Over time, any cryptocurrency project begins to show the market whether it lives up to any disruptive potential or whether continued stumbles and an ill-advised roadmap prove to be too big a hurdle to highlight. any innovation. In the worst case, projects are abandoned when the industry is going through a difficult period or a downtrend.
In other cases, a token’s utility takes years to develop properly, so the time is instead used entirely for the value and perspective it provides. The end result in these situations is a coin like Covesting (COV), which started its life towards the conclusion of the last bull market, but due to the team behind the project remaining consistent with its plan, the project is today active and continues to evolve.
The example is notable in an industry where new projects emerge every day. Here’s a more in-depth look at the full evolution of the native COV utility token from its inception until it is today, as well as a look at what is on the way for cryptocurrency.
Past: COV Token Launch and Crypto Copy Trade Introduction
The COV token was launched in late 2017 as an initial coin offering, allowing cryptocurrency enthusiasts quick access to a utility token that would be used natively in a copy trading module to be released at a later date . The plan for the copy trading module was ambitious and would connect followers with strategy managers and include a global ranking system.
The token sale sold out almost immediately, underscoring the demand for innovative cryptocurrencies at the time. Within months, Bitcoin and Ethereum suffered a dramatic collapse and spread the wings of the industry and held back innovative projects across space. Interest in all projects waned for a while.
Covesting, a fintech software developer based in Europe, researched and received one of the first DLT licenses at the time. The license restricted specific business models that were critical to the copy trade experience. As an alternative solution, the company decided to develop its copy commerce software as a third-party module available to licensed partners.
The business model turned out to be the right move as it allowed more development time and matched the copy business module with the right business partner to debut. In early 2020, the copy trading module left its beta phase and was presented to the world for the first time. The initial setup first arrived without any COV token integration, but the Covesting team then introduced support for the COV token at a later date, which is live today.
Present: Covesting Copy Trading and COV Token Utilities
Covesting is a peer-to-peer copy commerce community that connects followers with strategy managers via a software module within the PrimeXBT dashboard. Covesting copy trading is currently available exclusively on the award winning margin trading platform known for its long and short positions on over 50 different CFDs; However, B2B partnerships could still grow in the fast-paced crypto industry at any time.
With a Covesting account, anyone can become a strategy manager if they feel they have the skills. The software itself and the transparent risk and success metrics provided by global rankings allow these strategy managers to work hard and honestly. It also allows subscribers to select a strategy manager that best suits their personal goals or risk appetite.
Followers can follow one or more strategies at any given time and can handle these positions in the same way as margin trading positions with stop loss or take profit orders. The module will allow all transactions made by the policy manager to be automatically copied by their subscribers in general. If successful, subscribers will receive a share of the profits. The strategy manager also receives a discount to keep them enticed and actively trading.
Strategy managers, in turn, will be able to grow their capital much faster and tap into new sources of income. At the same time, followers who might not survive in the markets can now earn profit from those with more experience. They then have to compete with other strategy managers to move up the ranks of fully transparent global rankings or earn all five stars – each with unique risk, success, revenue or margin metrics.
The Covesting Token (COV) is the native cryptocurrency of the copy trading module, initially launched as an ERC-20 token. The developers at Covesting have since released a bridge to Binance Smart Chain for greater flexibility between chains, so users can take advantage of the different decentralized protocols and applications unique to each blockchain.
The native utility token was launched with a maximum total supply of 20,000,000 COVs, making it rarer than BTC. Deflationary tokenimics further decrease the supply of tokens thanks to systematic token burns initiated by the developers of Covesting. Over 660,000 VOCs have been burned using these methods.
Users can track the offer and various other measures related to the COV token in the My COV section of Covesting on PrimeXBT. Additionally, this section of the PrimeXBT dashboard is where COV token holders can start to access the utilities provided by the token when combined with the Covesting copy trading module.
