The platform tokens of crypto asset exchanges have always been a hot asset for users. However, as the market turns bearish, the performance of this asset category is no longer as good as it was during the bull market. However, Websea's platform token WBS achieved a record high increase of 1,600% on the day it was launched on October 9, attracting the attention of the entire industry.
WBS asset price chart on the Websea platform
Before analyzing the reasons for the surge in WBS and the core advantages of the Websea platform, the following will first give a brief introduction to the industry background.
On November 10, 2023, an interesting phenomenon occurred, indicating that the financial landscape is quietly changing: the trading volume of Hong Kong stocks on that day was less than 10 billion US dollars, while on the same day, the daily trading volume of Binance, a cryptocurrency exchange alone, was as high as 12.6 billion US dollars. This contrast clearly shows that cryptocurrency exchanges are becoming increasingly important and influential in the financial field.
However, the market for crypto centralized exchanges is extremely competitive. Exchanges such as Binance, Coinbase and OKX together account for more than 88% of the market. Most of these exchanges were founded during or around the first Bitcoin bull run, so they already have a prominent presence in the market. However, their sheer size makes trial and error when it comes to innovation extremely costly.
The fiercely competitive top CEX platform
This situation has led to most exchanges still staying in the early stages of platform coin applications and gameplay. In a sense, this provides a great opportunity for new exchanges to overtake others through innovative and differentiated strategies.
More importantly, a new trend of de-VC and equal rights is emerging in the crypto community. In this context, a large number of community-driven projects, such as BRC20, PEPE, TG BOT, etc., have been widely sought after by users. This trend not only reveals the market's desire for novel and innovative trading models, but also indicates that traditional centralized exchanges may need to make major adjustments to adapt to this changing trend.
As the cryptocurrency market continues to mature and develop, and the community continues to pursue decentralization and innovation, emerging exchanges such as Websea have the opportunity to meet the new needs of the market by providing unique services and products. In the following sections, we will take a deeper look at how Websea can take advantage of this opportunity and stand out in the cryptocurrency exchange field through its unique economic model and innovative strategies.
Websea, as an emerging cryptocurrency exchange, has emerged in the field of cryptocurrency trading with its unique core concept since its official launch in the third quarter of 2023. As a community-driven platform, Websea has adopted a pioneering approach to the distribution of its governance token WBS: more than 70% of the tokens are used for community incentives and ecosystem construction. This strategy not only demonstrates Websea's firm commitment to the community-driven model, but also has won wide recognition from users.
Websea's Banner poster background image
In Websea's core philosophy, an innovative token economy system and a deep understanding of the spirit of Web3 occupy a core position. The platform is committed to providing users with high-quality and secure digital asset services, which is not only reflected in the efficient operation of its trading system, but also in its comprehensive care for users. In Websea, users can not only perform a variety of operations, such as trading, investing, and participating in community governance, but also receive incentive rewards through these operations. This reward mechanism encourages users to participate more actively in the daily operations of the platform, thus forming a highly interactive and vibrant community.
The performance of WBS since its launch is a strong proof of Websea's core concept. The token has shown a steady upward trend since its listing, which not only reflects the market's recognition of the Websea model, but also reflects the community's initial affirmation of this new exchange model. Websea's success lies in the fact that it is not just a trading platform, but an ecosystem that fully utilizes blockchain technology and decentralization concepts to create value for users and the community.
As Websea continues to grow and improve, its core values - innovation, community-driven, and user engagement - are expected to continue to attract more attention and participation, bringing new vitality and possibilities to the cryptocurrency trading space.
In the current cryptocurrency exchange market, most platform coins’ use cases are still stagnant, stuck in the old ways of playing such as fee discounts and new coin purchases. However, Websea has taken a more innovative and comprehensive approach in this regard. Through the "X to Earn" token economic model that incorporates the spirit of Web3.0, Websea allows users to share the dividends of ecological development while creating value for the ecosystem. This model is not only a recognition of user contributions, but also a mechanism to encourage user participation and innovation.
