Understanding BasketCoin Values.

First off, we must distinguish between two important aspects of BasketCoin; The value of The Basket, and the value of BasketCoin (BSKT).

The Basket:
A carefully selected basket of seven cryptocurrencies make up the basket itself. These cryptocurrencies are then put to work via the most trusted Staking & DeFi platforms on the market, to strengthen the buy-back and burn processes.

How were the funds for this achieved and what does it mean for the BSKT project?

The Basket consists of BTC and ETH (each responsible for 25% of the total Basket value) as well as SKEY, DOT, YF-DAI, USDC, and BSKT (each responsible for a further 10% of total Basket value). Funds in the form of 1200 ETH were raised during the pre-sale and public sale of BasketCoin and used to purchase the aforementioned Basket of cryptocurrencies. The purchasing of these cryptocurrencies was carried out by the DCA (Dollar-Cost Averaging) principles over a period of several days. Presently, the Basket is filled with all listed cryptocurrencies save for the BSKT token itself, the purchase of which is ongoing as outlined in our whitepaper. The breakdown of assets is as follows:

💎 850 000 SKEY
💎 6 000 DOT
💎 10.75 BTC
💎 300 ETH
💎 245 000 USDC
💎 42 YFDAI
💎 423 736 BSKT

As mentioned earlier, most of these assets have been allocated to various platforms such as Swissborg, Binance, Crypto .com, YF-DAI, KuCoin and others, providing the revenue for the buy-back and burn process of BasketCoin tokens. 90% of all generated income is used for the buy-back and burn process, while the remaining 10% is designated for project related expenses. This is THE BASKET and how the cryptocurrencies making up the Basket are used to create the deflationary nature of BSKT, while accelerating the burn process of the tokens.

The ultimate feature for BasketCoin becomes apparent as the final supply reaches 10% of starting supply. A decrease from 21 000 000 BSKT to 2 100 000 BSKT via a 90% burn process. Almost 650 000 BSKT have already been taken out of circulation, which means that slightly more than 3% of total supply was burnt out since launch. This achievement is significant considering BSKT is currently only available on Uniswap and for little more than 4 weeks.

BSKT token
Now that we have established what makes up the Basket, we can focus on the value of the BSKT token.

As the project progresses, there will be development and implementation of governance tokens to address various issues concerning the contents of the Basket and the direction of the project. Details regarding these governance tokens and their distribution will be announced at a later date. However, the use of these governance tokens will lead to further decentralisation, while addressing the evolution of the Basket as well as the BSKT token itself.

For instance, lets say that one of the assets in the Basket greatly appreciates in value, therefore increasing the total value of the Basket of assets. Governance token holders can decide via a dedicated voting platform, what they would like to do regarding this appreciated asset. Perhaps, the community would like to sell part of the cryptocurrency that has increased in value in order to take some profit? These profits can then either be used towards increasing the amount of the other assets in the Basket, or even add an additional cryptocurrency, further diversifying the Basket.

At the point where 90% of BSKT is burned, the community will be able to make several decisions via governance tokens and voting on matters including, but not limited to:
1. Sale of part of the Basket asset — Profits from the sale can be divided proportionally among BSKT hodlers.
2. Carrying out a reshuffle of assets in the Basket — Increased diversification of the Basket and, consequently, additional profits gained from the allocation of new cryptocurrencies to the Basket.
3. Decisions regarding funds generated from Basket assets on various Staking and DeFi platforms that are used for the buy-back and burn process. Such as;
A. Cyclical distribution of profits between BSKT hodlers
B. Purchases of additional cryptocurrencies for an existing Basket, or increasing exposure to assets already in the Basket
C. Distribution of profits between BSKT hodlers, along with partial allocation of funds towards increasing the Basket assets (combination of A and B).
D. The creation of an entirely new basket

These scenarios are intended to describe the potential use case of governance tokens as well as the community influence on the BasketCoin project itself. As the cryptocurrency space continues to grow, and BasketCoin project further develops, governance tokens holders will have a direct impact on the trajectory of BasketCoin. Stay tuned for more details to come regarding these features and their implementation, in a future update.

About BasketCoin

BasketCoin is:

  1. Deflationary,
  2. With collateral — covering its value,
  3. With the system of repurchase and burning of BSKT tokens.

1. A fee of 2% of the value of each transaction will be taken from the transfer — half is burned out, the other half goes to the staking/reward redistribution pool which indeed speeds up the process of reducing supply. Smart Contract itself assumes that a total of 90% of all BSKT will be burned -> supply will decrease from 21,000,000 to 2,100,000

2. The BSKT token is secured with a basket of seven cryptocurrencies that cover its value. The security so adopted is intended to ensure a constant and stable increase in the value of tokens. Thanks to the correct match of coins in our basket, its value is less susceptible to fluctuations appearing in the cryptocurrency market. The BSKT token security chart looks like this:

  • Bitcoin (BTC) — responsible for 25% of the value of the coverage,
  • Ethereum (ETH) — responsible for 25% of the coverage value,
  • Polkadot (DOT) — responsible for 10% of the coverage value,
  • Smartkey (SKEY) — responsible for 10% of the coverage value,
  • YfDAI.finance (YF-DAI) — responsible for 10% of the coverage value,
  • USD Coin (USDC) — responsible for 10% of the coverage value,
  • Basketcoin (BSKT) — responsible for 10% of the coverage value.

3. All listed cryptocurrencies that make up the BSKT basket will be used to generate additional profits on platforms such as:

  • Crypto.com (profits of 3%-12% APR),
  • YF-DAI (profits up to 72% APR),
  • Swissborg (profits up to 20% APR),
  • and other decentralized profit-generating platforms in DeFi format.

Revenues from these platforms will be used in the repurchase process for the redemption and burning of BSKT tokens, contributing to a significant reduction in supply on the secondary market. 90% of the above profits will be used for repurchase and burnout, while the remaining 10% will be used for ongoing and necessary expenses related

Learn More About BasketCoin

📍 Website📍Telegram📍Twitter📍Reddit

--

--

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
BasketCoin

BasketCoin

BasketCoin — deflationary token supported by a basket of cryptocurrencies with buy-backs and burns process; with possibility of staking and governance features.