations and securities.
Kucoin has raised a total of $20M over two rounds in Nov 2018. Their leading investor is Matrix Partners, a company founded in 1977 that works with visionary founders from an early stage to help startups amplify their potential.
Is KCS a good investment?
Overall, Kucoin tokens are pretty much the same as other exchange tokens. Compared to BNB (Binance) or HT (Huobi) which already have their own blockchains, KCS utilities are still limited. However, here are some things you might want to consider if you are looking to invest in KCS:
- Kucoin is trying to be a bigger player in the cryptocurrency sector by providing more options and optimization for smart contracts in a way that KCS can be utilized. By the end of 2021, KCS will become the key to Kucoin’s decentralized financial services
- There will be an Empowering KCS system which will improve the functions of the token and provide more benefits for those who are currently holding KCS.
- The KCS tokens will be burned regularly until the total supply reaches 100,000,000 tokens.
- Their collecting small balances and converting them to KCS tokens is a good strategy to increase the number of KCS holding.
- Kucoin will continue to grow its ecosystem in the future. There were many features such as Margin Trading, X Liquidity Trading Market, P2P marketplace or Kucloud added in 2020 and we can expect much more from the team in 2021.
- Recently, Kucoin Public Chain mainnet was launched on July 16th, 2021. This event can expand the use cases of KCS tokens in the future.