Voyager Token (VGX), also known as BQX on some exchanges, is the native token of the Voyager cryptocurrency exchange.
The exchange differs from its competitors by claiming to be a commission-free crypto broker platform, and its smart order router also allows customers to trade on multiple exchanges.
Since the turn of the year, VGX has gained 620% and on January 15 the token hit a new all-time high of $ 1.48.
Voyager (BQX) token price at Binance. Source: TradingView
Not only does the platform have a fiat gateway, but it also offers market data, interactive charts, crypto research and up to 9% interest on stablecoins, as well as stakeout returns for Bitcoin and other cryptocurrencies if users leave them in their wallets.
Token activity increases exponentially
On-chain data shows that activity only increased a few weeks ago. The number of daily active addresses exceeded 1,500, while transfers quickly reached $ 60 million.
Daily VGX transfers and unique addresses. Source: etherscan.io
With the Invest Voyager app, traders can earn interest without locking and users who wager a certain amount of VGX tokens can get higher returns. In addition, the platform is owned by a listed company in Canada, Voyager Digital Ltd. (CSE: VYGR), a fully regulated company with a market capitalization of $ 600 million.
The Canadian TSX Exchange Listing Deal also hides an interesting story. By acquiring a shell company that no longer exists, Voyager was able to perform a reverse merger in February 2019. Interestingly, not a single USD was paid for the deal that included shares in the new company.
In October 2019, Voyager announced a partnership with Celsius Network to manage some of its clients’ assets. This enabled the broker to diversify its investment offer.
Another notable milestone was the acquisition of Circle Invest, completed in February 2020, which converted more than 40,000 accounts. Circle Invest was previously involved in the Stablecoin USD Coin (USD) alongside the Poloniex exchange, although both projects had already been sold. It’s worth noting that the deal involved no cash and was made in Voyager Digital stock.
These developments explain the current surge in user accounts and token activity. Much like Coinbase, Voyager’s fiat-on-ramp and regulated status could make the exchange a top choice for future crypto investors in the US.
VGX’s price growth follows new acquisitions and European expansion
Currently, the Voyager exchange is available to all US states except New York as the company is pending approval from BitLicense. In October 2020, Voyager Digital acquired France-based LGO, a fully licensed European digital asset exchange aimed at institutional investors.
Hugo Renaudin, CEO of LGO, stated that the French company will cease its dedicated institutional exchanges while LGO will operate under the Voyager brand, although it will mainly focus on retail.
The total volume traded on the Voyager platform reached $ 120 million in November 2020, while assets under management exceeded $ 485 million on January 15. To date, more than 200,000 users have downloaded the iOS and Android applications, and further expansion into Europe should increase the platform’s user base.
Voyager (VGX) Twitter User Activity vs. Price (USD). Source: TheTie
Data from TheTIE, an alternative social analytics platform, shows that the recent price hike was preceded by increased activity on social networks. Aside from a few users complaining about KYC-related withdrawal issues, the general sentiment regarding Voyager and VGX is positive.
The offer of up to 9.5% annualized interest income on stablecoins and the fact that it is a fully licensed broker offering altcoin trading and participation to US residents seem to be the main drivers of the platform’s momentum.
In terms of the economics of the VGX token, the option of a debit card with cashback rewards, discount on withdrawal fees, and interest rate hike on use might be needed to further drive valuation.
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