Young crypto exchange BiKi.com keeps moving ahead and according to reports, their revenue figures in the second quarter has exceeded USD 15 million, which works out to be a 500% increase from the first quarter. Notably this is also one-eighth of top exchange Binance’s reported Q2 revenues.
BiKi also managed to achieve 20% of OKEx’s June trading fees. Presently, BiKi has acquired a total of 1.5 million registered users and 130,000 daily active users. According to the trading platform these numbers are comparable to exchanges like Huobi.
Since BiKi began in June 2018, it has also continuously attracted a flow of investments from established investment institutions and individuals of nearly USD 10 million.
So how does a young exchange progress and grow so fast in a year?
Does it undertake wash trading to maintain its rankings?
BiKi.com has responded with a resounding ‘no’ and instead attributes its success to two main factors.
The exchange maintains that its project selection criteria is one of the key factors to its success. Their requirement of listed projects having strong communities behind them is of paramount importance.
Instead of charging high listing fees, BiKi prioritizes community support. BiKi already has 5 Wechat community leaders with over 1 million followers and over 10 Wechat community leaders with over 100,000 followers. This contributes to about 80% of the exchange’s traffic volume. Combined with the strong communities of its listed projects, BiKi has “managed to carve out a fast track to gaining liquidity and trading volume”.
Maintaining long term relationships with venture capitalists and investors also ensures BiKi has priority when it comes to listing top projects. This has resulted in a wide variety of high quality tokens on its platform that its users have access to.
Projects have begun to see the exchange as a “stepping stone to gain a new level of recognition in the industry” with BiKi’s 130,000 daily active users generating demand for their tokens.
The other factor that BiKi.com asserts is a contributing factor to its competitive advantage is the way it manages to retain its users and effectively recruit new ones. The exchange uses what it calls its ‘community fission’ model to draw in more users and has in place a ‘Community Partners Programme’ offering attractive incentives. What the ‘community fission’ model does is shift the responsibility of customer acquisition to the current customers themselves, although the program does restrict the network to only two tiers of membership.
The success of the program speaks for itself nonetheless and BiKi has over 200 official community groups with more than 100,000 community members, growing at a rate of 300 new members per day. It also has more than 1000 Community Partners which is increasing at a rate of 30 per day. BiKi has targeted for 10,000 Community Partners in 2019 that is estimated to bring with them 500,000 new users to the platform.
For the exchange to amass 1.5 million registered users and 130,000 daily active users through a mostly bearish market this past year is no mean feat. Competitors will do well to take note as BiKi continues to welcome choice projects into its fold.