It looks like the crypto bulls are finally back judging by the impressive rally in major cryptos and the fact that the total market cap is now back above $1.5 trillion. Everyone expects to make some gains from their investments and those looking to maximize their returns during an uptrend can expect some of the best gains from coins that do not receive much attention.
The FTX token is a good example of a coin that has immense potential but the lack of popularity holds it back. However, this is not necessarily a bad thing because it is still underrated and an influx of buying volume could potentially lead to a significant price boost.
The FTX token goes by the ticker FTT and is currently trading at $31.87, which is almost half its all-time high of $63.13 that it achieved in May at the peak of the last major bull run. It has so far delivered an impressive performance considering that it traded as low as $3.20 towards the end of July last year.
Source- Binance
The coin has a maximum supply of 352 million coins and an even lower circulating supply of 94.3 million. Its current market cap is just shy of $3 billion. Its recent price action indicates a spike in trading volume, suggesting that it is receiving substantial attention.
Most of the coin’s potential comes from the utility that it provides to its native platform called FTX which is a trading platform that was launched in May 2019. The platform has multiple features that make it stand out from other similar crypto projects, such as universal stablecoin settlement, centralized collateral pool, and claw-back prevention. Derivatives on the FTX platform are settled using stablecoins and just one universal margin wallet is needed.
One of the FTX platform’s most useful features is that users can trade leveraged FTX tokens that are ERC20-compatible. This is done without margin, which means one can take a long or short position without risking money through a margin call. This makes it attractive to users looking for easily accessible leveraged crypto trading opportunities. It is also a major demand driver for FTT because the native cryptocurrency is used to pay for transactions executed on the platform.
Another unique aspect of the FTX platform is that it is backed by Almeda Research, one of the largest crypto companies that deal with liquidity provision and crypto trading. The company has deep interests in the crypto project and its success considering that its CEO is also the founder of FTX Token. This alone highlights the project’s credibility and aligned interests towards its success as one of the platforms that are leveraging the opportunities available in the crypto markets.
FTX is a proof of stake platform, which means users can stake their FTT to earn rewards on the network, which are likely generated from the transaction fees on the network. Users, therefore, have an incentive to hold FTT and participate in the platform’s operations while also earning passive income.
FTT is not only poised for growth in the future because of its limited supply compared to some other coins, but also due to its utility which makes it even more attractive. It would likely experience robust growth if the FTT platform was to exponentially grow its user-base over the next few years, thus creating more demand for the coin. The one major limitation is competition especially from projects that had an early launch. However, the crypto market is still in its early stages of adoption, which means FTT and the FTX platform might be in for better days ahead.
Sydney has 20+ years commercial experience and has spent the last 10 years working in the online marketing arena and was the CMO for a large FX brokerage.
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