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Frequently Asked Questions

Here you can find frequently asked questions about various cryptocurrencies.

The SuperVerse native blockchain is custom-tailored for gaming with lightning-fast, low-cost transactions. By being a Super holder, members can govern over existing on-chain product fees, unlock exclusive events, and earn custom gaming rewards across their gaming partner ecosystem.

Where Can You Buy Compound (COMP)?

COMP is currently available to trade on hundreds of cryptocurrency exchange platforms, including [Coinbase Pro](https://coinmarketcap.com/exchanges/coinbase-pro/), [Binance](https://coinmarketcap.com/exchanges/binance/) and [Huobi Global](https://coinmarketcap.com/exchanges/huobi-global/). It can be traded against most other popular cryptocurrencies, as well as a range of fiat currencies, including the U.S. dollar (USD), Indian rupee (INR) and Australian dollar (AUD). Not sure how to convert fiat to cryptocurrencies like COMP? Find out more [here](https://coinmarketcap.com/how-to-buy-bitcoin/).

How Is the Compound Network Secured?

Everything on Compound is handled automatically by [smart contracts](https://coinmarketcap.com/alexandria/glossary/smart-contract), which act to mint cTokens after [Ethereum](https://coinmarketcap.com/currencies/ethereum/) and [ERC20](https://coinmarketcap.com/alexandria/glossary/erc-20) assets are deposited, and allow Compound users to redeem their stake using their cTokens. The protocol enforces a collateralization factor for all assets supported by the platform, ensuring each pool is overcollateralized at all times. If the collateral falls below the minimum maintenance level, it will be sold to liquidators at a 5% discount, paying down some of the loan and returning the remainder to an acceptable collateralization factor. This arrangement helps to ensure borrowers maintain their collateral levels, provides a safety net for lenders, and creates an earning opportunity for liquidators.

How Many Compound (COMP) Coins Are There in Circulation?

Like many digital assets, only a fixed number of COMP tokens will ever come into existence. The total supply is capped at 10 million COMP and as of writing, less than a third are in circulation (~3.3 million). Out of these 10 million tokens, just over 4.2 million tokens will be distributed to Compound users over a 4-year period. The second biggest allotment (almost 2.4 million COMP) goes to the Compound Labs, Inc shareholders, whereas 2.2 million tokens will be distributed to the Compound founders and current team with a 4 year vesting schedule. Finally, 775,000 COMP are reserved for community governance incentives and the remaining 332,000 tokens will be allocated to future team members. The exact rate of COMP emission is subject to change over time, as voters are able to increase or reduce the emission rate by passing a proposal through [community governance](https://medium.com/compound-finance/compound-governance-decentralized-b18659f811e0).

What Makes Compound Unique?

According to Compound, the majority of cryptocurrencies sit idle on exchange platforms, doing nothing for their holders. Compound looks to change this with its open lending platform, which allows anybody who deposits supported Ethereum tokens to easily earn interest on their balance or take out a secured loan — all in a completely trustless way. Compound’s community governance sets it apart from other similar protocols. Holders of the platform’s native governance token — COMP — can propose changes to the protocol, debate and vote whether to implement changes suggested by others — without any involvement from the Compound team. This can include choosing which cryptocurrencies to add support for, adjusting collateralization factors, and making changes to how COMP tokens are distributed. These COMP tokens can be bought from third-party exchanges or can be earned by interacting with the Compound protocol, such as by depositing assets or taking out a loan.

Who Are the Founders of Compound?

Compound was founded in 2017 by Robert Leshner and Geoffrey Hayes, both of whom previously worked in high-profile roles at Postmates — an online food delivery service. The two continue to hold executive positions at Compound Labs, Inc — the software development firm behind the Compound protocol, with Leshner currently serving as CEO, while Hayes is the CTO. Though both founders have experience founding successful companies, Robert Leshner, in particular, has been particularly active in helping to grow the [blockchain](https://coinmarketcap.com/alexandria/glossary/blockchain) space, and has publicly invested in popular crypto platforms including Argent Wallet, Opyn, and Blockfolio. The Compound team now comprises over a dozen individuals — almost half of which work as engineers.

