The Bancor software is aimed at encouraging users to lock their cryptocurrency assets in exchange pools and allows them to earn fees for assets bought or sold by the traders.
The Bancor platform is able to facilitate its network transactions via a system called the Automatic Market Maker. The system is an established mechanism that is designed to provide market liquidity in a way that does not require direct management from financial institutions.
Just like the Bancor network, the Automatic Market Maker system is also aimed at creating more liquid and saturated cryptocurrency markets. It does this by incentivizing the network participants to build and maintain pools of digital assets.
The Bancor network is also composed of a series of smart contracts which handle the management of converting tokens in on-chain transactions. The protocol, by extension, makes it effortlessly quick and easy to convert cryptocurrency tokens without having to go through an exchange. The protocol also manages the liquidity pools that connect different tokens available on the network via its smart contracts.
The network is majorly controlled by a dedicated token known as the Bancor Network Token. Presently, the Bancor and Uniswap networks have spearheaded the new trends in the Defi universe.
Who are the Founders of Bancor (BNT)?
The Bancor network was co-founded by Eyal Hertzog, Guy Benartzi, Galia, and Yudi Levi in 2017. The network was named Bancor shortly after it was founded in honor of John Maynard Keynes. Keynes came up with the word in 1945 to describe a supranational currency. Eyal Hertzog is the product architect of the Bancor network and also manages several other products on the network.
Hertzog is generally known in the world of cryptocurrency and has also spearheaded several entrepreneurial systems in the world of technology for over 20 years. Before joining the Bancor network, he founded MetaCafe, a video-sharing platform with over 59 million users located in Israel.
Guy Benartzi serves in the Bancor network as the chief executive officer. Prior to that, he founded Mytopia in 2005, which is a company that develops games across different platforms on social networks. He also has a sibling, Galia Benartzi who is also a fellow founder at Bancor and also has extensive years of experience in technology development. She also founded Particle Code and is the chief executive officer of the company.
The last part of the Bancor network is Yudi Levi who serves as the CTO of the system. Before joining the network, he previously founded AppCoin, an app that allows different communities to create their cryptocurrencies.
What is Bancor (BNT) used for?
The anchor network is aimed at incentivizing users to deposit cryptocurrency assets into pools. Each is made up of a pair of tokens with its reserve in BNT cryptocurrency. On the system, when a participant deposits assets into the pool, after the process, they earn a new token. The token earned is known as a pool token and allows them to be able to retrieve the originally deposited amount which is locked in the pool.
On the network, users can deposit specific cryptocurrencies such as ETH and DAI. However, in the Bancor pool, users are only allowed to deposit BNT tokens. Holders of the tokens are also open to other advantages such as the possibility of being traded with other cryptocurrency pairs.
What Is the Unique Point of Bancor (BNT)?
The Bancor network facilitated the seamless and easy conversion of tokens on the network. This process essentially removes the need for a third-party platform or any sort of exchange. The system also maintains a series of self-governing pools for tokens that are supported within the network.
The major selling point of the cryptocurrency lies in its goal of creating liquidity for altcoins and also reimbursing the providers of the platform’s liquidity. The system has the single responsibility of converting different cryptocurrency tokens into other types of tokens. This also includes tokens that are being run on other blockchains without the input of a third party.
Within the Bancor network, its main token, BNT, is the default for all the smart contracts created and supported within the network. The platform’s creation of its smart token is the first in existence to have been built using blockchain technology. The major objective of the protocol for the creation of smart tokens is to provide a lasting Avenue for liquidity problems in the cryptocurrency network. This essentially makes it different from all other market makers.
How many Bancor (BNT) coins are in circulation?
The Bancor network made a move in January which was aimed at providing more awareness and liquidity for its native cryptocurrency. As such, it shared ETH/BNT tokens to various wallets which had a specified amount of BNT tokens. In total, the amount shared was pegged to have been worth $60,000. Later in 2017, they had an initial coin offering and raised over $144 million.
The token’s protocol also allows other tokens to be liquidated as well. However, the tokens in question, which are also known as reserve tokens, must be in accordance with the EOS or ERC-20 standards. The network also has technological advancements which allow it to support a two-way token model which are liquid tokens and relay tokens.
The liquid token is operated automatically and has a monotonous reserve which facilitates its minting and destruction. The system is able to execute this by removing the reserve tokens or sending them into its smart contract.
Relay tokens on the other hand are used to provide liquidity via staking. This entitles the holders of the token to earning percentages from profits made by the Bancor network. These tokens are also used as a measure for the number of tokens staked in relation to the total value of the tokens in the pools.
Is the Bancor (BNT) Network secured?
The Bancor network has been repeatedly audited under different organizations such as the PeckShielf among others. The platform was also designed under the ERC-20 specifications and is also secured under its consensus algorithm. This implies that the protocol’s smart contract is obligated to allow traders to provide liquidity for only the pools supported on the network.
The algorithm also faculties the rewarding of the contributors to the pool so as to ensure that only eligible participants are rewarded for the process.
How do I buy Bancor (BNT)?
One of the major advantages the Bancor network brings to the table is the removal of third-party involvements in cryptocurrency transactions. Apart from that, the system also provides a pool of cryptocurrency tokens where participants can stake some amounts and earn rewards in the form of tokens. Because of its unusual mode of operation, its general use has increased over time and is currently available across several exchanges. To buy BNT tokens, the steps below provide the right direction to purchasing its tokens.
- Open an account with the crypto trading platform.
- Transfer the specific amount of your fiat currency to your account.
- Wait for your deposit to be confirmed and Buy BNT through your trading account.
Which Cryptocurrency Wallet Supports Bancor (BNT)?
The PTPWallet platform supports many cryptocurrencies simultaneously such as Bancor (BNT). Because of its vast use case, it has grown to become one of the most used platforms as it serves as an exchange and an engine to discover other cryptocurrencies. Additionally, users can easily use PTPWallet as their Bancor wallet because offers a simple and interactive interface making it easy for people to navigate its system.