What is the LSK token?
Each blockchain needs its own cryptocurrency to provide the economic incentive to secure it’s ledger. They act as a store of value, and can be used to perform important functions in governance. For Lisk, this token is LSK, the native currency of the network.
Utility of the LSK token
The main use of the LSK token is for utility within the Lisk Network. This utility includes the following:
- Balance Transfers
- Registering a multi-signature wallet
- Creating a custom name within the Lisk blockchain
In the future, more functionality will be added to the LSK token – for example, it’ll be used as a main medium of exchange within the entire Lisk Network. As more and more developers are looking to Lisk as a way of exploring blockchain solutions, this will increase the value of the token as the demand for it will increase.
The value of the LSK token
The value of LSK comes from its necessity while on chain. This is defined by:
- General utility (such as governance and transactions);
- Strong foundations of Lisk (LSK tokens are bought and sold frequently);
- Future use in blockchain apps (the more apps created on Lisk, the stronger LSK becomes);
- Great community (as more users come into the network, the more valuable the token will become).
Buying LSK token
There are various reputable exchanges that sell LSK tokens, of which the largest is Binance and Binance U.S. You can also find LSK available on others such as Crypto.com, KuCoin, Kraken. For more information on the LSK tokens and where you can acquire them, check our other Learn Lisk segments to find all the exchanges where you can purchase LSK.
How to Acquire LSK Tokens
The Lisk team often holds competitions and giveaways for contributing members. With a receiving Lisk Wallet, you can join Lisk on our Twitter, Discord, and other socials for the chance to get some LSK for yourself. Though this is a great benefit to becoming an active part of the Lisk community, if you want even more LSK, buying on a CEX makes more sense.