What Is Compound (COMP)?

Compound is a [DeFi](https://coinmarketcap.com/alexandria/article/what-is-decentralized-finance) lending protocol that allows users to earn interest on their cryptocurrencies by depositing them into one of several pools supported by the platform. To learn more about this project, check out our deep dive of [Compound](https://coinmarketcap.com/alexandria/article/what-is-compound). When a user deposits tokens to a Compound pool, they receive cTokens in return. These cTokens represent the individual’s stake in the pool and can be used to redeem the underlying cryptocurrency initially deposited into the pool at any time. For example, by depositing ETH into a pool, you will receive cETH in return. Over time, the exchange rate of these cTokens to the underlying asset increases, which means you can redeem them for more of the underlying asset than you initially put in — this is how the interest is distributed. On the flip side, borrowers can take a secured loan from any Compound pool by depositing collateral. The maximum loan-to-value (LTV) ratio varies based on the collateral asset, but currently ranges from 50 to 75%. The interest rate paid varies by borrowed asset and borrowers can face automatic liquidation if their collateral falls below a specific maintenance threshold. Since the launch of the Compound mainnet in September 2018, the platform has skyrocketed in popularity, and recently passed more than $800 million in total locked value.

Where Can You Buy Zilliqa (ZIL)?

Zilliqa's native token, ZIL, is listed on several major [cryptocurrency](https://coinmarketcap.com/alexandria/article/what-are-cryptocurrencies) exchanges — including [Binance](https://coinmarketcap.com/exchanges/binance/), [Huobi](https://coinmarketcap.com/exchanges/huobi-global/), [Bitfinex](https://coinmarketcap.com/exchanges/bitfinex/) and Bithumb — where it is available to be traded against fiat currencies, [stablecoins](https://coinmarketcap.com/alexandria/article/what-is-a-stablecoin) and other cryptocurrencies. Are you interested in buying ZIL or other cryptocurrencies such as [Bitcoin](https://coinmarketcap.com/currencies/bitcoin/) (BTC)? CoinMarketCap has a simple, [step-by-step guide](https://coinmarketcap.com/how-to-buy-bitcoin/) to teach you all about crypto and how to buy your first coins.

How Is the Zilliqa Network Secured?

The Zilliqa network is secured through a practical [Byzantine Fault Tolerance](https://coinmarketcap.com/alexandria/glossary/byzantine-fault-tolerance-bft), or pBFT, [consensus](https://coinmarketcap.com/alexandria/glossary/consensus) protocol, meaning that at least two-thirds of all nodes must agree that a record is accurate in order for it to be added to the blockchain. Each Zilliqa blockchain shard relies on a group of nodes to confirm a subsection of all the transactions, and once each shard has reached a consensus, a second group of nodes confirms the shards' collective results and adds a new block to the blockchain. The network uses elliptic-curve cryptography to secure its consensus protocol and allows for multisignatures. In addition to the pBFT consensus protocol that secures its transaction records, Zilliqa also uses a [proof-of-work](https://coinmarketcap.com/alexandria/article/proof-of-work-vs-proof-of-stake) algorithm to assign node identities and generate shards. Zilliqa [developed](https://www.zilliqa.com/language) a new language, Scilla, for its [smart contracts](https://coinmarketcap.com/alexandria/glossary/smart-contract). Short for Smart Contract Intermediate-Level Language, Scilla is a safety-focused language intended to automatically identify and eliminate security vulnerabilities at the language-level and make it easier to formally verify the safety of smart contracts through mathematical proofs.

How Many Zilliqa (ZIL) Coins Are There in Circulation?

