SUMMARY

Bibox Token (Ticker: BIX) is the native currency established by the AI-driven digital asset exchange known as Bibox.com. The exchange boasts operation centers out of the United States, Singapore, South Korea, Japan, Canada, Estonia, and Switzerland amongst a plethora of upcoming destinations as well [1]. Currently, Bibox has its main headquarters in New York with a subsidiary office location in Hong Kong. Since their inception in mid-November of 2017, Bibox has climbed the rankings in terms of exchanges by volume resulting in a top 10 spot at the time of writing [2]. The Artificial Intelligence driven exchange ranks #9 by adjusted volume and #13 by reported volume, a sign of consistency in the industry [3]. The introduction of BIX token helped to drive further expansion as the ERC-20 token gave users a share of the revenue made by the platform. BIX token now ranks just outside of the top 100 cryptocurrencies by market cap, coming in at #116 [3]. The token now offers perpetual contracts, fee reductions, and voting rights on top of the dividends that have already been put in place.

Team

The Bibox exchange was introduced to the public in November of 2017 with trading starting the same month, riding the wave set forth by other token-based exchanges like Binance and Kucoin. The subsequent BIX token was scheduled for ICO on October 1st of that year, lead by the Bibox team. Originally based out of Estonia, the team later moved operations to the United States [4].

The company was founded by three main team members: Wanlin Wang, Kevin Ma, and Jeffrey Lei. Wang graduated from Virginia Polytechnic Institute and State College in 2015 with a bachelor’s in Finance, Banking, and Securities Law. He later founded Gopay.Pro following graduation, before co-founding Bibox in September of 2017. While still serving on the board at Bibox, Wanlin currently advises Vocean Group (Cryptocurrency Bond Startup), OneGame (PC gaming startup), FUSION Foundation (Vehicle Loan Service Startup), and is listed as a partner at Blockwater Capital (Singapore Investment group) [5]. Co-founder Kevin Ma also remains involved in the exchange as he still serves as the company’s Vice President of Business Operations. Ma founded Bibox while still serving the same role at JixianYuan, a computer software company based out of China. Prior to both founder roles, Ma had served as a Software Engineer at the well-known global technologies company Huawei [6]. It is worth noting that Ma also boasts a master’s degree in Systems and Circuits from Northeastern Normal University in China. Serving as CEO with these co-founders is Jeffrey Lei, who received his bachelor’s in computer technology/systems from Beihang University. Lei has prior experience co-founding another notable cryptocurrency exchange, OKCoin [4]. These three C-Level executives have remained with the company since its inception. As far as other employees serving the platform, LinkedIn lists 19 additional team members. That being said, Bibox recently released an announcement warning users to be wary of fake employee accounts soliciting funds. Their employment numbers are unclear at this time.  Bibox continues to make adjustments to their platform and is headed by invested founders that have stayed involved since day one. Although their founders have strong backgrounds, it is important to consider the risks of not knowing how deep their team runs.

Sentiment analysis

Open source: No

Github repositories: 6 Total [7]

Github commits: 36 Total [7]

Telegram:

Chinese- 13,337 Members [8]

English- 20,503 Members [9]

Korean- 461 [10]

Twitter: 19,000 Followers [11] (96% Real via TwitterAudit.com [12])

Facebook: 94 Followers [13]

Reddit: 1300 Subscribers [14]

Steem: N/A

Blog: High Activity (Medium.com) [15]

Utility and Incentives

At the time of writing, Bibox needs the BIX token as a means to incentivize users to trade on their exchange rather than on another platform. In fact, Bibox began their token utility model with a plan to buy back circulating BIX with 25% of their profits per year. This incentive was presented along with reduced trading fees (50% year 1, 25% year 2, 12.5% year 3, and 6.25% year 4) until five years following their launch in which no fee reduction will be honored. Additionally, BIX holders are given voting rights for future token listings and access to VIP perks on the Bibox platform (Increased support, OTC assistance, and more) [16]. Earlier this year, the company introduced a new utility for BIX holders as they are offering 30% of daily transaction fee revenue to those who lock up their tokens. This helped to propel the value of BIX from a low around $0.13 to $0.29 at the time of writing, showing an increase in interest following the utility update [3].

