Vite has been holding a public vote to ask its users about a new release plan for VX mining. Currently, the VX mining allocation stands at 60% for trading, referring and listing, 20% for staking and 10% for market-making while the remaining 10% for the ViteX team.
This will change to 65% for trading, referring and listing, 10% for staking and 15% for market-making.
This new change will incentivize users to trade more, now it’s also more beneficial for market-making. A lot of users have been complaining about this change as most of them were staking VITE in order to get VX, however, this change was definitely not random.
ViteX is a decentralized exchange and the biggest struggle of any DEX is the lack of volume, even Binance new DEX has been struggling. It’s wise to try to incentivize trading as it is the most important aspect of an exchange.
Some users have complained about wash-trading, however, this practice happens anywhere, in fact, two major research reports have shown that between 65% and 95% of reported crypto trading volume is fake and that includes all major exchanges.
The announcement also showed the results of another poll about ViteX:
- Daily VX allocation will be adjusted: 67.90% in favor
- Discontinuation of VITE dividend. BTC/ETH/USDT dividends still apply: 65.40% in favor
- Referral code generating fee of 1000 VITE will be burned: 77.10% in favor
- Trading pair opening fee of 10,000 VITE will be burned: 84.50% in favor
The ViteX team decided to remove the VITE users get from VX daily dividends. This means that VX dividends will only be paid in BTC, ETH and USDT and all trading fees collected from VITE pairs will be burned. This should boost the price of VITE.
Users complained about this too, however, it is a logical step as staking VITE in order to get VX to then be rewarded with VITE again from dividends made no sense.
Additionally, ViteX will also burn the 10,000 VITE fee that is applied after opening a new trading pair, again, something that should boost the price of VITE in the near future. The 1,000 Vite fee from referral code generation will also be burned.