Zilliqa has a fixed maximum supply of 21 billion tokens. ZIL was first [made available](https://blog.zilliqa.com/more-details-on-zilliqas-token-generation-event-4e1b78e0cf5a) for sale as an [ERC-20](https://coinmarketcap.com/alexandria/glossary/erc-20) token as a part of a token generation event that concluded in January 2018. The tokens were subsequently transferred to the Zilliqa mainnet in a token-swap event that [concluded](https://blog.zilliqa.com/zilliqa-successfully-wraps-up-token-swap-f8942e1ce743) in February 2020. Before launching, Zilliqa generated 60% of all tokens (12.6 billion ZIL) to be distributed at the token generation event, and the remaining 40% (8.4 billion ZIL) will be created through the mining process. Ten percent of all tokens (2.1 billion ZIL) were reserved for Anquan Capital, 12% (2.52 billion ZIL) for Zilliqa Research, and 5% for contemporary and future Zilliqa team members — all of which were announced to be distributed quarterly over a three-year period. Zilliqa is designed such that all tokens will be mined within 10 years, with the block mining reward slowly decreasing. According to its [whitepaper](https://coinmarketcap.com/alexandria/glossary/whitepaper), the project [aims](https://docs.zilliqa.com/whitepaper.pdf) to have 80% of the tokens (16.8 billion ZIL) mined within the first four years and 20% (4.2 billion ZIL) in the remaining six years.

What Makes Zilliqa Unique?

Zilliqa [claims](https://www.zilliqa.com/platform) to be the world's first public blockchain to rely entirely on a sharded network. This allows it to achieve high throughput and a high rate of transactions per second, which it says solves the scalability issue. Because each shard processes transactions individually, as the network grows and the number of shards increases, the number of transactions that can be processed per second also increases. As well, records are immediately added to the Zilliqa blockchain after being processed, meaning that no additional time for confirmation is required. Zilliqa seeks to become the blockchain of choice for large-scale enterprise use, including among the advertising, gaming, entertainment and financial services and payments industries. In its 2018 position paper, its team [states](https://docs.zilliqa.com/positionpaper.pdf) that the platform "aims to rival traditional centralized payment methods such as VISA and MasterCard." Both Anquan Capital and Zilliqa Research, the company responsible for developing Zilliqa, hold significant reserves of ZIL. As of 2021, the Zilliqa network is an active network that runs over [millions of transactions](https://viewblock.io/zilliqa/stat/txCountHistory) each month. The blockchain has also been constantly scaling, going from averaging over 900 blocks produced a day when its main net launched to presently producing [over 2500 blocks](https://viewblock.io/zilliqa/stat/blockCountHistory) a day.

Who Are the Founders of Zilliqa?

Zilliqa was first conceived by Prateek Saxena, an assistant professor at the National University of Singapore School of Computing. Saxena and several students in the School of Computing published a paper in 2016 that outlined how a sharding-focused blockchain could improve network efficiency and speed. Around the same time, Saxena co-founded Anquan Capital alongside Max Kantelia, a lifelong finance and tech entrepreneur, and Juzar Motiwalla, former president of the Singapore Computer Society. The company incorporated Zilliqa Research in June 2017 to develop the Zilliqa network, bringing on Dong Xinshu as its CEO, Yaoqi Jia as its chief technology officer and Amrit Kumar as its chief scientific officer. All three previously worked as research fellows at the NUS School of Computing.

What Is Zilliqa (ZIL)?

Zilliqa is a public, permissionless [blockchain](https://coinmarketcap.com/alexandria/glossary/blockchain) that is designed to offer high throughput with the ability to complete thousands of transactions per second. It seeks to solve the issue of blockchain scalability and speed by employing sharding as a second-layer scaling solution. The platform is home to many [decentralized applications](https://coinmarketcap.com/alexandria/glossary/decentralized-applications-dapps), and as of October 2020, it also allows for [staking](https://coinmarketcap.com/alexandria/glossary/staking) and [yield farming](https://coinmarketcap.com/alexandria/glossary/yield-farming). Development work officially started on Zilliqa in June 2017, and its testnet [went live](https://blog.zilliqa.com/zilliqa-testnet-v1-0-release-codename-red-prawn-27974ca46ecb) in March 2018. A little over a year later, in June 2019, the platform [launched](https://blog.zilliqa.com/zilliqa-mainnet-the-launch-and-beyond-4cd7e113369f) its mainnet. The native utility token of Zilliqa, ZIL, is used to process transactions on the network and execute smart contracts.

