Before the launch of Bancor X, if you wanted to swap your token for another you’d have to go through an exchange. This would often take a long time and almost definitely attract a fee. Now, Bancor has come up with a solution that will see token swapping between different blockchains become much easier and cheaper.
Bancor first made the announcement in September with the launch hinging on a partnership deal with EOS.
Bancor X Announcement
On November 06, Bancor announced that they were launching their latest product, Bancor X. This tool will allow users to swap their Ethereum tokens for EOS using Bancor tokens. According to the announcement, the platform is capable of supporting more blockchains in the future but currently only offers to swap between Ethereum and EOS.
Eyal Hertzog, Bancor’s Co-founder, and Product Architect spoke about the launch saying that this cross-chain functionality would increase the utility of BNT as an inter-network token.
Bancor was eager to state that their new tool will be solving one major problem of using an exchange. Although the real problem is having to go through a third party- and Bancor X is as much a third party as exchanges, Bancor X will be cheaper and faster. According to Bancor, while swapping in an exchange will take 10 seconds, on Bancor X, it will only take a second.
Besides the launch announcement, Bancor announced that they would transfer $10 million in value to the EOS blockchain through the platform. This is aimed at encouraging EOS development and liquidity while showing faith in the security and promise of the blockchain.
What Does This Mean For BNT?
Bancor’s BNT did not seem to react much following the announcement. However, this is expected to change in the coming months. Bancor X is a one of a kind tool that will surely attract more users in the coming days and as more and more blockchains are supported. Traders looking to swap tokens will opt for the tool, reducing the time needed, and the fees. The use of BNT as the “base currency” will increase its use, create demand and increase its price value.
At the time of press, BNT is trading at $1.38, up by 1.54%. In recent months, the coin has been dropping with prices going as low as $1.12. Holders are now optimistic that this new tool could see these prices surge and hit highs of $2.00.
John is a finance and technology journalist with a growing interest in cryptocurrencies. Writing is his passion and when he’s not writing he’s listening to the Beatles.