Lol, why do buyback?
Bbuyback because the observation is that tokens with buyback mechanisms have outperformed other economic models, in terms of financial returns and engagement. In ArcaFX case, a portion of the revenue will be allocates to buyback tokens to burn.
As an example, supposed that the starting rate of the token is $1 and there are 10 tokens in circulation. One day, the exchange gains $100 in trading revenue, and spends 50% of it ($50) to buyback existing tokens. When the exchange uses $50 to buy back 10 units of tokens in circulation, the worth of one token increases to $5. Of course, this is a simple illustration of buyback scheme, but the idea behind it should be consistent with our implementation.
At the time of writing, there are a lot of utility tokens that have yet to deliver, and token holders are the ultimate victims of such failures. Unlike them, ArcaFX wants to differentiate from others by implementing a proven and functional token model that allows holders to reap the benefits of holding.
