In Valuing Exchange Tokens – Is OKEX’s $OKB A Winner?, I wrote that the $OKB token seemed undervalued based on circulating versus total token supply, trading volume, marketing, and TVEV values. In looking at TVEV values for $OKB it was evident that investors had not yet credited OKEx for the execution of its business plan, for improving user experience, or for increasing $OKB token utility by adding new features and uses.
This lead me to next aggregate new $OKB features and uses in order to better track what most impacts the TVEV value for the OKEx exchange token. These are uses beyond the typical trading-fee discounts exchanges offer when users trade with the native exchange token or even the perpetual swaps offered by OKEx, whose value would already be considered in the $OKB TVEV value.
OKEx Exchange Token $OKB: New Uses For Improved Utility
To reiterate, I’m tracking new $OKB uses as they come up, along with the $OKB exchange token TVEV as these uses are announced. This blog post starts with the many announcements OKEx has made in October.
- Pay with $OKB for cybersecurity services from Beosin: Beosin provides comprehensive cybersecurity services for over 1,000 projects worldwide, including security audits, on-chain asset investigation, threat intelligence push, and wallet security.
- Pay with $OKB for smart contract verification from CertiK: “CertiK uses Formal Verification to ensure the correctness and safety of your blockchain projects. Trust the world’s most advanced formal verification technology for smart contracts and blockchain ecosystems.”
- Pay with $OKB for security audits and protection from Slowmist: “Focusing on blockchain ecosystem security,” SlowMist excels in cybersecurity protection. It offers security audits and protection for leading digital asset exchanges, crypto wallets, public chains, and smart contracts.
- Cryptocurrency-based futures with up to 100x leverage.
- Fiat on/off ramp: Fiat to crypto pairings in $USD, $CNY, and $VND.
- Borrow cryptocurrency using $OKB as collateral with Molecular Future: “Molecular Future is a one-stop digital asset investment service platform” that offers a wide array of cryptocurrency financial services. With OKB, users can access a cryptocurrency pledge service for easy lending and borrowing.
- Wealth management and lending services from LinkEye using $OKB as payment: “LinkEye-Global is a blockchain-based platform for sharing credit” to facilitate a global credit alliance. It provides a platform for the exchange of useful and legal credit data, aiming to create a global credit system that is fair to everyone.
- Subscribe to BitTorrent with $OKB: “A better Internet, powered by people,” BitTorrent is a popular application for transferring files. Download movies, TV shows, games, and more – ad-free and lightning-fast.
Mobile Device Services:
- Pay with $OKB for mobile and fuel cards from LITEX: LITEX, the largest commercialized layer 2 ecology worldwide, is able to realize off-chain transaction and cross-chain communication to solve the main technical pain points of blockchain. It supports over 100,000 TPS off-chain with zero transaction fees.
- Pay with $OKB for mobile services from QLCchain: “QLC Chain is an infrastructure-level blockchain with Telecom service capabilities.” QLC Chain is a next-generation public chain for Network-as-a-Service (NaaS), enabling anyone, anywhere, to operate and benefit from network services.
- Mobile gaming with Fishchain: FishChain.io, “the first hybrid token blockchain game,” is a virtual asset trading platform with built-in gameplay. There are many fun games to check out, from fishing and fighting to trading and mining.
- Pay for hotel stays with $OKB via Tripio: Tripio is the world’s first decentralized travel booking marketplace both based on blockchain and using cryptocurrency. It leverages blockchain technology to connect global customers to over 450,000 hotels worldwide with authentic reviews, accurate room status updates, and lower fees.
- Pay for room rentals with $OKB via Lucia: Lucia is a blockchain-based rental platform that aims to create a trustworthy, mutually beneficial community.
- Shopping with $OKB at 100+ stores Truechain-partnered physical stores in Korea, Thailand, and Vietnam: TrueChain has partnered with $OKB to push the adoption of the token in hundreds of physical stores by leveraging the resources from projects in Korea, Thailand, and Vietnam. It offers DApp and financial transaction services with high performance and security. “TrueChain is a truly fast, permissionless, secure and scalable public blockchain supported by hybrid consensus technology and a global developer community.
Valuing Exchange Token Utility: Where Are We Now?
“‘Utility’ is a term in economics that refers to the total satisfaction received from consuming a good or service. The economic utility of a good or service is important to understand, because it directly influences the demand, and therefore price, of that good or service.” – Investopedia
Without any doubt, new $OKB uses outlined above increase the exchange token’s “utility.” In April, $OKB had a TVEV value of 0.21. By mid-October, that TVEV value had risen to 1.03. Obviously, investors were rewarding OKEx for its execution. It was the TVEV drop-off from October 15th to October 23rd I was watching closely … the TVEV value fell despite many new announcements from OKEx, leading me to believe that perhaps $OKB was somewhat undervalued.
I’ve tracked $OKB TVEV values since April 30th, but have focused on October, especially, with the huge increase in OKEx announcements and business developments:
- Date: TVEV value
- 4/30/19: 0.21
- 10/15/19: 1.03
- 10/23/19: 0.77
On 10/23 I wrote that $OKB was “seemingly undervalued based on new uses + increased volume + decreased price since 10/15. Will this hold true?” Let’s check!
- Note: $OKB and OKEx data below as of 10/31/19
- $OKB total supply: 300,000,000
- $OKB price/coin: $2.97
- $OKB total cap: $891,000,000
- OKEx 24-hr vol: $913,292,052
The data above yields an $OKB TVEV on 10/31 of: 0.98
Token value did increase, but exchange volume dropped over the two-week period. Despite the drop-off in volume, investors rewarded $OKB with a relatively higher valuation based on the increase in TVEV. However, considering the spread between the October 15th TVEV and today’s, I’d say it still looks as though $OKB is undervalued with more room for capital appreciation.
As always, do your own research and enjoy the journey.