ElonGate is the latest entry in the Smart Chain world of Binance. The transaction fees are considerably cheaper than the fees charged for Ethereum. It provides better accessibility to retail investors.
Because of the low entry fee, ElonGate is riding a new wave along with several other newly emerging cryptocurrencies.
The exponential increase in value is occurring without competitive values or true products, in comparison to existing cryptocurrencies.
This BEP-20 token on Binance Smart Chain bears resemblance to the ERC-20 token you get on Ethereum. The difference is that ElonGate uses Binance Smart Chain instead of the Ethereum network.
It works out cheaper than Ethereum for investors with limited capital to invest.
We can attribute the considerably lower fees on Elongate to the unique way that Binance Smart Chain secures its blockchain through its unique “proof-of-stake” model.
However, you may pay the price for this efficiency in other ways. Binance has control over numerous network validators, as it is more centralized than Ethereum.
Coming to Tokenomics, (token economics), Binance shares similarities with other Binance Smart Chain Tokens such as SafeMoon.
Both ElonGate and SafeMoon have astronomically-high circulation, with SafeMoon at 640 trillion tokens and 600 trillion for ElonGate. The number of tokens already burned stands at 400 trillion.
The abundant supply of ElonGate keeps the price in check, as it continues to have a multi-million-dollar market cap. It results in a deflationary situation when investors burn as investors sell out by burning tokens.
A percentage of the fees go to charity and the investor can donate to a charity of their choice.
How to Buy ElonGate
You can buy ElonGate by following the simple steps as outlined below:
Open a Binance Online Account
You’ll need to have a Binance account if you want to buy ElonGate or similar BEP-20 tokens. It takes a few days to open a Binance account for residents of the United States.
Users outside the United States can open an account within a few minutes.
After registering for a Binance account, you have to purchase BNB tokens. You should buy enough BNB tokens to buy the requisite number of ElonGate.
You would also have to install PancakeSwap for this process.
Download a Software Wallet
The trading platform you need to use is PancakeSwap. But you need a software wallet to start using PancakeSwap. Two reliable software wallets are MetaMask and Trust Wallet.
You can download Trust Wallet on iOS and Android. MetaMask is available on the Google Chrome Store.
The advantage of MetaMask is that it comes as a Chrome extension. It makes accessibility super easy.
Configure Your Wallet for Binance Smart Chain
Once you download MetaMask, it defaults to Ethereum’s network. You need to configure it to work with the Binance Smart chain. Follow these steps:
- At the top of your wallet’s home screen, click on the button that says “Ethereum Mainnet.”
- Now, navigate to “Custom RPC” and key in the following:
- Network name: Binance Smart Chain
- New RPC URL: https://bsc-dataseed1.binance.org:443
- ChainID: 56
- Symbol: BNB
- Block Explorer: https://explorer.binance.org/smart
- Entering this information connects you to Binance Smart Chain.
Now you can add BNB tokens to your MetaMask Wallet, and you can use PancakeSwap to begin trading.
How to Buy ElonGate Tokens
The process of buying tokens through PancakeSwap is much simpler than configuring your MetaMask Wallet as described above.
You can buy various tokens by entering their names in the search bar. For example, for ElonGate, you will enter the name of this token in the relevant field.
On PancakeSwap, the Automated Market Maker (AMM) pulls up the price of your requested number of ElonGate tokens. You make the payment and your ElonGate tokens get added to your wallet.
Under normal circumstances, the slippage rate for ElonGate is not much. However, you may experience high slippage rates if you are dealing with high values. (The slippage rate alludes to the difference in the value of two investments.)
You can also set a pre-determined maximum slippage rate on PancakeSwap.
Trading, Selling and Converting with ElonGate
ElonGate token belongs to Binance Smart Chain, so you can only use it on PancakeSwap. If you want to sell your ElonGate Tokens, you will have to use PancakeSwap DEX to do so.
The procedure is to trade ElonGate for BNB. The BNB tokens can then be converted into USD.
So, your final question is probably: “What can we expect from ElonGate?” 2021 was a great year for cryptocurrencies.
Bitcoin appreciated at almost 100% and Ethereum reported about 400% returns.
There were even higher, face-melting returns reported by smaller altcoins. But with small market cap coins like Elongate, there is still quite a considerable extent of risk involved.
ElonGate doesn’t have a product. It offers no unique benefits to its users. ElonGate admits to having no “real-world use cases.”
Although you will find a roadmap on the ElonGate website, the final stage of development for real-world use cases has yet to be clearly defined.
However, consider that Bitcoin is just about 12 years old and other cryptocurrencies are even younger. Users started with similar ambiguities, but today, look at the position of such cryptocurrencies.
The best course of action for users investing in ElonGate is probably to sit it out and reap the harvest if and when it comes of age.