FTT is the token powering the FTX ecosystem.
- Token Burn/ Revenue Share: One-third of all fees generated on FTX will be redistributed to or payable with FTT, until at least half of all FTT is burned. Any FTT used for fees will be burned.
- Discount on trading fees: Lower trading fees on FTX futures and tighter spreads for OTC.
- Collateral: FTT can be used as collateral for futures positions. This increases utility and demand for FTT.
- Socialized Gains: Our backtests and live simulations have demonstrated that, during large market movements, instead of incurring clawbacks, our insurance fund will see a net gain. A portion of this gain will be socialized among FTT holders.
- Leveraged Token Listing Fees: Projects that want to create leveraged tokens using their coin can do so with FTX.
- White Label Solutions: Crypto institutions have expressed strong interest in purchasing a white label version of our OTC portal and futures exchange. Costs for this will be in FTT.
- Future Expansion: FTT is the backbone of the FTX ecosystem. FTT will become even more useful when we add other derivative products to the platform.
FTT purchased between now and the listing date will unlock over the first month after listing, at a rate of roughly 3% per day.
Earlier FTT purchased will also begin unlocking at listing, but will unlock over 1.5 months (for investors who purchased FTT at 20-60c round),1 month (for the 60c - listing price round) or 3 months (for seed investors).
If a token unlocks "on day X", that means it unlocks at noon Antigua time on that day.
This means there will be no FTT unlocked when it lists, and less than 10% of all tokens will unlock in the first month.
FTX’s interest is for FTT, as well as the exchange, to succeed long term--much more than short-term profit. We will not be taking actions that we think will damage the long term growth of FTT.
About three fifths of non-company tokens are unsold. Of these:
5% -- Insurance Fund Insurance
Funds set aside in case the insurance fund runs out of money.
5% -- Safety Fund
Funds set aside in case there are platform losses.
20% -- FTT Liquidity Fund
Funds used to provide liquidity in FTT markets.
20% -- Team Tokens
Tokens given to project employees.
5% -- Adviser Tokens
Tokens given to advisers of FTX.
25% -- Company Tokens
Funds locked up over a 3-year period.
10% -- Ecosystem Fund
Funds used to grow the FTX ecosystem.
10% -- User Acquisition Fund
Funds used to help grow the userbase and volume on FTX.
Company tokens unlock over a 3 year period. FTX does not plan to sell any company tokens below the listing price for at least the first 3 months after listing (and likely after that as well).
In addition, we will be repurchasing and burning tokens equal to:
a) 33% of all fees generated on FTX futures
b) 10% of net additions to the insurance fund ('Socialized Gains')
c) 5% of fees earned from other uses of the FTX platform
FTX will buy and burn every Monday starting on July 29th, 2019. The purchasing will happen on the FTX FTT/USD market at a pre-announced time of day; all tokens purchased will be burnt.
Token Vesting Schedule