Where Can You Buy SKALE (SKL)?

There are several exchanges where one can buy SKL tokens. The first ones to list SKL include [Huobi](https://coinmarketcap.com/exchanges/huobi-global/), [Binance](https://coinmarketcap.com/exchanges/binance/) and [Uniswap](https://coinmarketcap.com/exchanges/uniswap-v2/). [Read more about how to convert fiat currencies to crypto here.](https://coinmarketcap.com/how-to-buy-bitcoin/)

How Is the SKALE Network Secured?

SKALE is a multichain network made of many chains that pool security. SKALE Chains don't share performance but share security across validator sets. Each validator node can run concurrently on 8 chains. Nodes are randomly assigned and rotated to create optimal collusion resistance. The SKALE Network uses [proof-of-stake](https://coinmarketcap.com/alexandria/article/proof-of-work-vs-proof-of-stake) (PoS) to ensure the network is secured.

How Many SKALE (SKL) Coins Are There in Circulation?

The total supply of SKL tokens at the launch of the SKALE Network was 4.1 billion. When it comes to the maximum supply, this figure is fixed at 7 billion tokens. According to a white paper released by the SKALE Network in July 2020, one-third (33%) was allocated to validator rewards, 28.1% was earmarked for delegators, 16% was allocated to the broader founding team, 10% to the SKALE Foundation, 7.7% to the protocol development fund, 4% to the core team pool and 1.3% to the ecosystem fund.

What Makes SKALE Network Unique?

SKALE’s unique architecture not only addresses Ethereum’s scalability issues but also skyrockets gas fees when the Ethereum network is bustling, as SKALE offers zero gas fees to end users. Volatility in gas fee costs can affect entire Web3 ecosystems, including developers, users, NFT creators, and beyond. It’s an issue that also plagues other blockchains besides Ethereum. SKALE is also unique in the sense that it has unlimited capacity. Capacity grows as new nodes join the network. Unlike monolithic L1s new nodes can be utilized to create new chains which increase throughput and computational power across the network. Using SKALE Network greatly improves the speed at which Ethereum-based smart contracts process transactions as SKALE can operate much faster and run up to a maximum of 2,000 transactions per second per SKALE chain, according to the team.

Who Are the Founders of SKALE Network?

SKALE Network was founded by Jack O’Holleran and Stan Kladko, both of whom have vast experience across the software industry. O’Holleran — the co-founder and CEO of SKALE — is a technology entrepreneur specializing in blockchain and decentralized systems. He continues to hold a strategic advisor role at Aktana, the life sciences company he co-founded in 2008. According to his LinkedIn profile, O’Holleran began the early stages of his career as an account executive at Good Technology. He spent two years there before joining Motorola’s business development and product strategy division. Kladko spent many years obtaining a Ph.D. in physics prior to co-founding SKALE and worked for 16 years as a technology executive in San Francisco’s Silicon Valley. He has co-founded several other companies, including Galactic Exchange and Cloudessa.

What Is SKALE Network (SKL)?

SKALE, described as a modular blockchain network, is designed to bring scalability to [Ethereum](https://coinmarketcap.com/currencies/ethereum/). SKALE is the only blockchain network capable of running an unlimited number of fast, on-demand, pooled-security Blockchains with zero gas fees to end users. These individual chains are known as SKALE chains and can be dapp-specific or shared. The project’s website says it wants to enable people to build and run [DApps](https://coinmarketcap.com/alexandria/glossary/decentralized-applications-dapps) in a “decentralized modular cloud built for real-world needs and configured for your requirements.” This emphasis on decentralization isn’t at the expense of security. According to SKALE, those who build on this platform can run Solidity smart contracts “thousands of times faster at a fraction of the mainnet cost” — with games and content streaming services among the projects that already take advantage of its infrastructure.

