The CoinEx сryptocurrency exchange, launched in December 2017 in Hong Kong and submitting a model of “mining with the help of transactions,” processed transactions for $1.5 billion over the past 24 hours, which allowed it to remove the Binance exchange from the position of the leader in daily trading volumes.
The mining model with the help of transactions allows the exchange to issue its own tokens and reward them with traders who conclude transactions on its platform. It also allows you to reduce the costs of traders themselves.
Such a scheme was previously used by the FCoin, Coinbene and Bit-Z sites. The model is simultaneously criticized by the cryptocurrency community, as it opens up opportunities for various kinds of manipulation, and is supported by traders who find it profitable for themselves.
CoinEx is a division of the ViaBTC Mining Pool, whose offices are located in Hong Kong, Singapore and China. According to the information on the site, it launched the functions of “covering transaction costs using CET tokens” and “mining with the help of trading” to better distribute their tokens.
CoinEx Token (CET) is an ERC20-token that serves as an “official support service that enhances the value of the underlying service.” The volume of CET emissions is limited to 10 billion units. In the future, CoinEx plans to move its token to a separate public block. At present, CET is traded in pairs to BCH, BTC, ETH and USDT. Among the holders of the CET token, 80% of the commissions collected by the platform are distributed.
Also, CoinEx implements a program for the purchase of its own tokens, using for this 20% of its monthly income, followed by their destruction. The first destruction of 37,851,179 CET took place on 1 July.