Utility tokens are a new class of assets that have emerged on the cryptocurrency market during the last few years. These tokens provide a utility or use case inside a specific ecosystem and may be used to buy goods and services or staked to receive rewards.
Ethereum (ETH), which powers the corresponding decentralized application (dApp) platform, is one of the most well-known utility tokens. Another famous utility token used to pay fees on the Binance exchange is Binance Coin (BNB). Now, a new player has entered the arena with the presale of Uniglo (GLO).
One of its main selling factors is that Uniglo will be considerably more straightforward to use than Ethereum or Binance Coin. Moreover, the Uniglo team has created an easy-to-use, intuitive platform with two ways of burning mechanisms.
With the introduction of GLO, a new competitor with the ability to challenge the market’s established players has entered the utility token market. The project team is convinced that they have a solid product that will appeal to a broad spectrum of customers.
What Is Uniglo (GLO)?
So how is Uniglo able to outperform other cryptos? The answer is simple: It’s an asset-backed cryptocurrency and utilizes the ultra burn mechanism.
A 10% sales tax is applied on each transaction or acquisition of $GLO. 2% of this sales tax will be burnt immediately, raising the price of GLO tokens. Since Uniglo will produce no new tokens, the GLO burn process helps shorten the time it takes for the currency to become truly rare.
Uniglo will also use a portion of the taxed money to “buy back” tokens at a set rate. This will reduce supply and yet increase demand simultaneously, making the future for long-term GLO holders quite promising.
Additionally, Uniglo will deposit 5% of the sales tax in its vault to purchase NFTs, cryptocurrencies, and digital representations of physical commodities like gold. As a result, a solid and steady price will be supported by genuine assets rather than being wholly subject to speculation.
How Are Ethereum (ETH) And Binance Coin (BNB) Performing?
Ethereum, the second-largest crypto by market cap, is a decentralized platform and the World Computer that developers can use to build a decentralized internet and move funds by instructions given in the distant past and many other things that are yet to be created, all without the need for a middleman or counterparty risk. Ethereum has a massive further potential since Ethereum 2.0 with major updates is heating up for the launch.
Speaking of the Binance coin, it is the Binance exchange’s native coin initially released as an ERC20 token which has subsequently moved to the native Binance Chain. The Binance Coin lets users purchase products and services inside the Binance ecosystem and pay fees on the Binance exchange. Holders of Binance Coin who utilize BNB to pay their trading costs will get a reduction on those costs. With Binance being the largest exchange in the world, investors gain confidence that BNB price and usage will increase.
Overall, Bull Market is around the corner, and newcomer GLO has the potential to be a significant participant in the cryptocurrency industry. The team is focused on making GLO a success and exerts a lot of effort to ensure it satisfies all relevant requirements. In the upcoming months, we’ll be closely monitoring GLO’s development.
Learn More About Uniglo
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