In Websea's token economy system, 60% of the fees are used for community incentives and 10% for ecosystem construction. This distribution strategy means that users can obtain platform coins in a variety of ways, such as registration, inviting new users, and trading. This incentive mechanism not only increases user loyalty to the platform, but also promotes deeper interactions and interactions between users, between users and products, and between users and the entire ecosystem.
In the traditional exchange model, transaction fees, as the core source of exchange revenue, are usually not shared with users. However, Websea has adopted a subversive strategy in this regard: returning 70% of the platform's transaction fees to WBS holders. This strategy not only demonstrates Websea's emphasis on users, but also reflects its adherence to the principles of the sharing economy.
The distribution mechanism of WBS is designed to be applicable to the upstream and downstream of the entire ecosystem. In this way, the platform token circulates throughout the ecosystem, encouraging more participants to join and jointly build the Web3.0 ecosystem. This comprehensive incentive and distribution mechanism is one of the keys that distinguishes Websea from other exchanges. It not only encourages community participation, but also provides a strong impetus for the healthy and sustainable development of the entire ecosystem.
Websea, through its innovative "X to Earn" token economic model, demonstrates a new path that closely combines the active participation of users with the development of the ecosystem. This model is not only an important supplement to the traditional exchange model, but also provides new perspectives and possibilities for the development of future cryptocurrency exchanges.
Websea's token economic model pays special attention to preventing inflation. They not only cleverly improve the effectiveness of incentives, but also control the abuse of tokens through a comprehensive destruction (burning) mechanism. This design idea runs through all incentive processes such as registration, invitation, and transaction.
In the registered user incentive, new users must make valid transactions to unlock the registration airdrop, and these airdrops are set to a 15-day release cycle. This design not only encourages new users to gain in-depth understanding and experience the full range of functions of the platform, but also prevents the incentive from being abused.
In the design of trading incentives, Websea adopts a carefully planned distribution strategy: 50% is used for trading discounts, 20% is rewarded to WBS staking users, 10% is burned, and the remaining 20% is used for the daily operation of the platform. This distribution model not only encourages users to trade and pledge, but also ensures that trading incentives are lower than transaction costs, effectively preventing the vicious inflation caused by the false prosperity of brush trading.
Continuous burning and destruction of WBS
In terms of the personal invitation mechanism, Websea has adopted an effective strategy to avoid the drawbacks of invalid users swiping airdrops, and at the same time, it encourages user growth through the invitation ranking mechanism. This mechanism has been proven to be an efficient user growth strategy in projects such as Blur and Bigtime.
The WBS team invitation reward mechanism is designed not to trigger inflation of the platform currency, and the reward of purchasing BTC at half price is enough to attract the active participation of community leaders.
The combination of these strategies not only demonstrates Websea's innovative thinking in controlling inflation and incentivizing user participation, but also means a deflationary trend for WBS, which is a positive signal for long-term investors. Through this comprehensive incentive and control mechanism, Websea has demonstrated its advanced concepts and effective strategies in token economic management.
In building and maintaining a healthy token economy system, it is crucial to flexibly adjust the token incentive mechanism to adapt to the needs of ecological development. Websea has demonstrated a high degree of insight and strategy in this regard.
During the start-up period of Websea, the team's main goal is to accumulate users through WBS token incentives and new user acquisition strategies. The key to this strategy is to quickly attract user participation to establish the platform's user base and market position. However, this period also places high demands on the team's product operations and capital strength. At this stage, any strategic mistakes or adverse changes in the market may lead to the collapse of the project. Therefore, the Websea team needs to be particularly cautious at this stage to ensure the effective implementation of strategies and effective management of risks.
Once the launch period is over, Websea’s team plans to shift its focus to empowering WBS. This means increasing the use cases of WBS through external collaboration and product innovation. By increasing the use cases of WBS, Websea can not only enhance the utility and appeal of the token, but also enhance the vitality and sustainability of the entire ecosystem. At this stage, the introduction of partners and the launch of new products will be key, and these initiatives will further consolidate Websea’s market position as an innovative and user-friendly platform.
