What is Token Incentive?

Token incentive is a reward mechanism launched by Bitly Exchange to encourage users to participate in limit order trading (to provide more liquidity). When you place limit orders on Bitly Exchange, you'll receive BTLY tokens as rewards, in addition to your regular trading profits. BTLY (Bitly Profit Sharing Token) is a special profit-sharing token that can not only be traded but also allows you to participate in the exchange’s profit distribution.

How to Earn $BTLY Incentives?

1. Place a Limit Order

• Select the market (trading pair) you want to trade
• Set your desired trading price and quantity, then submit the limit order
• The system will automatically record your incentive eligibility - no extra action needed
• Once successfully submitted, your order will enter the incentive calculation queue

2. Wait for Order Execution

• Incentives accumulate gradually as your order gets executed
• Factors affecting incentive amounts include:
  • Your trading volume (larger amounts mean higher incentive bases)
  • Time from order placement to execution (longer duration may result in more incentives)
  • Price when the limit order is placed (Closer to the current price may increase incentives)
• Here is how it is calculated (Note: this is not the exact logic in the contract, only a reference here):

distance = abs(limit_order_price - current_price) + 10;
amount = convert_to_quote_volume(order_amount)
duration = execution_block_number - limit_order_placed_block_number;
incentive_token = amount * duration / distance;

3. Claim Profits and Receive Incentives

• After your order is partially or fully executed, click
  claim
  button in
  My Opening Orders
  tab in trading page (or
  claim UPnL
  in
  Wallet
  page). See Bitly Exchange Doc.
• Meanwhile, your $BTLY incentive tokens will be automatically calculated by contract and distributed to your wallet with no separate action required

Additional Benefits of BTLY Tokens

Beyond being trading incentives, BTLY offers these features:

1. Profit Sharing: Holding $BTLY allows you to participate in Bitly profit distribution - As a BTLY holder, you have a chance to be randomly selected by the system (probability is based on the ratio of total supply of $BTLY) to get transaction fees. (Note: The probability is calculated based on the balance in the wallet. Tokens deposited into the exchange will not participate in the probability calculation, as the owner of the tokens is the exchange contract)
2. Transferability: Can be transferred between wallets like regular tokens, with profit-sharing shares automatically updated after transfer

Others

1. $BTLY contract address: 0xFF392d3f443b7B3752f9Cf0f40C3D263CB66cdCA
2. You can head to
   Wallet
   page and click
   Add to Metamask
   button to add the $BTLY token to your wallet.

1. The last version of exchange is migrated to url: https://v0.1.token.bitly.exchange. Please withdraw all your tokens from that and deposit them to the new one.