Shinobi Capital, a blockchain investment firm that’s invested in several early-stage start-ups, has predicted the price of OKEx’s OKB token could grow by over 1,500% until 2020.
According to a recently released report, Shinobi Capital sees the price of the OKB token, which can currently be used to settle trading fees, enter token-listing pools, and get rewards, skyrocket from the $1.8 its currently trading at to as much as $30 by 2020.
This, as the firm believes exchange tokens are going to be the “powerhouse of the development of the digital asset market and even blockchain technology,” according to its founding partner Jason Hill.
Shinobi Capital’s report reads:
…(I)t is expected that by the end of 2020, the price of OKB will reach USD30.75 and its market capitalization will be about USD7.068 billion. There is a significant growth lag in OKB at this stage, and the potential of price growth needs to be further released.
The report’s look into the cryptocurrency exchange’s token pointed out two important factors regarding its future performance. These were the overall state of the cryptocurrency ecosystem, OKEx’s buyback and token burning program, and the development of its OKChain blockchain.
Currently, OKB has various applications. According to the cryptocurrency exchange’s website the token’s can benefit from it through its trading platform by getting access to designated merchant privileges like better liquidity, having discounted fees on OKEx, and receive feed collected on a “Happy Friday Program” that sees OKEx share 50% of the fees it collects every Friday with OKB holders.
In the future, OKB holders will also have access to OKEX’s decentralized cryptocurrency exchange OKDex. These use cases have helped the token’s price grow over 170% this year, from $0.66 to little over $1.8 at press time.
Hill added that following the launch of various tokens through initial exchange offerings (IEOs) in the first half of this year, the market is ready for a new bull run. He stated:
OKB, as a market leader of exchange tokens, is also welcoming its own uptrend. Backed by a number of use cases and a large user base of OKEx, OKB has demonstrated a huge potential of growth.
Shinobi Capital’s report also goes into other major blockchain platforms, including EOS, Binance’s BNB, and TRON, by establishing a comparative evaluation model between them and the OKB token.
OKEx itself published a blog post in April of this year arguing that while bitcoin isn’t cash, it could serve as a better store of value than gold. Per the exchange, a store of value is worth “what people are willing to pay for it.”