6.2 THE BITBET TOKEN

BITBET is an utility token created specially to BITBET PREMIER Platform.

The BITBET token serves as the medium of exchange on the BITBET PREMIER platform. All bets users place in BITBET games and sports betting services may use such tokens. Hence, the main purpose of the token is to enable the holders to purchase goods / services with it and it is therefore classified as a utility token. Using the BITBET token will give players the advantage of lower prices for participation in the games as well as to receive further bonuses such as loss compensation, exclusive giveaways and lotteries.

In the first months, other currencies will not be accepted within the platform so BITBET token can achieve a good trading volume and holders increase.

The decision to make the BITBET token the in-game currency on the platform and incentivizing its use through further measures serves a clear objective. Basic economics states that the value of any asset, i.e. currency, rises with increasing demand at constant supply, or at constant demand with reduced supply. We can, therefore, achieve the highest increase in value if we both increase demand and reduce supply.

While we intend to promote the demand for BITBET tokens with attractive incentives, we also want to take supply-side measures to increase the price of the token. To this end, we use the repurchase of tokens via exchanges and the subsequent burning of these tokens to ensure an increase in the price of the BITBET token by reducing the supply. By combining all of these measures, we will be better able to achieve an increase in the price of the token for our platform users and holders of BITBET tokens. BITBET tokens as the platform’s internal currency will be used in every transaction occurring. The more agents, i.e. users that use the currency, the higher its value.

Initially, this demand will come from players on the BITBET platform. Before they can use the platform to place sports bets or add to the prize pool of casino games, they must first have the required BITBET tokens in their account. BITBET makes it easy for any user to exchange their existing cryptocurrencies for the platform’s native token. The user simply make a transaction at a PancakeSwap, receive automatically the amount converted to BITBET token, then user can connect his wallet with the platform, place his bet and approve transaction, no need to send funds, to have an account or to make any kind of deposit.

The process of buying tokens from DEX is necessary for various reasons. Most importantly, it ensures that there is sufficient liquidity (= supply of BITBET tokens) available for token holders and filling of the players’ demand for BITBET token to place bets or play casino on the BITBET platform. This in turn guarantees that the token’s quotations keep on increasing.

BITBET will make use of parts of these revenues in order to ensure and increase the token’s value. Through the tokens burning, the overall token supply will be reduced, thereby increasing the value of the BITBET token. The burning of tokens is done by sending them to a dead address for which no private key is available.

"The burning of tokens initially leads to a decrease in the total number of tokens offered on exchanges. Even with constant market demand, the price of the token is already increased. The higher the casino’s revenues, the more significant this burning process becomes. Higher revenues lead to stronger demand for tokens on exchanges, hence causing quotations to increase in dependence upon the platform’s development."

Taking an overall view, this means that there is a fixed correlation between all of the following factors: the exchange rate of the token, the accrued revenues of the BITBET platform, the number of platform users as well as the total volume of bets placed. The higher the platform’s revenues become, the higher the increase in the amount of tokens being burned, hence reducing the number of BITBET tokens in supply. The subsequent decrease in the total supply of BITBET tokens causes the value of the tokens to go up.