KICKICO is always committed to the community. In our leg up to increase the KickCoin liquidity, we have integrated into the Bancor Network.
Bancor is a decentralized liquidity network that’s currently offering 60+ tokens for exchange.
“Catering our community’s needs and providing it with additional amenities is our top priority here at KICKICO. The KickCoin integration into the Bancor Protocol, long-awaited by our users, is adding another convenient method to obtain and exchange our cryptocurrency for over 60 tokens that are already listed there. These tokens are distributed among over 1 million addresses, and that is why this process is not only providing KICK with additional liquidity, but also with access to a whole new market of potential Bancor Protocol users,” says Alexander Spirin, Head of Community, KICKICO.
A primer on Bancor
Bancor is a decentralized liquidity network that allows a user to hold any token and convert it to any other token in the network, with no counter party, at an automatically calculated price, using a simple web wallet.
Any token is highly reliant on the spread of its network: the more participants, the higher the token-flow, and, thus, the more attractive the token becomes. Most tokens in the network are in some way or another linked to goods or services that their platforms provide, but at early stages of development that might be just insufficient for the token to sustain its value; token liquidity is not only measured by the availability of products offered for it, but also by its convertibility.
In the current market conditions, the most common tool for converting is cryptoexchanges, but there’s a problem associated with it as well — liquidity.
This is the big deal with most exchanges, since generally they represent relatively low trade volumes for most tokens. Bancor aims to serve the market as a solution, allowing to convert any tokens avoiding a third party, such as an exchange, and a counter-party, such as a buyer or seller.
As stated in the White Paper, Bancor “proposes the Bancor Network for decentralized liquidity, based on the Bancor Protocol, which leverages the capabilities of smart contracts to build liquidity directly into tokens themselves. Such tokens, called Smart Tokens™, are always available to be both bought and sold directly through their smart contracts.”
Another important aspect is the price: to remain liquid, the token must sustain the original price, but most cryptocurrencies are highly sensitive to the demand-to-supply ratio, so that once the market shows demand for any cryptocurrency unit, the price immediately rises.
Bancor offers their platform to solve that as well: “The Bancor Protocol enables automatic price determination and an autonomous liquidity mechanism for tokens on smart contract blockchains. These Smart Tokens have one or more connectors to a network that hold balances of other tokens, allowing users to instantly purchase or liquidate a Smart Token for any of its connected tokens directly through the Smart Token’s contract, at a price that is continuously recalculated to balance buy and sell volumes.”
Therefore, many are now considering Bancor as a solution that has the potential to stabilize the cryptomarket and provide the token liquidity: so far there have been over 60 different tokens integrated into the Bancor network, and we also hope it will serve to the better of the whole market.
Nevertheless, we will keep our eye on the conditions of the market before we can make any effective report, and at this moment we as usual rely on your feedback, vision and opinion: as it has always been at KICKICO, these are the community members to have their say in defining the path we shall discover together.
We have fulfilled our duty to you by integrating the new feature, and we would like to hear back from all of you about the result. We believe this is the only healthy way our platform will develop in accordance with the demand of the young market.