Where Can You Buy Rocket Pool (RPL)?

RPL is available on [UniSwap (V3)](https://coinmarketcap.com/exchanges/uniswap-v3/), [Hoo](https://coinmarketcap.com/exchanges/hoo/), [BKEX](https://coinmarketcap.com/exchanges/bkex/), [XT.COM](https://coinmarketcap.com/exchanges/xt/), [Hotbit](https://coinmarketcap.com/exchanges/hotbit/), and [Bvnex](https://coinmarketcap.com/exchanges/bvnex/). If you want to learn more about how to start buying cryptocurrencies, you can [read more here](https://coinmarketcap.com/how-to-buy-bitcoin/) in our guide.

How Is the Rocket Pool Network Secured?

RPL is an [ERC-20](https://coinmarketcap.com/alexandria/glossary/erc-20) token on Ethereum. Rocket Pool has been successfully audited by three separate firms: Sigma Prime, Consensys Diligence, and Trail of Bits. It also runs a bug bounty program to incentivize keeping its protocol safe. Furthermore, [governance](https://coinmarketcap.com/alexandria/glossary/governance) of Rocket Pool is split across its Protocol DAO and Oracle DAO. The Protocol DAO is responsible for settings like RPL inflation, rewards, and auctions, the staking requirements and commissions for nodes, and deposits. The Oracle DAO bridges the [smart contracts](https://coinmarketcap.com/alexandria/glossary/smart-contract) between the Beacon Chain and the ETH1 main chain. Members of the Oracle DAO are several big ETH2 staking clients like Lighthouse, Nimbus, Prysm, ConsenSys Codefi, Blockchain Capital, Bankless, and others.

How Many Rocket Pool (RPL) Coins Are There in Circulation?

RPL follows a different approach than most fixed-supply [DeFi](https://coinmarketcap.com/alexandria/glossary/defi) tokens and introduced a 5% annual inflation. The protocol argues that any value-generating protocol will need to reward its participants. A fixed-supply model would result in this value being generated at the expense of its users. The newly issued RPL tokens will be emitted as follows: * Node Operators staking RPL as insurance collateral (70%) * Oracle DAO members providing various oracle data (15%) * Protocol DAO Treasury to fund decentralized development (15%) This model is designed to incentivize the protocol’s key stakeholders and funds further decentralized development. The Oracle DAO members consist of node operators, ensuring that [oracle](https://coinmarketcap.com/alexandria/glossary/oracles) data is reported correctly to the protocol, while the Protocol DAO governs the protocol’s treasury. At the time of writing, the supply of RPL is just over 10 million.

What Makes Rocket Pool Unique?

Rocket Pool essentially offers anyone to participate in ETH2 staking, regardless of their capital investment or level of technological sophistication. Its core premise is to enable the trustless staking of ETH to a network of decentralized autonomous nodes that are underpinned by RPL collateral. Rocket Pool sees itself as a complement to staking-as-a-service providers. These providers can choose to maximize returns by joining Rocket Pool and running a node, which they receive rewards in ETH and RPL for in return. In this manner, even a big player like Gemini could use Rocket Pool by creating nodes that stake 16 ETH each. This is where Rocket Pool’s staked ETH wrapper rETH comes into play. rETH is a tokenized version of the staked ETH in Rocket Pool, which allows stakers to engage from 0.01 ETH to up to 32 ETH. By staking their Ether, users receive rETH in return, which automatically accrues staking rewards based on the performance of the entire network of node operators. The value of rETH is protected against slashing through insurance mechanisms, with node operators staking RPL on nodes as collateral for any penalties they incur. The second way of interacting with Rocket Pool is through Node Staking. Users can deposit 16 ETH and are assigned an additional 16 ETH from users who are depositing ETH and receiving rETH. In essence, you stake your own 16 ETH and 16 ETH on behalf of the protocol. Rocket Pool automatically adjusts its commission rate based on the supply and demand of node operators and available ETH. With this model, node operators are rewarded for providing insurance for stakers in case they are penalized or slashed. Furthermore, node operators must deposit a minimum amount of RPL as a collateral.

