There is a lot of hype surrounding COSS coin and it might be a bit confusing understanding what its purpose is and how it can make you money. This is where I come in. In this short post I’m going to be covering everything you probably want to know about this coin and then probably a few things you don’t really care about.
I’ll be going over things like what is COSS coin, how you can make money by just holding onto it, my future predictions and more. I’ve actually written a review on the exchange itself but here I’m going to be diving deeper into the coin itself.
What Is COSS Coin?
COSS coin, aka COSS token, is a cryptocurrency that was created by the COSS exchange located at coss.io. Similar to Binance, KuCoin and others, by buying this coin and holding onto it, users of exchange are rewarded.
The coin itself is an ERC20 token and runs on the Ethereum blockchain. I know a lot of people out there like to invest in new bl0ckchain technology and since this is basically a fork of Ethereum it might be a bit disappointing. But the way I see this its good. The Ethereum blockchain is all and more that this coin needs to work and the developers can focus more on the exchange platform itself.
The Purpose of COSS Coin
By simply holding onto COSS coins you will be rewarded by the platform, which is a great business model. This is one of the reasons Binance grew so quickly and with COSS sharing revenue users are going to join and stick around.
How COSS Coin Makes You Money
COSS has a profit sharing business model where holders of COSS coins are given profits from the platform. The more coins you have the more you will profit.
50% of their profit that is collected from the exchange and the payment gateway is then distributed evenly to coin holders based on how many coins you have and how many coins others have.
As the platform grows there will be more transactions taking place and thus COSS will be collecting more fees, which means more money given to the users. However at the same time there will be more users that have COSS coins and there will be more coins circulating, so its difficult to say how much you will actually be able to make per COSS coin that you have.
If you are interested in finding out how much a single COSS coin can make you right at this moment there is a COSS.io Fee Share Calculator that you can use. This calculator takes into account the exchange volume and everything that it needs and updates on a minute by minute basis.
How The Fees Work
Ok so on an exchange like this there is a buyer and seller for every exchange transaction. All an exchange really does is facilitates the transaction between the two. The exchange itself doesn’t actually do any buying or selling.
All exchanges will differ a bit when it comes to the fees but as far as COSS goes, they charge between 0.2 – 0.04% fees on each transaction. This is the fee amount for both the buyer and seller of each transaction. So in total COSS takes away anywhere from 0.4 – 0.08% per transaction. 0.4% is on the higher side when compared to other exchanges but 0.08% is on the lower end of things.
The reason there is such a variance in fees has to do with trading volume and the affiliate program at COSS.
The higher trading volume you have the less the percentage of fees you pay will be. Below is a list of trading volume and the corresponding fee that goes with that volume bracket. These trading volumes are based on a monthly total…
- $0 – $5000 = 0.2% fee
- $5,001 – $10,000 = 0.18% fee
- $10,001 – $25,000 = 0.16% fee
- $25,001 – $50,000 = 0.14% fee
- $50,001 – $100,000 = 0.12% fee
- $100,0001 – $250,000 = 0.10% fee
- $250,001 – $500,000 = 0.08% fee
- $500,001 – $1,000,000 = 0.06% fee
- $1,000,0001+ = 0.04% fee
These exchange volumes are based on the current market price of different crypocurrencies in USD. So if you trade 100 XYZ coins for 2 BTC and the cost of 1 XYZ = $100, then the volume you just traded over the exchange is equal to (100XYZ coins x $100/coin), which equals $10,000. Of course these numbers are all made up but you get the point.
COSS has an affiliate program to encourage users to get their friends and other people to sign up. Users are rewarded for each person they bring in.
The way it works is like this: 10% of the trading volume that your referred users have counts as your own. So this means that your trading fees can be reduced simply from referring in other users.
If you are going to join you can help me out by using my referral link here if you want! coss.io/invite/HP36T6LETG
The Distribution of Coin Rewards
The way it works is you will be rewarded with the coins that people are trading. The fees that are taken out during trading are taken out in the cryptocurrencies that are being traded. So you will end up with a bunch of fractional amounts of many different coins. You can keep them or you can exchange them on the platform as you would any other coin.
Some people might not like how you end up with every single coin being exchanged on the platform but I do. I end up getting a bunch of coins I wouldn’t otherwise buy and if one moons in price one day then lucky me.
How To Store COSS Coins
Since the COSS coin is an ERC20 token and runs on the Ethereum blockchain it can be stored in any Ethereum wallet such as MyEtherWallet or more secure hardware wallets like TREZOR.
The COSS exchange also provides wallets for all of the coins they have available which means that you can store your COSS coins right there on coss.io. This is less safe of course but on the flip side its easier to receive your free coins. You don’t have to do anything to get your free coins other than hold onto your COSS coins.
If you want to store your coins in cold storage storage such as in MyEtherWallet or TREZOR (which uses MEW), then you will have to go through a short process of setting everything up so that you get credit for the coins you have and are rewarded appropriately. The official tutorial for this is here.
If you do store your coins somewhere else your coin rewards that you get from the split fee allocation plan will still put in your exchange account’s wallets.
Final Thoughts – Worth Investing In?
I am by no means a financial adviser and am not going to tell you whether or not to invest. However, I will say that I own some COSS coins myself and like how things are going with them. They have a real use case, a real purpose, and what they provide is something that makes sense.
Also, I like going into my COSS account and looking at all the coins I get. You will get rewarded with fees (in the coin being exchanged) which means that you will be rewarded with a little bit of every coin that is being exchanged. These will be very small amounts but they add up and you never know what coin’s price might moon.
Something else worth thinking about is the price of the COSS coin itself. With the incentive that COSS provides for users to use the exchange it will likely continue to grow which means more users and more demand, which will drive the price up. Additionally the increasing number of users will mean more fees that are distributed to COSS owners.
Questions, comments, concerns? Leave them in the comment section below and I’ll get back to you soon 🙂