Having been built on the Ethereum blockchain, BIX token uses smart contracts to correctly distribute dividends proportionally to the amount held by users. The plan is to use BIX to power a decentralized exchange in the future, but currently the token still resides as an ERC-20 Ethereum Token [16]. Although it still remains a token, holders are able to lock their investments for continued dividends as well as have opportunities to bring down their overall costs of trading any of the platforms listed digital assets.

Tokenomics

Bibox offered their BIX token to the public in the traditional ICO approach that many cryptocurrency companies took during the 2017 surge in investment opportunities. Crunchbase reports that an initial prefunded amount of $1 Million was given to the exchange from angel investors. These investors accounted for 10% of the total distributed BIX token which was locked up for 3 months following the end of the token sale on October 31st of 2017. The ICO ran for a total of 30 days, starting October 1st of that year minting a total supply of 500,000,000 BIX. The total amount of BIX offered in the public sale amounted to 55% of the total supply, leaving the remaining 35% to the founding team [16].

Screen Shot 2019-03-23 at 9.34.35 AM.png

The initial price was set at 1 ETH = 2000 BIX tokens (11% Bonus) for the first 11 days of the ICO with it increasing in price to 1 ETH = 1800 BIX tokens for the remaining 19 days. There are few reports on the actual amount raised during their public offering, but it is said that they destroyed all unsold tokens from the 55% offered after the October 31st deadline. The total supply is currently 264,480,791 BIX which suggests that nearly half the supply has already been destroyed from the unsold ICO tokens and their continued buybacks using 25% of the platform’s profits. The total circulating supply is currently listed as 110,938,508 BIX which can be broken down to understand when more will enter the market [16]. The 10% of angel investor funds were released into circulation 3 months after the launch and the unsold BIX from the 55% offering have already been taken care of. Thus, the remaining tokens to be released are the vesting team options. Initially 20% (or 35,000,000 BIX) of the team’s funds were released post launch, with an additional 20% coming a year after. This puts 70,000,000 BIX of the team’s funds into the current circulating supply with another 35,000,000 to be added this coming November. It will follow a 20% portion release each year until all team funds are in circulation. This means 105,000,000 BIX has yet to be released by the team which will in turn affect its per token value moving forward. These numbers aside, the lock up program set forth by Bibox for users to collect dividends has resulted in nearly 60,000,000 tokens being released by the company but not accounted for in the circulating supply. It is important to note that these tokens re-entering the market can also negatively affect its per token value if the market cap remains unchanged. The following is a breakdown of the top holders that are not on the Bibox exchange (off-platform wallet) according to Etherscan.org [17]:

bibox.png

In terms of market capitalization, BIX currently sits around 116 on CoinMarketCap’s rankings of the top valued currencies with an overall value of $32,938,366 USD [16]. The token remains widely traded, supplying a liquid market of over $4 Million in 24-hour volume. As for the main platform, Bibox sits within the top 10 exchanges by volume with over $500,000,000 traded daily [16]. If investors are able to receive a clearer image of the supply metrics surrounding BIX, there is potential for the price to stabilize with special offers such as platform dividends and reduced transaction fees.

Market Opportunity

As experienced members within the field of technology and especially cryptocurrencies, founders Kevin Ma and Wanlin Wang along with Jeffrey Lei helped to establish a perennial top ten exchange. They have a strong presence within the US and parts of Asia, as their offices are located in these destinations. This is further shown by their many telegram members in both their English and Chinese speaking channels. Bibox has continued to improve their token utilities and offer more reasons for users to hold their token. As such, their token as risen to a market cap that sits behind only Binance, Huobi, and Kucoin in terms of the platform’s token value. [3]

