What's Deflationary Token

What is Deflationary Token?

Deflationary tokens refer to Cryptos with a deflationary mechanism during on-chain transactions.

According to the economic system of deflationary tokens, whenever there is a transaction on the blockchain, a certain percentage of the token will be deducted automatically, that is, the deflationary fee. In general, the transaction fees deducted will be distributed to existing holders, added to liquidity, etc. It encourages everyone to hold the token in the wallet and watch it grow.

 

How to calculate the deposit amount of deflationary tokens to CoinEx?

1. For users who deposit deflationary tokens to CoinEx, a certain percentage of the token will be deducted on the blockchain automatically. CoinEx will deduct the same proportion according to the receiving amount on the blockchain.

Different deflationary tokens may have different deflationary rates, please refer to the deposit page for more details.

2. Assuming the withdrawal amount from the sending platform is X, the deflationary rate is Y, and the credited amount of your CoinEx account will be X*(1-Y)*(1-Y).

Take BABYDOGE as an example.

The deflationary rate of BABYDOGE is 10%.

If you withdraw 1,000 BABYDOGE from the sending platform to CoinEx,

the credited amount to your CoinEx account will be 1,000*(1-10%)*(1-10%) = 810,

that is, you will receive 810 BABYDOGE on CoinEx. (The credited amount is 19% less than the withdrawn amount.)

 

How to calculate the withdrawal amount of deflationary tokens from CoinEx?

1. For users to withdraw deflationary tokens from CoinEx, in addition to the withdrawal fee of the withdrawal platform, a certain percentage of the token will also be charged after the withdrawal transaction has been added to the blockchain. 

The deflationary rate varies for different deflationary tokens, please refer to the withdrawal page for more details.

2. Assuming the withdrawal amount on CoinEx is A, the withdrawal fee is B, and the deflationary rate is C, the transaction amount on the blockchain will be (A-B)*(1-C).

Take BABYDOGE as an example.

The deflationary rate of BABYDOGE is 10%, and the withdrawal fee is 10 BABYDOGE.

If you withdraw 1,000 BABYDOGE from CoinEx,

the amount sent out from CoinEx will be (1,000-10)*(1-10%) = 891,

that is, the transaction amount on the blockchain is 891 BABYDOGE.

 

Supported Deflationary Tokens on CoinEx

1. YOOSHI

2. BABYDOGE

3. KISHU

4. CULT

5. PIT

6. LUNC

7. USTC