Who Are the Founders of Rocket Pool?

Rocket Pool was launched by David Rugendyke, a senior developer with a computer science background who started designing Rocket Pool in late 2016. He is supported by General Manager Darren Langley, an executive with over 18 years of commercial experience in managing and mentoring development teams, designing application architecture, and delivering exciting digital products for government and financial services. The team is complemented by three blockchain and Solidity engineers with a combined 40 years of experience.

What Is Rocket Pool (RPL)?

[Rocket Pool](https://coinmarketcap.com/currencies/rocket-pool/) is a decentralized [Ethereum](https://coinmarketcap.com/currencies/ethereum/) staking pool offering up to 4.33% APR for ETH2 [staking](https://coinmarketcap.com/alexandria/glossary/staking). Users can join the Rocket Pool with its decentralized node operator network or run their own nodes with only 16 ETH. In the latter case, they can earn a commission from staking ETH and earn additional RPL rewards from providing RPL collateral, amounting to up to 6.36% APR for ETH and the additional RPL rewards. Rocket Pool provides liquid staking, meaning users benefit from an increasing exchange rate instead of adding on to their initial staked collateral, which would be a taxable event. Furthermore, Rocket Pool offers smart nodes: a custom node software allowing anyone to run a node on its network. With losses from bad nodes distributed across the network, individual users minimize their risk of facing penalties. This is supported by the pool’s open-source and audited smart contracts, which guarantee fully [non-custodial](https://coinmarketcap.com/alexandria/glossary/non-custodial) staking and a maximum degree of decentralization.

Where Can You Buy FTX Token (FTT)?

FTX Token or FTT can be purchased, sold and traded on several exchanges, including: [Binance JEX](https://coinmarketcap.com/exchanges/binance-jex/) [HitBTC](https://coinmarketcap.com/exchanges/hitbtc/) [Huobi Global](https://coinmarketcap.com/exchanges/huobi-global/) [Binance](https://coinmarketcap.com/exchanges/binance/) If this is your first time purchasing, trading, or selling Bitcoin, you can [learn more about the process here](https://coinmarketcap.com/how-to-buy-bitcoin/).

How Is the FTX Token Network Secured?

FTT is an ERC-20-compatible exchange token. The Ledger Nano X/S hardware wallet allows users to securely store and manage the FTT tokens via its Ethereum app. Both the FTT and the leveraged tokens security audits are done by the Blockchain Consilium auditing firm.

How Many FTX Token (FTT) Coins Are There in Circulation?

FTX is a cryptocurrency derivatives exchange that offers futures, leveraged tokens and OTC trading with a focus on institutional-grade solutions. The FTX Token is the backbone of the FTX ecosystem, which was designed to increase network effects and demand for FTT as well as decrease its circulating supply. FTT has a circulating supply of around 94 million tokens as of February 2021 and a total supply of about 345 million.

Who Are the Founders of FTX Token?

The FTX Token or FTT was founded by Sam Bankman-Fried and Gary Wang. Sam Bankman-Fried is the co-founder and chief executive officer at FTX: Cryptocurrency Derivatives Exchange. He is also the CEO of Almeda Research and worked as a director of development at the Centre for Effective Altruism. He was also a trader at Jane Street Capital from 2014 to 2017. Bankman-Fried studied physics and has a bachelor’s degree from the Massachusetts Institute of Technology. Gary Wang is the co-founder and chief technology officer at FTX: Cryptocurrency Derivatives Exchange. He is also the chief technology officer at Almeda Research. Before this, he worked as a software engineer, after moving up from a software engineering intern at Google. He was also a software engineer intern at Facebook. He has a Bachelor's degree in mathematics and computer science from the Massachusetts Institute of Technology.

What Is FTX Token (FTT)?