The digital exchange sector is crowded with successful platforms such as the ones previously mentioned. That being said, Bibox has managed to consistently retain a position within or just outside of the top ten exchanges since its launch in November of 2017. Unlike its top competitors Binance and Huobi, Bibox offers dividends to holders much like that of Kucoin. They take a further step from Kucoin by also implementing the buyback and burn features that are popular with tokens such as BNB. In adding utilities that outweigh those of it’s main competition, Bibox hopes to add additional value to the BIX token that can stand out in terms of exchange tokens. If they are able to gain a larger portion of the over $30,000,000,000 in daily transactions on cryptocurrency exchanges, then we could very well see an increase in the value of BIX [3]. Along with their addition of BIX utility, continuing to open trading in various locations will help Bibox accrue additional global users. Having operations already in countries such as the US, Singapore, Canada, South Korea, Japan, and Switzerland helps them to establish a trustworth global platform. If they are able to continue their growth into additional jurisdictions, Bibox can increase its chances of gaining additional market share within the online exchange sector.

Current Status and adoption analysis

Unfortunately, the initial whitepaper for the Bibox project did not include a roadmap for future developments of the company. That being said, they did list a few objectives that can be found in their description of the platform. Initially the team announced a mobile app would be released but did not include dates for such in the whitepaper. It was not until February of 2019 that the platform finally released their mobile exchange application [19]. This approach seems to allow the team to work quietly behind the scenes on future developments, but it does not give investors a great idea of timeframes for the platform’s growth. Based on their whitepaper, Bibox describes creating a decentralized exchange powered by BIX. In order to do so, they must swap over to their own mainnet in order to run transactions through their own BIX powered chain. Alternatively, this could be possible through a second layer chain if there are advancements made on top of Ethereum. As far as this goal goes, they had recently acquired DEx.top in late 2018 which is one of the more popular decentralized exchanges [18]. The hope is to implement their cross-chain matching to propel their business plans for an AI enhanced decentralized exchange quicker than planned.

As far as performance milestones, Bibox has continued to outperform much of the field and maintain a trustworthy platform to exchange digital assets. Although there is not a physical roadmap with set dates, the team continues to roll out updates and remains active on their blog and social media accounts. That being said, a big hurdle Bibox and the BIX token face is the multitude of options for users to transact using cryptocurrency. Many exchanges have seen sustained growth only to fall of due to a security flaw or mishandled funds, something Bibox must stay away from to remain successful. However, the BIX token is quite easy to use within their platform and allows the user to learn exactly how to use it when logging in. If Bibox is able to acquire more users with their additional incentive models while also staying out of any negative news, then there is potential for them to gain an even larger portion of the top 10 market share that they have at the time of writing.  

References

[1] https://www.bibox.com/about

[2] https://craft.co/bibox

[3] https://coinmarketcap.com/currencies/bibox-token/

[4] https://www.linkedin.com/company/biboxexchange

[5] https://www.linkedin.com/in/kevin-ma-bibox/

[6] https://www.linkedin.com/in/wanlin-wang-a310b74a/

[7] https://github.com/Biboxcom?tab=repositories

[8] https://t.me/BiboxGroup

[9] https://t.me/biboxglobal

[10] https://t.me/BiboxKorean

[11] https://twitter.com/Bibox365

[12] https://www.twitteraudit.com/Bibox365

[13] https://www.facebook.com/BiboxGlobal

[14] https://www.reddit.com/r/Bibox/

[15] https://medium.com/@biboxexchange

[16] https://www.bibox365.com/static/pdf/Bibox_Whitepaper_en.pdf

[17] https://etherscan.io/token/0xb3104b4b9da82025e8b9f8fb28b3553ce2f67069#balances

[18] https://bibox.zendesk.com/hc/en-us/articles/115004738894--News-Bibox-Launch-APP

[19] https://bibox.zendesk.com/hc/en-us/articles/360014145033--News-Bibox-Acquires-Decentralized-Exchange-DEx-top-Accelerating-its-Ecosystem-Development-in-Blockchain