What Is FTX Token (FTT)? FTT is the native cryptocurrency token of the crypto derivatives trading platform FTX that launched on May 8, 2019.

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-compatible and can be listed on any spot exchange. FTX currently offers XRP, BNB, TRX, BTC, ETH, EOS, USDT and 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 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, participation in airdrops, bonus votes and IEO tickets.

Summary

• FTX has experienced 12.6K transactions as inflow transactions while FTX has experienced 57K transactions as outflow transactions and FTX has experienced 2.7B USD as inflow USD Volume while outflow USD Volume is very much than inflow USD Volume. moreover, netflow USD volume is negative and it is clear outflow USD amount was much higher than inflow USD volume. the highest outflow hourly transactions was on 7 Nov. on this day FTX has experienced the highest number of outflow transactions while on 8 Nov FTX has experienced the highest number of inflow transactions. also, the greatest USD volume outflow was on 7 Nov and the highest USD in flow was on 7 Nov. netflow of inflow and outflow trend is negative odd and the intense outflow USD volume was on 7 Nov. FTX token had the highest number of inflow transactions and the highest number of inflow USD volume belonged to USDC and USDT. FTX had 34% ratio of all inflow transactions and 31% belonged to USDT and 28% belonged to USDC. also, USDC had 56% ratio of USD volume and USDT had 24%. in terms of outflow USDC had the highest ratio and number of transactions with 42% and after it USDT has 31.5%. USDC had the lead of number of transactions per hour in terms of outflow transactions. in terms of inflow transactions USDC had the lead of the most inflow transactions. Binance had the most popular destination among all destinations in both terms of transactions number and USD volume. Binance has the highest ratio of number of transactions with 64% and 67% all USD volume of destination USD volume.