Exploring Cryptocurrency: WHAT IS KUCOIN EXCHANGE & KUCOIN SHARES (KCS)?

GUIDE FOR BEGINNERS : WHAT IS KUCOIN EXCHANGE & KUCOIN SHARES (KCS)?

Kucoin is an Asian exchange that has emerged during this year 2017, has had a very good acceptance becoming in just a few months in one of the most used exchange in Asia, attracting the attention of good investors and therefore future projects of cryptocurrencies to be listed.

Let's take a look at the background, a few months ago an exchange of nothingness called Binance appeared. You all know him, because surely you have an account in him to trade. Slowly this exchange has been growing and has surpassed Bittrex, which until then was the one that sent. It was all thanks to the advertising model, support that has had in ICOs, trading competitions (for example, the TRON recently and now again).

But if something has interesting Binance is that it has its own currency. The BNB. The utility of BNB is to save commissions, however, it also serves to trade. This has led to an increase in the starting price of about 50 times because people do not stop buying it. And we are talking about 5 months of life.

Then the KuCoin exchange appears ...

KuCoin decides to go a step further. Create an alternative to BNB, the KCS (or KuCoin Share). He decides to charge 0.1% fee in each trade (buyer and seller, total 0.2% fee), but decides that half of this commission goes to the KCS holders.

For example, let's make numbers ... The volume of this exchange is $ 60 million. It has multiplied in 5 days x3. This means that 60,000,000 * 0.2% = $ 120,000 is collected daily. So the daily dividend is $ 60,000.

Currently there are 100,000,000 KCS, so for every KCS you have you earn a day just by holing = 60,000 / 100,000,000 = $ 0.0006.

You will say ... how little, no? But imagine that in two years KCS is placed in the TOP 10 of exchanges. We would be talking about a volume of half a million dollars, which means increasing that dividend by 10. There is talk that XRB could appear in KuCoin, imagine the impact in volume that currency can give to an exchange like KuCoin, not to say TRX right now ...

But beware, the other advantage is that you can also play with the KCS trading. Currently the price is skyrocketing and in marketcap it is still far from the top 20, which gives it the possibility to increase in price (and of course value and dividends).

You will see it clearer in this link: www.kucoinshares.com

Let's resume:

PROS

-Obtaining KCS we become investors of the KuCoin exchange and we gain a part of the dividend of its commissions
-The exchange KuCoin has the possibility to grow a lot. More knowing the interest that KCS is awakening.
-We can sell whenever we want our KCS, as one more currency.

CONS

-The price of KCS may fall, making our initial investment unprofitable
-KuCoin as an exchange could disappear. It is the same risk that occurs with BNB. They are coins that out of the exchange have no value.
-It is an exchange based in Hong Kong.