Understanding DEXTools and its deflationary nature
As you may know, DEXTools is the world’s leading DEX aggregator, providing and gathering data among 325 dexes and more than 160k pools, resulting in more than 150k tokens available to track on the platform. But that’s not all there’s to it. The platform offers several valuable features, such as the PNL Tracker, Hot Pairs, and super-useful alerts, providing some serious feasibility on the UX of the crypto world. Find a detailed article here.
DEXTools has its own utility token called $DEXT that, with several revenue sources such as DEXTForce Ventures and Social Update fees, along with massive burns going on, make DEXTools’ business model bulletproof with insane buy-pressure applied to token itself.
We did some research for you, feel free to check it out here.
DEXTools Burns and Buybacks
$DEXT is one of the most deflationary tokens according to the crypto community.
This is 100% due to the continuous buybacks and burns made possible by the on-platform aggregator and the update social fee service.
Given that the day-to-day operations are already funded by advertising and other activities, DEXTools decided to dedicate most of the other revenues to the $DEXT token.
- 100% of the aggregator fees in any chain will be used to buyback and burn $DEXT
- 100% of the update social fees paid in $DEXT (around 40% of the grand total) will be burnt.
The Burn Dashboard
We at Blockchain Army care about the community. We genuinely wish the best for the crypto world and we strive to deliver value in everything we do. This is the reason behind our partnership with DEXTools, and the reason why we created the burn dashboard.
What is the burn dashboard
We achieved something remarkable by combining several valuable pieces of information in just one spot. The burn dashboard is born, a powerful tool empowering anyone to easily understand extremely valuable data with just a simple look at it.
Accessible at burn.dextools.io, the dashboard appears in an easy-to-comprehend box layout, with each box providing specific values.
Let’s take a tour. For simplicity’s sake, we’ll explore the dashboard by dividing it into 4 rows, let’s start with the first one.
The first box is about the daily burn stats, generating a line that tracks the number of tokens burnt daily. The total amount is obtained by combining the last 24 hours of fees from the aggregator and social wallets, thus generating a prediction of the percentage of supply burned yearly, based on the last 24 hours of data. Powerful.
The second box is about the circulating supply. We can see how $DEXT deflationary mechanics hit hard, even with just 1 month’s worth of data is easy to understand how literally 1 million $DEXT have been burned and disappeared in thin air.
These 3 boxes track the exact amount of tokens burnt in the last 24 hours, 7 Days, and 30 Days.
Each box has a relative supply percentage and a speedometer-like counter, in which we can see projections of the yearly burn rate percentage, adjusted in relation to the period.
The first box is pretty much straightforward to understand. It displays the number of $DEXT holders and the variation within 24 hours.
The second box showcases the price that project owners have to pay to update social media information, one of DEXTool’s revenues as explained here. In addition to showcasing the price, it also calculates the actual discount rate, which could come in handy.
The third box tells us how many $DEXT have been burned as of the current time and provides the expected annual burn.
The fourth and last box provides information about the monthly buy pressure and a 1-year price forecast, calculated using the following formulas.
buy pressure = (1+buy_amount/liquidity)^2-1
where buy_amount = monthly_buyback
future_price = current_price*(1+buy_pressure*12)
Both boxes contain information about two public wallets. The aggregator wallet contains all of the fees from the aggregator side of the platform , while the social wallet contains all of the fees from the above-mentioned “Update social information” tool.
In both cases, we get a quick overview of the ETH and BSC wallets, with information on the amount of $DEXT, $ETH, and $BNB held, along with variations in the last 24 hours.
For the nerds interested in the technology that has been used in order to create the burn dashboard:
Regarding the data gathering:
- Wallet holdings are taken via Etherscan and Bscscan API
- Prices are taken via Coingecko API
- Holders information are taken via Coinmarketcap API
- Price of updating social is taken via Google Forms
Soon all the data sources will be replaced with our Dextools API, which now is in beta mode.
This dashboard is a powerful tool, empowering holders to get insights of valuable information in a simple way, removing the need for complex data structures and avoiding spending hours on blockchain explorers.
In DEXTool’s case, the dashboard has been used to track burn metrics but this technology can be used to display all sorts of data related to all kinds of projects. It can provide information about the buys/sells, the number of holders, the number of messages and virtually anything that could be trackable, delivering limitless value in any scenario.
From the holder’s perspective, as a tool to quickly get relevant insights and most importantly from the project or company perspective, is a brilliant marketing tool.
You’re a project owner and you’re interested to know how this tool can benefit your project? Feel free to fill out the form below, we will take care of the rest.