KuCoin (KCS) vs Maker (MKR): A Comparison and Review

KuCoin (KCS)

KuCoin is an international cryptocurrency exchange based out of Seychelle. It currently supports the trading of 250 digital assets and offers relatively low trading fees. What sets KuCoin apart is its unique revenue-sharing model, where 50% of its trading fee revenue is distributed among users holding their exchange-based token, KCS. The exchange aims to become one of the top 10 worldwide exchange platforms.

Background and Leadership

KuCoin's founders started researching blockchain tech in 2011 and built the technical architecture for KuCoin in 2013. The exchange officially launched in 2017. The CEO and founder, Michael Gam, has a background as a technical expert at Ant Financial and has held senior positions at internet giants like MikeCRM and KF5.COM.

Growth Potential

With a growing user base and an increasing number of cryptocurrencies being offered, KuCoin is poised for strong growth in the markets. As the daily trading volume on KuCoin increases, so does the trading fee collection, which in turn increases the size of the dividend payout for KCS token holders. This can attract investors to hold KCS tokens and potentially increase their value. Despite facing competition from other exchanges like OKEx, KuCoin is projected to be among the top 5 exchanges in the world.

Maker (MKR)

Maker is a smart contract platform built on Ethereum, aiming to provide a stable alternative to most cryptocurrencies available on the market. It offers a transparent stablecoin system known as Dai, which is fully inspectable on the Ethereum blockchain. MKR, an ERC-20 token on the Ethereum blockchain, is used for transaction fees on the Maker system and collateralizes the system.

Background and Leadership

MakerDao, the team behind Maker, was founded almost three years ago and is led by Rune Christensen, its CEO and founder. While MKR is a relatively new project, it gained prominence during the recent peaks and troughs in the cryptocurrency market.

Stablecoin Concept

Dai, the stablecoin created by Maker, is designed to have its price pegged to a particular fiat currency, in this case, the U.S. dollar. It aims to provide stability and eliminate volatility commonly found in cryptocurrencies like Bitcoin and Ethereum.

Decentralized Governance

One of the unique aspects of Maker is its decentralized and democratic governance structure. MKR token holders have voting rights within Maker's continuous approval voting system, incentivizing them to vote for the good of the entire system. This governance system differentiates Maker from other projects and utilizes the benefits of blockchain technology.

Conclusion

Both KuCoin (KCS) and Maker (MKR) offer unique features and have the potential for growth in the cryptocurrency market. KuCoin's revenue-sharing model and low trading fees make it an attractive option for traders, while Maker's stablecoin system and decentralized governance structure set it apart from other projects. Investors should carefully consider their goals and risk tolerances when choosing between the two.