Topic: Is utility token trading actually dead? - page 2. (Read 296 times)

Sorry, what good business action plan are you referring to, is it the one that has to do with them forcing any potentially investors wanting to invest in an IEO through their exchange to buy and hold their token before the IEO date thereby pumping the price of their token. Is that what you refer to as a good business plan?. What they're simply doing isn't different from what most Altcoins did in 2017 and now suffering the consequences. What's wrong if they allow investors to buy their token on the day of the IEO and still be eligible to participate in the crowd funding event.

Thought their token was trading around $31 +/- few weeks ago guess the hype is now dieing down as the IEO aren't coming in their numbers anymore. The Binance token is just been overhyped and now overpriced as its utility purpose doesn't correspond with price value meaning the chances of price decline will always be high except the hype stay forever (wish is impossible) so it's just a matter of time before it get back to 1 digit price value.

Utility token should have a use case, and should be relevant in the functioning of the platform on which the project is built, this is the only way to ensure profits/revenue accrued in the business would be reflected in the price of the tokens.
But there are lots of nuances to the value of a cryptocurrency, and as stated above, speculation does play a huge role.

All hype indeed.I cant even see a reason specially on most top altcoins in the market to be useful but they do somehow hold up their current top positions.
Most investors might be knowledgeable or wise enough but we cant really avoid those people who are dumb enough to believe on whats into their minds without
even reconsidering on what they are dealing with.

When it comes to usage or utility only a few i can see which do work as it is but majority of them are just completely trash but surprisingly they are still standing
and gaining some support. Do these holders are blind? 

I have also come across many projects that have a very large user database, but the price has really not been encouraging and one of which you mentioned, ripple. With all the large user base that they have, there price has still not increased, and it shows that people are not demanding for it and I am asking what those users are really doing there, and if they are just redundant, of which I think most of their users are just more of holders of the coin and not using it as it should be used.

Binance bnb is also meant to be a utility token, but I see that only developers are using it also in their trading platform, but they are still lucky to have a platform that they can impose on people. I think the reason why utility tokens are not surviving is just because many people are here for the money, the one they will get through investment.

Pretty much all existing coins/tokens right now are priced based on hype, and far less for it's actual utility. Hence why a lot of people are taking advantage of these hype cycles to either trade for dollar profits, or BTC profits. I mean, take a look at XRP. It's still in the #3 spot for some reason. It's just because they have a huge amounts of followers(and probably mostly bots) on different communities, but mostly on Reddit and Twitter. I thought XRP would be dead last year but for some unknown and mind-boggling reason they still have holders. Definitely a lot of speculators in the cryptocurrency space that doesn't do even a tiny bit of research.

If you agree that utility tokens were built to attract funding via ICO boom and all of the "utility" things were mostly speculated around to do the ICO, then maybe you will agree with the rest: 99% of utility tokens' value will not be affected by the project itself (unless it simply dies), the value will only be affected by the traders' speculations.

Let me elaborate:

I know a project that does great with their development and business implementation (user DB grows in 100s of %), but the token price bleeds. Good project news have close to zero impact to the token price. And this, tmm, will continue to be so until their project and the infrastructure around it will go so huge, that the utility-demand will become enormous and this way grows the demand for the token (thus inflates the price).

Until the real demand is huge, the project itself basically has zero impact to the price leaving it to bleed further in the hands of traders (speculators that most of the time give zero f*** about the project itself by not even using it).

Tmm, BNB is the only token that makes good utility-demand thanks to their good business and action plan (it currently holds a value of 20usd vs most tokens fail to even be worth 0.01 usd). XRP may get there, but is still in the hands of speculators more, than in the hands of the infrasture's demand (bank payments).


Do you agree? What are your thoughts on that?