There is also a section dedicated to COV token staking in the same My COV part of the PrimeXBT dashboard. COV staking is how users unlock all account level utilities in copy trading module. The greater the number of locked COV tokens, the more utilities are activated for the token holder.
By staking COV tokens, users can turn a standard account into a Premium, Advanced, or Elite account on PrimeXBT. The three tiers each eliminate the new 1% fee, while the rest of the features differ tier by tier.
For example, at the Premium level, subscribers increase their profit share by 2%. Strategy managers get a 10% discount on trading fees and follower limits are multiplied by 2. At the advanced level, the profit share for subscribers increases to 3%, and strategists get a 20% discount. Their follower limits are also tripling.
Finally, the Elite level offers the most value and utility with a 5% increase in profit share for subscribers, 30% discount on trading fees, and no subscriber limit. With no caps on subscribers, the revenue potential is as important as the extent of its reach.
Access to COV tokens for purchase can be made through KuCoin, Uniswap or directly through the PrimeXBT dashboard through the Exchange tool. This is a relatively new feature that allows users to trade one type of cryptocurrency for another, including any of the basic account margin currencies available on PrimeXBT. Although the list of currencies includes USDT and USDC, COV is only available for exchange through the COV / BTC and COV / ETH trading pairs.
The future: what’s in store for Covesting and for VOCs
The Covesting development team always seems to have something to prepare, whether it’s updates to the copy trading module, improved tokenomics for COV, or something entirely new. Earlier in the year, they revealed an upcoming tool that will further increase the usefulness of the COV token. This tool is called Covesting Yield Accounts.
The Covesting Yield Account System is located in the Covesting section of the PrimeXBT dashboard, next to the Copy Trading Module, COV Staking, Supply Statistics, etc. The new tool offers cryptocurrency holders up to 35% APY on their inactive crypto tokens held on PrimeXBT.
Everyone at this point has heard of DeFi. Among the most popular ways, this new sector of cryptocurrencies allows token holders to earn money through variable returns paid in the form of crypto rewards. Different DeFi protocols have unique ways of doing this, but perhaps the most popular example recently is how it works with automated market building platforms like Uniswap and PancakeSwap.
On centralized cryptocurrency exchanges, the exchange itself provides liquidity for users to mine. However, users provide liquidity by placing tokens in a smart contract with decentralized exchanges or automated market maker platforms. By locking the tokens, there is sufficient liquidity within the trading pairs to facilitate market activity.
An exchange would generally earn income based on this fee-based business model. Since no company is involved, the DeFi protocol pays out rewards to users offering cash to entice them to do so. When demand is high, the interest rates paid are also the highest. This is why interest rates are variable in DeFi in most cases.
The concept behind how this all works is clear, but connecting wallets to blockchain and decentralized applications to move and stake coins can be confusing and downright dangerous for those who don’t know how.
However, Covesting will launch the Covesting Yield Account System in Q3 2021, which will allow user-friendly and simple connection to major DeFi protocols such as Uniswap or PancakeSwap, but without the technical expertise that is typically required. The Covesting Yield Account system dashboard makes the connection for you directly into the PrimeXBT dashboard.
By using the tool, users can much more easily tap into the industry’s best variable APY rates that DeFi has to offer. This is also where the last announced COV token utility proved to have an impact. According to the company blog, COV token staking can unlock additional utility of up to 2x APY in Covesting Yield accounts. Users can also sign up now for a 1% introductory bonus to join an active waitlist in the Covesting Yield Account section of the PrimeXBT dashboard.
The next evolution for Covesting and VOCs
The next step for the COV token could ultimately be determined by where the cryptocurrency industry next innovates. When the COV token was first conceptualized, DeFi was hardly a thought, but today the utility token has evolved to include even the most recent trends in the crypto industry.
Going forward, regardless of the direction taken and the features introduced in the COV token for additional utilities, given the track record of creating a compelling value proposition for token holders, all that is to come. will be a welcome addition to the world of finance.