Key Takeaways
- Cryptocurrency exchanges often issue their own tokens, known as native or exchange tokens, to enhance platform functionality and incentivize user engagement.
- These tokens are commonly used to pay for trading fees, participate in platform governance, and access special features or promotions.
- The value and utility of an exchange’s native token can significantly influence the platform’s overall user experience and trading volume.
Did you know that many crypto exchanges release their own native token to incentivize the use of their platforms?
However, not all of them are the same. Indeed, some could be more useful and have better features than others. Furthermore, some coins may become more prominent in the future and help those users who hold them.
This guide will focus on the best exchange currencies and how they can become a great addition to your crypto investment portfolio.
Binance Coin (BNB)
Binance Coin is by far the largest crypto exchange token in the market. This gives Binance a significant advantage regarding solutions offered and market penetration. With this token, users can engage in different activities, from buying virtual gifts to making debit card payments to donating to charity.
However, the prominent use cases for Binance Coin are different. Individuals use BNB primarily to pay for trading fees on the Binance exchange (there are rebates for those that use BNB to pay fees). Moreover, BNB tokens can also be used to pay fees in the Binance Smart Chain (BSC) platform.
Another thing to consider is that BNB can also be used to participate in Binance Launchpads. This has become very popular in recent years as it lets users access some of the most potential token projects released to the crypto market.
Also Read: A Beginner’s Guide To Binance Coin (BNB)
GateToken (GT)
GateToken (GT) is the native token of the Gate.io exchange and its underlying blockchain, GateChain. It serves as a cornerstone of the Gate.io ecosystem, offering a wide range of functionalities and benefits to its users.
GT holders can enjoy significant discounts on trading fees across various products on Gate.io, including spot trading, futures, and margin trading. The more GT you hold, the lower your trading fees become.
The GT token can also help users achieve higher VIP levels on the Gate.io platform, unlocking exclusive benefits such as increased withdrawal limits, lower minimum trading amounts, and access to special promotions.
Moreover, users can stake their GT to earn more rewards, contributing to the security and stability of the GateChain network while generating passive income.
Bitget Token (BGB)
The Bitget Token (BGB) is the native cryptocurrency of the Bitget exchange, a leading global crypto derivatives platform today.
One primary advantage of holding BGB is significantly reduced trading fees on Bitget. Users who pay with BGB can enjoy substantial transaction savings, making it a cost-effective option for active traders.
BGB holders may also receive exclusive access to events, promotions, and products on the exchange. These can include early access to new features, special trading competitions, and other VIP privileges.
Bitget also offers BGB staking programs, where holders can earn rewards by locking up their tokens for a specific period. BGB holders can also participate in governance decisions related to the Bitget ecosystem.
Notably, Bitget has implemented a token burn mechanism, where a portion of BGB tokens is periodically removed from circulation. This helps reduce the token’s overall supply, potentially increasing its value over time.
Cronos (CRO)
Crypto.com is a crypto exchange that offers high-quality solutions to users who want to buy and sell digital currencies in the crypto market. This platform has been operating for several years and has become one of the largest in terms of volume and solutions offered to traders.
CRO is one of the many exchange cryptocurrencies in the world. It is tied to this exchange and offers many benefits to users who want to engage in different activities on this platform.
There are many reasons why users would hold and use CRO regularly.
One of the benefits of holding CRO for long-term holders is related to the benefits linked to their Crypto.com Debit Card. Depending on your staked CRO, you can get cashback and other benefits such as airport lounge access, Spotify and Netflix for free, and Amazon Prime, among other benefits.
CRO could be an excellent fit if you believe in exchange tokens and want to access these benefits!
Also Read: Crypto.com Review: All You Need To Know
OKB (OKB)
The OKX utility token (also known as OKB) is an exchange token that users can start holding and adding to their portfolios. OKB gives users access to unique features linked to the OKX exchange, which offers services to clients worldwide.
As you can see, exchange cryptocurrencies focus on offering additional services to users of their platforms. One thing that traders on OKX can do is hold OKB tokens to pay fees when they trade. Moreover, they can also access different features such as voting and governance.
OKB is currently among the top 40 largest cryptocurrencies in the world. This shows that there has been an enormous interest in this digital asset over the last few years. One of the positive things about OKB is that it has been in a bull trend almost since it was released to the market in mid-2018.
HTX (HT)
The HTX Token (formerly Huobi Token) is another token that lets users participate in different initiatives in the HTX ecosystem. Cryptocurrency exchanges are becoming very popular as an alternative way to engage with blockchain protocols and other initiatives in the crypto market.
The token released by HTX (formerly Huobi Exchange) has many use cases. Users can enjoy discounted fees when trading and using HT; they can also purchase new currencies, such as tokens released through Initial Exchange Offerings (IEOs), and vote on different decisions about the platform’s future.
This cryptocurrency has been operating in the market for several years following Binance’s decision to launch its own token. However, there has been a slight difference between HT and BNB. The main difference is related to the fact that Huobi has been a step behind Binance in terms of solutions, services, and new exchange implementations.
KuCoin (KCS)
KuCoin is another popular cryptocurrency trading platform that allows users to hold its virtual currency, the KuCoin Token (KCS).
Again, as in most exchanges, KCS tokens are used to pay trading fees on this platform and to access some of the best token sales online. We are talking about KuCoin Spotlight, similar to Binance Launchpad, where users can easily buy tokens from different projects released to the market.
There are many other use cases related to KCS, including using the native token to make payments and purchase different products and services as well.
Also Read: KuCoin Review: All You Need To Know
CoinEx (CET)
Finally, the CoinEx Token is another popular exchange token that can be used for many things. That includes paying fees at the CoinEx exchange and adding new functionalities to the CoinEx cryptocurrency exchange. Platform users can easily purchase this coin on the official CoinEx exchange and start trading it in minutes.
The exchange also involves many initiatives involving the CET token. To do so, users must purchase this coin and engage in different projects the exchange promotes. With this token, users can also enjoy access to unique features offered by the platform.
This blockchain network works similarly to the Binance Smart Chain (BSC). However, liquidity is relatively low compared to BNB, and the team has not yet launched an extensive marketing campaign to promote the benefits of using this blockchain network.
Hence, this is one of the many things that the team behind CoinEx will have to focus on in the coming years if CoinEx wants its cryptocurrency to become a highly valuable exchange token.
Also Read: CoinEx Review: All You Need To Know
Final Thoughts
Exposure to different cryptocurrency exchange tokens could be a good idea for users who want to diversify their crypto holdings. For example, a portion of their portfolio could be split across exchange cryptocurrencies. Nevertheless, this highly depends on the type of investor, the portfolio, and the risk you want to build.
