Overtime, Dxchain Project experienced a very considerable growth and it continually seeing the expected development. There are couple of announcements and release over the past weeks, all of which you can find on Dxchain Blog site. In discussion I had with @olivia -member of the Team, it came to my knowings there has been slight changes in the course of executing the whitepaper. This is due to continuous technological advancement together with external factors that might be about change in paradigm. This series is basically to walk you through the avenue at which Dxchain Utility token -DX operates.
DX Token And Its Usage.
A cryptocurrency token is a store of asset value, and what asset is being represented varies wildly based on the blockchain. In a vanilla blockchain like Bitcoin, the cryptocurrency BTC represents financial value. In a commodity-backed blockchain like Hempcoin, the cryptocurrency THC represents industrial hemp.
Ethereum Request For Comment (ERC) Standards.Some of the known ERC standards are ERC-20, ERC-223, ERC-721(used for non-fungible crypto collectibles like CryptoKitties) etc
Coins are digital money, created using encryption techniques, that store value over time. Basically it is a digital equivalent of money.The major characteristics of a coin is that: they are fungible, divisible, acceptable, portable, durable and have limited supply. Example of a coin is Bitcoin, LiteCoin, Ripple etc. In contrast, according to the medium article here,
Tokens are digital assets, issued by the project, which can be used as a method of payment inside project’s ecosystem, performing similar functions with coins, but the main difference is that it also gives the holder a right to participate in the network. It may perform the functions of digital asset, represent a company’s share, give access to the project’s functional and many more — with the launching of new projects unknown facets of tokens’ functional are discovered.Token-hosting platforms like Ethereum created a divide in crypto in which the term “coin” is used to describe self-hosted cryptocurrencies like Bitcoin, while “token” is used to describe proprietary tokens hosted on third-party blockchains.
What Is DX Token?
DX is a non-refundable functional utility token which will be used as the unit of exchange between participants on the DxChain Network. The goal of introducing DX is to provide a convenient and secure mode of payment and settlement between participants who interact within the ecosystem on the DxChain Network.DX is an ERC-20 standard compatible token. That is, It is initially created on the Ethereum network and can be stored using wallets with same compatibility.
It is to be noted that DX is proposed to be in a native currency of the platform which can only be on the self-owned blockchain. Recently, Dxchain launched [mainnet-alpha]() - a development showing that Dxchain will own a native cryptocurrency sooner. This, usually brings about swapping of token with the native currency of the platform.
Dxchain completed Token sales long ago, now listed and trading on several exchanges thus: Bilaxy, Kucoin, Gate.io, IDEX, Coinsuper and Bgogo. For token statistics(supply, M.cap etc), see coinmarketcap
What Is The Use Of DX Token?
DX is a major component of the ecosystem on the DxChain Network, and is designed to be used solely as the primary token on the network.. The primary usage of DX is for interaction among the participants of DxchainNetwork. For instance, Dxchain being a decentralized storage platform needs a convenient way of sealing transactions for justify the advantage of using the platform for effective cost control using cloud service hence DX will serve the purpose of this.
It will be used a means of incentivizing members of the newtwork. Quoted here, DX is required as virtual crypto “fuel” for using certain designed functions on the DxChain Network, providing the economic incentives which will be consumed to encourage participants to contribute and maintain the ecosystem on the DxChain Network. DX is a vital and integral part of the ecosystem as it serves as a means of incentives to get participants engaged in the network.
DX is also required for the smooth validation and verification of additional blocks on the Dxchain. The providers of such services on the Network would require payment for the consumption of these resources (i.e. ”mining” on the DxChain Network). Lastly. the utility of DX is also to maintain network integrity. It will serve as the unit of exchange to measuring and payment for the costs of the consumed computational resources on the chain.