Professional options trader Sober Lü Kun has written a user experience article for Coincall, a cryptocurrency options exchange that focuses on encrypted options. He shares his personal views on the platform’s native token, $CALL, and the pain points that Coincall addresses.
Article Contents:
I. What is Coincall?
1. The most comprehensive altcoin options exchange on the market
2. What pain points does Coincall solve in options trading?
3. Prioritizing education and ecosystem improvement over market expansion and token distribution
4. What are the shortcomings of Coincall?
II. What is the value of the $CALL token?
1. What are the token’s application scenarios?
2. Does the $CALL token have a buyback mechanism?
III. How should I manage my $CALL tokens?
Disclaimer: This article is written by Coincall and does not represent the views of the publication or serve as investment advice. Please refer to the disclaimer at the end of the article.
Why have I spent so much effort on the $CALL token recently? Where do I think Coincall addresses market pain points? What are the capabilities of Coincall’s $CALL token, and can early adopters benefit?
Sober Lü Kun:
As a professional options trader with a CFA certification, I specialize in crypto options and also trade traditional stock and A-share options. I have won the VIP group championship in the OKX options competition and am a well-known figure in the Chinese-speaking options community, often sharing insights and tutorials from a practical trading perspective.
For those familiar with me, you may know that I delivered two basic options courses on Coincall when Signalplus collaborated with Coincall for the second Options Academy. It was during this time that I started using and getting involved with this cryptocurrency options exchange. After several months, I realized that Coincall is playing the role of a challenger in the market. Why do I say that? I present several pain points that Coincall addresses for everyone to discuss:
1. The most comprehensive altcoin options exchange on the market
In the past few years, players in the crypto options market could only trade BTC and ETH, and I didn’t even bother looking at altcoin fundamentals. However, Coincall now offers options on a wide range of altcoins such as SOL, DOGE, XRP, KAS, LTC, MATIC, LINK, TRX, FIL, BCH, and more.
Looking back, whether in the current bull market or historical crypto bull markets, high-quality altcoins always have the most explosive potential. By allocating assets to altcoin spot or options trading, we can maximize the odds. This makes our overall investment portfolio more comfortable and allows for rotational growth of the assets. It’s like the recent strong performances of DOGE and KAS followed by the surge in BCH. I previously made a 1,367% profit on DOGE.
2. What pain points does Coincall solve in options trading?
Options trading has always been a niche area in the crypto industry. Besides the slightly higher learning curve, one of the main reasons is that the liquidity of individual option contracts is poor due to factors such as strike price and expiration time. However, Coincall’s emergence was unexpected. The bid-ask spread for low-priced BTC options can reach up to $15, a mechanism that requires significant market-making resources and demonstrates professionalism and sincerity.
In addition to low spreads, we can also observe market depth. Typically, BTC has a depth of about 50 contracts, which is sufficient to meet the needs of average traders and regular large traders. If you want to trade more than 100 contracts, you can directly engage in block trades. Coincall is prepared to accommodate traders of any size.
3. Prioritizing education and ecosystem improvement over market expansion and token distribution
During our initial discussions and cooperation with Coincall, both us at 4ce labs were surprised. It was the first time we heard of a collaboration with an exchange that didn’t involve KPIs or account opening assessments. They simply wanted us to provide some educational articles, focusing on reducing the learning curve of crypto options and achieving a thriving options market similar to traditional financial markets.
Coincall’s initial goal was to expand the market and improve the ecosystem before rushing to expand the user base and distribute tokens. How many times have we seen conflicts and infighting within the crypto industry, resulting in us struggling within the same-sized circle? Coincall’s approach truly shows that even exchanges aspire to see different landscapes.
4. What are the shortcomings of Coincall?
Coincall brings solutions to the world of crypto options, but it is not perfect. On the contrary, there are still several issues that need to be addressed. Overcoming these issues will elevate Coincall to the next level, and I will have more reason to believe that Coincall will play a more significant role in the market.
– Providing a portfolio margin (PM) mechanism as soon as possible: The PM mechanism effectively reduces trading risks for professional options users. Furthermore, PM increases market liquidity, making trading more flexible and efficient. This mechanism also attracts more options users, especially those seeking stable trading.
– Enhancing a more robust trading system: Improving system stability and security is crucial. A stable trading system effectively reduces the risks caused by technical failures, ensuring the overall trading process is safe and reliable. If Coincall intends to attract more users, it needs to work harder to refine its product.
– Disclosing more information regarding the release of $CALL tokens, including fundraising details: With a total supply of only 300 million tokens, Coincall has exercised significant restraint compared to other exchanges. Considering the initial circulating supply and token unlocking plan to be announced in the whitepaper, the valuation of $CALL tokens will be very attractive.
2. What are the token’s application scenarios?
$CALL tokens have multiple application scenarios, including conventional functions such as fee deductions and Launchpool.
However, I have recently paid attention to Coincall DEX’s follow-up plans. In terms of on-chain DEX options markets, unicorns similar to the perpetual futures market have emerged. This is because liquidity and risk control in options pose challenges for ordinary DEX teams.
As a platform with extensive options trading experience, Coincall is poised to tap into this market potential. With regards to the blockchain, Coincall has chosen to develop synchronously on the most robust ETH L2 and Solana chains. This decision is based on mature technology and Solana’s high TPS and popularity, which provide ample room for high TVL in the future DEX. Coincall’s DEX model is expected to be similar to DYDX and AEVO, which helps address many KYC issues and is expected to go live within this year.
Overall, the launch of the DEX will provide more functionalities and value to the $CALL token.
3. Does the $CALL token have a buyback mechanism?
Yes, the $CALL token has a buyback mechanism. The scarcity of the platform’s token is the most powerful guarantee for its future value. According to the current information, the platform will use 30% of its quarterly profits for buybacks and subsequent token burns, gradually reducing the total supply of 3 billion $CALL tokens.
After the $CALL token goes live in mid-month, I will continue to accumulate if the secondary market price is below $1. If the price reaches $3-6, I will sell 20% of my position, while keeping the remaining portion in line with the overall bull market, gradually disposing of it. However, I will retain 20% of the $CALL tokens, expecting higher returns from the DEX launch.
I believe this selling strategy is relatively defensive and balanced, providing a comfortable approach.
For more details about $CALL:
https://www.coincall.com/call
Coincall Official Website:
https://www.coincall.com/
Disclaimer: This article is a promotional article provided by the contributor. The contributor is not affiliated with the publication, and the article does not represent the views of the publication. This article does not provide any investment, asset, or legal advice and should not be seen as an offer to buy, sell, or hold assets. The mentioned services, programs, or tools are for reference only, and the actual content or rules will be subject to the contributor’s official announcements or explanations. The publication is not responsible for any potential risks or losses. Readers are reminded to exercise caution and conduct their own due diligence before making any decisions or taking any actions.
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