What is Covesting?
You have surely heard about ChainLink (LINK), the decentralized oracle network which aims to connect smart contracts with data from the real world. It is now the number 5 cryptocurrency in terms of market cap and has increased its value with around 100x. Where's the next such cryptocurrency? Where's the next project with the technology that will take it from 0-100x in the future? Well... Have you heard about Covesting?
Covesting is a global fintech company incorporated under the laws of Gibraltar, which offers the broadest array of software solutions for retail and institutional customers worldwide. Covesting has become one of the world's first companies to receive a Distributed Ledger Technology License (DLT) from regulatory authorities in Gibraltar.
Covesting is the company developing the Covesting platform. The Covesting platform connects traders with followers, allowing them to profit alongside one another for mutual gains. Traders earn a portion of success fees from follower's equity, while followers can enjoy hassle-free trading by following other trader's successful strategies according to the company. This is called "copy trading". The Covesting platform has its own token - COV.
Partnership with PrimeXBT
Covesting copy trading platform is now available to all via PrimeXBT, enabling traders to profit from one another. The Covesting module allows traders to create funds with their trading strategy in a transparent way in which users can verify the track record and how much capital is invested in each fund. Traders can build a reputation and a second source of income by attracting followers. Users can browse different traders, check their results, and invest in the one they like, this provides a way to earn money passively without any trading skill or market knowledge.
What is PrimeXBT?
PrimeXBT is an award-winning Bitcoin-based margin trading platform offering forex, stock indices, commodities with trading volumes over USD 1 billion. In the 2020 ADVFN International Financial Awards, the company won the award for the best bitcoin Margin Trading Platform.
The platform offers:
- Up to 100x leverage for cryptocurrencies;
- Aggregated liquidity from multiple liquidity providers;
- A wide range of technical analysis tools for trading; and
- Security, liquidity, and a safe and efficient trading environment.
Why Will COV Skyrocket?
Covesting has revealed the benefits COV token holders will gain access to by holding the utility token designed for the copy trading platform. COV token utilities will be split between Core and Secondary token utilities. Covesting's business goals include partnering with other third-party platforms in the future via white-label licensing agreements, in which additional utilities will be designed with key partners in mind.
There is a limited supply of only 18,000,000 COV-tokens in circulation and 50% of the supply is allegedly held by "strong hand".
According to the official announcement by both teams, the COV token will be integrated into PrimeXBT and will primarily be used for the following three functions: trading fee redutions, improving success fees and increasing following limits.
Trading Fee Reduction: Several options for trading fee reduction will be added for strategy managers to benefit from. Fee reduction tiers will range from 10% to 100%, however, the exact amount of COV tokens required for each level of discount will be determined at a later date.
Improving Success Fee %: Followers will be able to increase the % of success fees in their favour by staking COV tokens and taking advantage of its utility. For example, Covesting currently takes a % of success fees on all closed profitable trades, splitting the remaining % between strategy manager and follower. Distribution between strategy manager, follower, and the platform are determined by the corresponding offer. The current offer may change at any the company’s discretion according to market conditions. By staking a yet to be determined amount of COV tokens, Covesting’s % is reduced and a larger share goes to the follower on all profits generated by the strategy manager.
Increase Following Limits: To keep token utility high, we intend to limit the maximum number of unique followers or impose capital limitations. Staking COV tokens will unlock additional followers and raise capital limits
Covesting aims to burn a portion of the fees generated within the Covesting module at regular intervals, ranging from once per month to quarterly. Fees will be calculated after excluding affiliate earnings, fee discounts, and other revenue impacts.
Taking into account what has already been said, COV token has a very high potential in the medium time perspective. Covesting also has a very supportive and strong community.
COV token is traded on, inter alia, KuCoin, and and posted a very strong positive price reaction to news surrounding the Covesting module’s launch on PrimeXBT.
Visit the Covesting site and conduct your own research about the Token. You can also try trading crypto on margin on PrimeXBT, use this link to get a USD 50 welcome bonus (for all new clients). You can also try following traders, but always remember that the traders' past performance doesn’t guarantee any future results.
Please evaluate how long the published strategy has been active on the platform, the newer the strategy is the more risk it carries. Following strategies can result in a significant capital loss. Once again do not invest funds that you are not ready to lose, following these strategies is very risky.
Reasons for holding COV
The following are the main arguments set forth in favor of the COV-token:
- Trusted team;
- Limited token supply;
- Licensed company;
- Token is under the radar (so far);
- Partnership with solid Trading Platform with lots of users;
- Future utility and token burns;
- Strong community; and
- Top TradingView analyst recommendations.
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