Ethereum has been one of the most loved cryptocurrencies and one of the most significant innovations in the crypto space, other than the Doge Coin (;)). Ethereum has the strongest ecosystem in the cryptocurrency world. Unfortunately, over time the gas prices have spiked up to comically ridiculous levels.
Deploying an intelligent contract sometimes costs around $1000–3000, which is super expensive. Also, the trading fees have had a parabolic rise as uniswap trades sometimes cost around $150-$200, which does not bother users with high volume trades, but for someone sending $100 or $200, it doesn’t make any sense to spend that much money.
Why did we launch EthanolX?
As trading and deploying fees are incredibly high on the ethereum blockchain, we wanted a way to create an incentive or refund mechanism which could decrease the amount of dollars spent over the ethereum network.
EthanolX is the second or upgraded version of Ethanol Token. Ethanol token was released in November 2020 and has distributed around 5–7 Million dollars in gas cashback to over 2000 users since the last six months.
Is EthanolX a gas token?
EthanolX is not a 100% gas refund token. This is because we can not do that on ethereum. But instead provides a way to refund some portion of gas fees by offering gas credits for trading or creating on ethereum.
How does it work? Does EthanolX refund your gas fees?
EthanolX gives you a 2% reward on your EthanolX holding every day. The rewards are sent to every holder — the reward pool powers rewards.
How does the reward pool work? What feeds the reward pool?
Every transaction is taxed at 8%. 2% goes to the reward pool, 2% to ethereum reward. 2% to LP injection, 2% to referral rewards.
We also have a contract function to mint and burn the tokens depending on the total number of tokens in the reward pool. Thus, the reward pool will always have an endless number of tokens in it. Whenever the reward pool is less than the constant number, it will mint new tokens, and upon being surplus, it will burn the tokens.
Will EthanolX only work if new users join the network? Is this a ponzi?
EthanolX is an experimental project. The project aims to provide a reward or cashback to users who are trading on the ethereum chain. This is the best solution to offer some cashback to the users. The gas credits are on-chain and decentralized. It will work forever until we have liquidity. 2% of each transaction goes into the liquidity pool, which helps to keep it healthy.
The Ethanol team is working on updating the project with more innovative features.