RESEARCH & ANALYSIS
FOR THE CRYPTO ECONOMY.

Fcoin

Fcoin Exchange Review

Centralized

“FCoin is committed to creating an autonomous, efficient and transparent digital asset trading platform that allows traders and investors to confidently trade on any size without worrying about the fairness and transparency of the platform and the reliability of data security and privacy protection, or the integrity and robustness of its order management system. In an unprecedented fashion, the FCoin community will distribute 80% of its revenue to FT holders”

(https://www.fcoin.com/static/ft-en.pdf)

  • 24h Trading Volume

    124129.299 BTC
  • Establish date

    2018
  • Headquater

    Hong Kong

Fcoin Exchange Review

  • Fcoin Fees Discount

    0.05% discount for makers.

  • Fcoin Trading fees

    0.1%

  • Accepted Payment Method

    Crypto to Crypto only
  • Native Token

    Yes
  • Margin Trading

    Yes

Fcoin Exchange Score Analysis

FCoin, a Chinese-oriented, Hong-Kong-based exchange, has started operating in May 2018 (after a brief beta in April) and quickly shot up the volume ranks in all major exchange tracking sites – due to its innovative Transaction Mining mechanism. The way this works is: all users who are trading on the platform receive 100% of the fees they paid for a trade back in the form of Fcoin Token, or FT. This model, while essentially is no different than an ICO as Binance’s CZ pointed out, has created a sort of “hype” and false hope that the token price will continue to parabolically increase – in plain words, a sort scheme fueled by dreams of getting rich quick, green candles and insane volume numbers.
We personally believe most reported volume from FCoin to be faked, and whichever volume is not – probably is traded only to “mine” FT, and immediately try to dump it for USDT, notably for a much higher fee than in a standard trading pair.
English speakers are going to feel quite lost at the sight of the FCoin platform, with hard to understand sections and near-impossible 2FA activation – and a support section that doesn’t know how to handle languages other than Chinese.
While the exchange was never hacked, due to its short lifespan and the shady way they operate today (no one from the team is disclosing public information about themselves, including CEO Zhang Jian) we would assess the risk that this exchange will be involved in a bad situation to be quite significant, and would advise to not use such an experimental model – and at least wait a few months to see if transparency improves and the business model holds water.