Huobi Vote Scheduled For The Future of HT — My Vote is For Airdrop

in #cryptocurrency5 years ago


Huobi Global is a digital asset exchange that offers strong trading and financial services as well as an investor protection fund all on a decentralized infrastructure.

According to Huobi Global’s website, the company’s accumulative turnover just soared past $1.2 trillion, becoming one of, if not the biggest crypto-trading platform in the world and with no signs of slowing down.

Huobi is a worldwide renowned company not just because of their services and the impact it’s having on the cryptocurrency world, but also because of their value of always keeping their users first.

A prime example of this is its upcoming vote on Huobi Token Buybacks.

The vote will be taking place from, 15:00, 03/12/18 to 15:00, 06/12/18 (Singapore time) with any HT holder being invited to participate.

Significant Importance

There are only 500 million tokens in supply, and they’re all running natively on the Ethereum blockchain and working on a points system. HTs weren’t offered to users through the traditional ICO route instead users could only get their hands on some by purchasing point cards from Huobi Pro.

They serve different purposes on the platform, for instance HT holders have access to exclusive events, HT holders are also part of Huobi’s user protection program which secures user’s interests as well as provides compensation for any losses they may suffer in emergencies, HT holders can also purchase various levels of VIP statuses and save up to 50% in transaction fees.

However, as with any blockchain based venture, circulation is directly proportioned to valuation. Essentially, if the number of tokens is kept at a limited supply, this directly translates to an increase in demand because of the market belief that as users go up there will be much fewer tokens to satisfy the market; leading to an increase in token value which is suitable for investors because it means better returns. This is why this upcoming vote is so crucial for the future of the platform. It’s also why you should participate.

Huobi understands that to maintain market stability as well as safeguard it’s investor’s interests, it needs to keep HT’s circulation supply in check which is why every quarter, Huobi uses 20% of its revenue to buy back all the Huobi Tokens remaining the open market, allocating to its HPIF (Huobi Investor Protection Fund).

However, lately, some users among the HT community have ‘challenged’ this strategy instead of pushing for ‘burning of the tokens’ as a way of decreasing the supply.

Both these methods have their upsides and downsides. Allow me to explore, and maybe at the end, you can tell me which side you’re on.

Airdrop or Token Burning?

Token Burning

Token burning is and will remain one of the most effective ways of reducing the supply of tokens available in a market. It’s very effective that the mere speculation of a burning event has in some cases caused companies to stir significant attention within the public, as was the case of the Tron project. Another benefit of token burning is that if implemented, it could provide Huobi with a precise and reliable token usage scheme that will ensure growth within the Huobi ecosystem.

Unfortunately, although burning tokens does reduce the token supply it also destroys the Huobi Tokens forever, meaning unless every token is sold, this model has many secondary benefits to the investor, unlike the Airdrop model.

Another disadvantage of the Burning model is that burning HTs is no guarantee that the value of the tokens remaining will increase, the value of HTs is dependent on how much investors are willing to pay for them. Less circulation doesn’t mean potential buyers will pay more for the remaining tokens.

Airdrop Model

The most significant disadvantage of the current Airdrop model is that the process of distributing any unsold tokens could ultimately reduce the value of HT. The benefit (or advantage) of this model, however, is that even though the price will decrease the supply of tokens will increase covering up for the difference meaning your total position value will remain fixed.


Fundamentally, the airdrop model will only affect the founders, the team and the advisors as only their token value will be diluted. The value for Investor tokens like you and me will not be diluted.

Participation Rules

Here are some essential details on the vote you should know:

  • One HT entitles you to one vote.

  • Users can only vote once.

  • Within five days, the team at Huobi will announce the results of the process.

  • Percentage of votes will be calculated as the number of votes cast.

Personal Thoughts

Up to this point, it’s apparent that picking clear winners can be quite complex. However, since Huobi is a company that thrives off of transparency and user satisfaction I think the current Airdrop model is the best option in this case.

With the Airdrop model, the investor’s share of the total HT supply is always higher and thus more valuable than the token burn which makes my personal choice the airdrop option.

If you would like to know more about the Huobi vote or get involved with the exchange, please do so by following this link.

#Huobi #Global #Tokenburn #Airdrop #HuobiVote

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This is very interesting. I had never heard of them so it warrants more study on my part. I will definitely look into it, although they seem more Asian based.

You got a 4.18% upvote from @brupvoter courtesy of @lucky-elephant!

This is very interesting. I had never heard of them so it warrants more study on my part. I will definitely look into it, although they seem more Asian based.

good informed thanks you for sharing, have a great day

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