FTT is the native cryptocurrency token of the crypto derivatives trading platform FTX that launched on May 8, 2019. On Nov. 11, 2022, FTX filed for Chapter 11 bankruptcy protection in the U.S., and is currently undergoing proceedings. Some of the information below may not reflect the current standings of the FTX exchange, please proceed with caution when interacting with the FTT token. The team behind FTX comprises some of the largest crypto traders over the past few years who, having found issues with most mainstream crypto futures exchanges, decided to launch their own platform. FTX claims that it stands out due to such features as clawback prevention, a centralized collateral pool and universal stablecoin settlement. FTX is a centralized crypto exchange launched by Sam Bankman-Fried in 2019, backed by significant trading companies in the industry, including Almeda Research, OTPP, Temasek, BlackRock, Coinbase Ventures and Sequoia Capital. As of 2022, the platform has over a million registered members, and the daily trading volume has reached billions of dollars. In regards to clawback prevention, a significant amount of customer funds on other derivative exchanges have been claimed by socialized losses. FTX reduces this by using a three-tiered liquidation model. On existing crypto futures exchanges, the collateral is fragmented across separate token wallets; this can be difficult for traders as it prevents positions from getting liquidated. On the other hand, FTX derivatives are stablecoin-settled and only require one universal margin wallet. Another feature of the FTT are leveraged tokens, which allow traders to put leveraged positions without the need to trade on margin. If a trader wants to short Bitcoin with 3x leverage, they can simply buy a 3x short Bitcoin leveraged token on FTX. These tokens are [ERC20](https://coinmarketcap.com/currencies/erc20/)-compatible and can be listed on any spot exchange. FTX currently offers [XRP](https://coinmarketcap.com/currencies/xrp/), [BNB](https://coinmarketcap.com/currencies/binance-coin/), [TRX](https://coinmarketcap.com/currencies/tron/), [BTC](https://coinmarketcap.com/currencies/bitcoin/), [ETH](https://coinmarketcap.com/currencies/ethereum/), [EOS](https://coinmarketcap.com/currencies/eos/), [USDT](https://coinmarketcap.com/currencies/tether/) and [LEO](https://coinmarketcap.com/currencies/unus-sed-leo/) leveraged tokens. A year after its founding, FTX Exchange introduced the exchange token called FTX Token or FTT. The FTT coin is an [ERC-20](https://coinmarketcap.com/alexandria/glossary/erc-20) standard token that is actively used by ecosystem participants. Initially, FTT was established as a reward for exchange transactions; however, over the years the list of functions has grown: FTT is applicable in the creation of leveraged tokens on the FTX Exchange; users can receive VIP discounts in the form of FTT depending on the number of coins they own, and it’s possible to earn rewards for providing liquidity through futures positions. In order to maintain its value, the exchange regularly buys back and burns its tokens, spending on the purchase of FTX: 33% of trading fees, 10% of the reserve fund, and 5% of other commissions. FTT Token use cases: 1/3 of the commissions received from transactions on FTX are utilized to buy back FTT. Tokens redeemed in this way are burned; FTT tokens are used to reduce trading fees and to secure futures positions; Profits from massive market movements are distributed among the holders; By purchasing a white label version of FTX’s OTC portal and futures market, institutions and investors pay expenses in FTT tokens; By creating leveraged tokens, projects can pay listing fees with FTT; Users can stake FTT to benefit from discounts, bonus votes, and blockchain fee waivers. One benefit of FTX Token (FTT) is commission discounts. Members pay a low fee and obtain tighter spreads. Traders use FTT as collateral, and those who are active on FTX Exchange see percentage differences of up to 60%. Traders get insurance protection, which ensures a net profit in moments of market volatility, then makes it possible to continue trading even without a margin call. In addition to the fact that FTT is useful for opening positions with leverage, FTT staking also offers perks: discounts, the opportunity to win [NFTs](https://coinmarketcap.com/alexandria/glossary/non-fungible-token), participation in airdrops, bonus votes and IEO tickets.