Bitcoin China (BTCC) is relaunching its cryptocurrency exchange business and is planning to issues its own token, industry website Coindesk has reported.
Co-founded by Bobby Lee, the brother of Litecoin creator Charlie Lee, BTCC was the oldest crypto exchange in China and one of the three largest digital currency trading platforms operating in the country. However, the company was forced to close its exchange business last year, in the wake of China’s ban on initial coin offerings (ICOs) and fiat-to-crypto trading in September.
Having continued to operate a major mining pool operation, as well as its digital currency wallet Mobi, BTCC is now reviving the business it was best known for. In an announcement, published today, the company said that its revamped crypto exchange was now operational, offering new trading pairs including Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH) and Litecoin (LTC), as well as crypto-to-crypto trading options. The company also revealed that it was implementing a reward system, under which users would be rewarded with points for signing up, completing ID verification and trading. These points can be converted into BTCC’s tokens, which will be tradable on the platform.
As noted by Coindesk, BTCC has not yet announced a specific timeframe for the token issuance, saying that it would be launched in “a couple of months”. The company also indicated that there would be some sort of a point supply limit.
BTCC reward system resembles the "trans-fee mining" revenue model that was recently introduced by Chinese crypto exchanges. The model reimburses users' transaction fees with a platform's own tokens.
BTCC’s vice president of international business Aaron Choi told Coindesk that since the relaunched platform would have zero trading fees during its first three months, the model adopted by the company was more of a giveaway. However, Choi didn’t rule out adopting trans-fee mining in the future.