[Announcement] Digitex Is Building A City, A Stablecoin, And A Staking Program For You

Even before launch at the end of July, we'd already built a loyal and engaged community. Over the time it took to develop our zero-fee futures exchange, we reached a lot of people--and we've been learning from their feedback.

One of the biggest things we discovered is that zero-fee trading is in high demand! After all, no trader wants to constantly give away part of their profits to the exchange.

Many of our most loyal community members are not seasoned traders but speculators and HODLers who believe in the Digitex vision and the future value of the coin.

That's why, beyond our ongoing work toward the pivot to Digitex City, we're busy developing the DGTX Staking Program that will reward a different sector of our audience, as well as introducing the Digitex stablecoin DUSD. 

Rather than merely making money from token price rallies, DGTX holders will soon be able to earn rewards on their DGTX, while traders on the exchange can trade bigger volumes without worrying about DGTX volatility.

Both initiatives considerably restrict the supply of DGTX, thereby driving up its value. Find out more about both projects below.

In our run-up to launch in the past, the price of DGTX has always shot up all based on speculation but when we finally launched, many of those people sold off.

Combine this problem with another barrier to trading on the exchange that's keeping many traders away: the volatility of DGTX. After all, what's the point of making single-tick profits in DGTX if the token's value is going down?

We have therefore improved on our plan moving forward to introduce to Digitex Stablecoin DUSD, launching December 2020.

This will tackle these two large problems at once by eliminating volatility and increasing demand, at the same time as restricting supply and pushing up the value of DGTX. 

The DUSD is an ERC20 token that will become the native currency of the exchange and all the other venues in Digitex City. It maintains its value stable at $1 and is collateralized by DGTX at a ratio of 5:1.

This means that five times the value of DGTX tokens is locked away to mint one DUSD. At the current demand from traders on the exchange, roughly 400-500 million DGTX tokens will be locked away at the start to create DUSD.

We already have a solid userbase of traders and with the elimination of volatility, as well as the many initiatives we're working on for Digitex City, we only anticipate this to rise.

And while we gradually build our userbase over the coming months, this 5:1 ratio of DGTX/DUSD will serve to take the DGTX token back to the price we all know it should be at.

In tandem with the DUSD, the DGTX Staking Program will also be coming out at the end of this year. It will also have a very important bonus effect of restricting DGTX supply as we will be locking a significant portion of DGTX out of circulation. 

This means that we can at last break the cycle of downward price pressure on DGTX and bring the value and ROI for our investors, as well as allowing the sector of our audience that isn't interested in trading futures a chance to make money on their DGTX through staking. 

One of the things that we're most excited about with the DGTX Staking Program is that it allows us to reward our most loyal community members. They lock up their DGTX tokens into the program with no minimum amount and, in return, they are rewarded with their proportional share of the staking rewards, so they can make a passive income from their DGTX with minimal effort. 

As our CEO Adam Todd said in an AMA last Friday, “hundreds of thousands of people read our emails and are interested in the project but not trading futures, giving them a special program is an effective use of the audience that we already have.”

According to a recent poll, around 30% of our community state that they will be participating in the DGTX Staking Program. By constricting the supply so much between the staking program and stablecoin system, there will be a limited amount of tokens available, thus pushing the price of back DGTX up to where it belongs. This means that anyone who wants to buy DGTX right now, can take advantage of its undervalued price.

Initially, the staking rewards will be funded through liquidations on the Digitex Futures exchange. However, as the first version of Digitex City is set to be released in December of this year, more revenue streams will be added for funding the staking program.

These include ad revenues from the Digitex City social platform, listing fees, and a host of future revenue streams to come. 

Currently, we are making around $100,000 in liquidations each month. Therefore, we made our first deposit of $100,000 USDC to the DGTX Staking Program on the Ethereum blockchain here and will continue to allocate approximately the same amount each month until the end of the year when the DGTX Staking Program begins.

By this time, there will be between $300,000 and $500,000 USDC in the wallet which will be distributed to stakers proportionately in the first month. 

It's not possible to predict with 100% certainty the exact rewards that stakers will make as this is dependent on a few factors, including the DGTX price, how many people take part, and how many DGTX are locked up.

But, if you take a read of our whitepaper, you'll see that even with the most conservative estimates, stakers stand to make excellent rewards--as much as $750,000 per month by the end of 2021 thanks to the accompanying initiatives of Digitex City. 

Assuming that 300 million DGTX are staked in the first month, and based on today's undervalued token price of $0.035, that would be an approximate value of $10.5 million.

Assuming a staking reward fund of $300,000-$500,000 USDC would equate to rewards worth between around three and five percent in the first month alone.

Of course, this is a very high rate of return and it's likely that market forces will see the price of DGTX rise as more people want to get a share of the rewards.

But even if the price rose to $0.10, the return in December could still be around 1.5% in a single month which equates to 18% per year; still an extremely attractive ROI.

Keep in mind that this example is only taking into account the end of 2020 when the staking program is launched. During that same month, we'll also be launching our commission-free spot market, commission-free forex futures market, the social network, the DUSD, and many other initiatives.

As we build throughout the rest of the coming year, the sky is really the limit. This is why we believe that rewards for stakers could reach as high as $750,000 per month by the end of 2021.

With these two initiatives working together, this locks away roughly 700-800 million tokens at the current rate. Moreover, any new traders coming will create upward pressure for the price. And, for traders who simply want an easy frictionless trading experience, they can purchase DUSD right away and trade, without ever having to know about the mechanisms of how the DUSD is created or about the staking program. 

But for our audience that want to make a passive income, they now have the means to get more out of their DGTX, while contributing to growing our user base, restricting DGTX supply, and helping to increase its value.