Before deciding to swap any cryptocurrency, it’s crucial to find out what is special about the chosen coin and what impact the decision might have on your finances. Not all cryptocurrencies are the same, so take time to learn every single detail about the asset you’re interested in! So, that is why we need to differentiate between POWR and PAXG.
This short article dwells on the main differences between PAXG and POWR, including those in their transaction speed, and reveals their pros and cons in the context of exchanging these coins online.
What Is POWR / Power Ledger and How Does It Work?
POWR token is another Ethereum-based crypto asset and the ‘fuel’ for a separate Power Ledger ecosystem. At the same time, POWR acts as a utility token for users to access the platform. The total number of tokens now makes 1 billion.
Power Ledger is a system running two tokens: POWR and Sparkz tokens. The latter represents the value of electricity around markets. For more on the coin and how it compares with PAXG, read about POWR and PAXG Ledger.
Is the POWR coin centralized?
Currently, all transactions involving this token are performed on non-regulated and decentralized marketplace platforms. There is no need for an exchange to act as an intermediary.
All POWR to Sparkz transactions can be made directly on the Power Ledger platform.
Is POWR coin mineable?
As far as it’s known, there is no way to mine new POWR tokens.
What about POWR’s liquidity?
The liquidity of this token is high, and it makes it available on a number of exchanges.
POWR’s Ownership & Fees
Not many exchange platforms offer to buy POWR. Yet, the ones that do can take different amounts of trading fees. For instance, Binance and Kucoin take 0.1%, Gate.io and Huobi take each 0.2%, whereas BitTrex goes for a whopping 0.75% trading fee.
Check very attentively, however, what trading pairs are available on exchanges. If centralized crypto exchanges don’t give the desired pairs, check out instant exchanges, such as cryptocurrency exchange online at LetsExchange, and you’ll find POWR to IDEX, POWR to AST, and nearly 10,000 other pairs.
There are also gas and withdrawal fees.
What Is PAXG / PAX Gold?
PAX Gold was launched in 2019, and from its name, we can see that the coin is supported by allocated gold. This makes it interesting, and more stable since the PAX’s price follows the current price of real gold.
The coin is issued in Ethereum’s ERC 20 protocol and is managed by the blockchain company Paxos. The firm also carries all responsibilities for the coin being kept safe.
Is the PAX Gold coin regulated?
Yes, and this offers extra protection. The New York State Department of Financial Services supervises this token.
Is PAXG mineable?
The PAXG, unlike other coins, can’t be produced or mined. The value of PAXG coins is tied to the corresponding amount of gold that the company owns.
What about PAXG’s liquidity?
The gold-based coin has high liquidity, so users can trade it at any crypto exchange supporting PAX Gold. Another plus is the futures contracts that allow the asset to be moved to practically any external cryptocurrency wallet for storage.
PAXG Fractional Ownership & Fees
Like many other cryptocurrencies, PAX can be split into smaller and less pricey units, with the cheapest unit currently being 0.01 PAXG. This is good news for any crypto newbie as it gives them a chance to invest in gold without actually buying gold.
In terms of fees, PAX Gold can be a bit disappointing: besides the coin residing on ETH’s blockchain (which includes a gas fee), the Paxos company charges 0.02% on every transaction along with the regular burning and minting fee. This one depends on trading volume.
A Final Say
With the main parameters being compared, we can claim that these two tokens are very different. Even though they both are built on Ethereum blockchain, support fractional ownership, and are quite electricity conscious compared to other cryptocurrencies, they have many differences.