This adaptability and foresight that Websea has demonstrated in its token incentive strategy not only reflects its deep market understanding, but also demonstrates its commitment to the long-term health and stability of the ecosystem. As the Websea ecosystem continues to mature and expand, we can expect to see more examples of innovation and collaboration, which will help drive Websea's continued growth and success in the cryptocurrency exchange market.
Websea's dual-account wallet system is an innovative highlight of its platform, which fully reflects the dual emphasis on user experience and asset security. The core of this system is to combine the dual attributes of centralization and decentralization to provide users with a flexible asset management method. The design features and working principles of this new system are as follows:
1. Flexibility and choice: Users can choose a centralized CEX asset custody model or multiple models such as self-management of assets. This flexibility meets the needs of different users, whether they have higher security requirements or want more autonomy.
2. Seamless integration: Platform accounts can integrate third-party decentralized accounts, such as Metamask, to seamlessly access Web3.0 applications and services. This integration provides users with a convenient interface to access a wide range of Web3.0 ecosystems directly from the Websea platform.
3. Identity and value: Websea wallet is not only an asset management tool, it is also equivalent to an identity account. In the Websea metaverse, users can enjoy multiple values such as identity value, asset value and interaction value.
Therefore, the pain points that this innovative design corresponds to and can solve are:
1. Limitations of traditional exchanges: Although traditional exchanges are easy to operate, they have risks in terms of user asset management. Users have limited control over their assets, which poses certain security risks.
2. Challenges of decentralized accounts: Although decentralized accounts give users more control, the operational threshold is high and new users may feel confused and difficult to get started.
3. Future trends of Web3.0 wallets: With the rise of Web3.0, wallets are seen as a key entry point for grabbing user traffic. Using technologies such as MPC (Multi-Party Computation) and account abstraction can lower the threshold for user participation and help CEX improve its overly centralized image.
4. Dealing with regulatory pressure: The new narrative of Web3.0 wallets helps exchanges deal with increasingly complex and severe regulatory pressure. Custody and Self-Custody face obvious regulatory differences. Websea's dual account system provides users with flexible choices and also provides the platform with more strategic space in the regulatory environment.
Websea not only improves the user's asset management experience through its dual-account wallet system, but also provides stronger protection for the user's asset security. This innovative wallet system is expected to become an important symbol of exchanges in the Web3.0 era, providing users with more autonomy, security and convenience.
After an in-depth analysis of Websea's token economy and market strategy, we can conclude that Websea, as a new cryptocurrency exchange, presents an aggressive and rigorous image. This balance is particularly critical in the current crypto market, especially for emerging exchanges, the importance of this strategy is self-evident.
Websea's token incentive design shows its keen understanding of market dynamics, deep insight into user needs, and accurate grasp of market trends. Especially in the current crypto community environment, users are highly sensitive to incentive mechanisms, which makes Websea's strategy show great potential in the initial market cold start stage. The capital strength behind it also indicates the possibility of Websea's success in accumulating early users.
However, in the face of long-term market competition and development, Websea needs to demonstrate stronger product operation capabilities and capital strength to gain a firm foothold in the fierce market competition. It needs to find a balance between innovation and stability to ensure that it can provide stable and reliable services while pursuing novelty and attracting users.
Websea's development trajectory provides us with a unique perspective to peek into the cryptocurrency industry and the development of Web3.0. It not only reflects the survival of crypto projects, but also reflects the development trends and challenges of the Web3.0 era. With the rise of such emerging platforms, we can expect to see more innovation and dynamic changes in the cryptocurrency market, while also bringing new inspiration and vitality to the future development of the industry.
The case of Websea is undoubtedly a new reflection on the current encryption market, and every step of its development is worth careful appreciation and learning by observers inside and outside the industry. Of course, we have reason to believe that with the fission expansion of the total number of Websea users, WBS's future performance is worth looking forward to, and the myth of a single-day increase exceeding 1,600% will become the norm.
