What is OKX Chain ? Learn the difference between OKB and OKT

The OKChain network currently comprises two tokens named OKB and OKT, both of which are part of the OKX exchange. This creates a dilemma for investors who are unsure of whether to invest in OKB or OKT. The following article will shed light on the definitions of OKB and OKT, as well as highlighting the differences between the two tokens.

What is OKX Chain ?

The Ethereum scaling solution known as OKB Chain, or OKBC, offers users a reliable and secure platform for high-performance decentralized applications. This is made possible through seamless integration, ensuring optimal functionality and safeguarding against potential vulnerabilities.

The OKExChain operates on the Delegated Proof of Stake (DPoS) consensus mechanism, which is a customized consensus algorithm based on Proof of Stake.

Similarly to other EVM-compatible platforms, OKExChain has reduced the number of validators to increase its transaction per second (TPS) and enhance scalability at the expense of security (trading off security for higher TPS and easier scalability). Therefore, OKExChain can be considered as an endeavor to expand the use cases on the OKEx ecosystem.

What is OEC Token (OKT)?

The OEC Token (OKT) is the official Native Token created within the OKExChain ecosystem. All tokens in the initial block of OKExChain are distributed equally among the owners of OKB Tokens based on the amount of OKB Tokens they have Staked in OKEx Jumpstart.

OKT is essentially an asset of great value that is unique to the OKExChain platform. The potential growth of the OKT holds promise for advancing the development of the DEX, DeFi, and other applications on the OKExChain platform.

In contrast to other blockchain exchanges such as BSC, HECO operates using tokens from the official network. Similarly, the OKExChain project has developed a new token called OEC Token, symbolized as OKT, rather than relying on the use of OKEx tokens.

Basic information about OKT Token

• Token Name: OEC Token.
• Ticker: OKT.
• Blockchain: OKExChain.
• Token Standard: ERC20.
• Total Supply – Total supply: 13,711,341.
• Max Supply – Maximum supply: 41,690,000.
• 24 hour Trading Vol – 24 hour trading volume (November 25, 2021): $12,632,163.

What is OKB token?

The OKB token is issued on the OKChain network of the centralized exchange, OKX. To boost the token value and encourage investors to hold the coin, OKX regularly burns the token, effectively reducing its supply.

The OKX Exchange engages in regular token burning of OKB to decrease the overall supply, thereby increasing its value and encouraging users to hold onto their OKB tokens. Additionally, 30% of transaction fees collected from users are used by OKX to repurchase OKB tokens circulating on the market. This strategy has led to a continuous increase in the value of the OKB token, even during times of market downturn.

Basic information about OKB token

Ticker: OKB
Contract: 0x75231f58b43240c9718dd58b4967c5114342a86c (OKChain)
Token standard: ERC-20.
Total supply: 300 million
Circulating Supply: 60,000,000

Are OKT and OKB the same? OKT is OKB fork?

The tokens, OKT and OKB, exhibit distinctive characteristics and serve different purposes.

• The native token of OKChain, OKT, serves as a functioning token for the DPoS consensus mechanism of OKChain. Initially, OKT was issued in the genesis block, and an additional issuance of 1-5% will occur annually.
• The token of OKEx, known as OKB, serves to facilitate the growth and development of the OKEx ecosystem. There was a one-time issuance of only 300 million OKB in 2018, with no further OKB to be released in the future.

Does OKT affect OKB price?

The prices of the two tokens are not interrelated as they are subject to different influencing factors

• The price of the OKT is determined by the growth of the OKChain ecosystem, which encompasses various decentralized exchange (DEX) and decentralized finance (DeFi) applications, as well as the future development of blockchain technology.
• The value of OKB is determined by various factors, including the effectiveness of OKEx’s business operations, the growth of the ecosystem infrastructure, and the expansion of trading channels. Additionally, the OKB program’s Buy-back and Burn policy plays a critical role in determining its price.

Why is OKT needed?

The mechanism of DPoS consensus employed by OKChain necessitates the usage of the native token to facilitate its functioning.

Furthermore, it is important to note the fundamental differences between the ecological systems of both OKChain and OKEx. Whilst the former is centered around technology, the latter focuses on trading. In order to provide optimal service and maintain a high level of self-governance within the OKChain ecosystem, a continuous issuance of blockchain tokens and a flexible incentive system are necessitated.

However, due to the team’s obligation to maintain the continuous reduction of OKB inflation and avoid diluting the value of OKB in order to safeguard the long-term interests of its stakeholders, OKB cannot be utilized as the native token of the OKChain. This is precisely why OKT was introduced.

The subsequent strategies aimed at enhancing the value of OKB

Despite the recent creation of a new token, the project shall continue to incessantly cultivate the OKB ecosystem by broadening its utility scope encompassing wallet, financial services, lending, cybersecurity, among others.

Moreover, the project is set to enhance its transaction and deposit channels. Currently, the project has launched a fiat gateway for a variety of popular fiat currencies and OKB has been listed on over 40 major cryptocurrency exchanges with more than 40 trading pairs against existing market-leading currencies.

Ultimately, the refinement of the Buy-back and Burn plan will ensue as previously mentioned, wherein the team will incinerate 700 million unsold OKB tokens and abstain from retaining any OKB. All burnt OKB will originate solely from the secondary market.

Benefits of OKB holders

In the genesis block, 100% of OKT will be airdropped to OKB holders. In the near future, both OKB and USDK will be transferred from the Ethereum blockchain to OKChain. Once OKChain becomes operational, OKT transactions will be available. As a result, those who hold OKB will have the opportunity to participate in OKChain governance and become a supernode. Despite the many differences between OKB and OKT, they cannot be separated on OKChain. OKT not only supports the development of OKChain, but also promotes the growth of the OKB ecosystem.

Project team

The development team at OKX consists of individuals who possess significant influence within the cryptocurrency technology industry.

From the outset, Jay Hao joined OKX as the CEO, dedicating his career to the field of technology and engineering. Having followed the blockchain industry for a considerable time, he has focused on providing online video streaming and mobile gaming applications based on blockchain technology.

Prior to joining OKX, Jay Hao had accumulated 20 years of experience in the semiconductor industry. Mr. Hao has successfully developed a range of cutting-edge codecs including UVLED, ASIC, FPGA, and other multimedia codecs and SOCs for multimedia processors.

Another significant member of the management team is Mingxing “Star” Xu. He founded OKCoin in China in 2013 and has established himself a great reputation in the blockchain industry. In 2017, he created the trading platform OKX in Malta, which operates under a separate legal entity from OKCoin.

Investors and partners

OKX has a wide range of partners that are involved in various fields. Some of their notable projects include DappRadar, DefiLlama, DeBank, TokenInsight, and CoinMarketCap.

In the bridge segment, OKX’s partners include: PolyNetwork, ChainSwap, BoringDAO…

OKX has successfully raised millions of USD from venture capital funds such as Giant Network Group, Ceyuan Ventures, Longling Capital, Qianhe Capital Management and VenturesLab, demonstrating strong investor confidence in the company.

Summary

Above are the fundamental details about OKB coin of OKX exchange and the OKX Chain ecosystem. With five years of experience in the Crypto market, along with significant accomplishments, OKX has established a strong position in the world of cryptocurrencies, as well as gained favor among users.