Benefits of token swap?

[Istiak]

I saw recent year many tokens migrate from one blockchain to another. I am not sure why they do that and how much it cost them to do that? And is that profitable for the company?

[Luckyperson21]

they do that because they really want to run on their own platform. Or is there a better platform. There are many tokens from the ETH platform moving to the XLM Platform.

I saw recent year many tokens migrate from one blockchain to another. I am not sure why they do that

For this, you should ask the team. Or you should not need to think about this.

how much it cost them to do that? And is that profitable for the company?

[alstevenson]

Based on a investors perspective, its just a waste of time. But on the team's perspective its a win-win situation, for example they are migrating to binance chain. Its because they want to get listed on binance dex and binance cex at the same time or it is because of the trend as wel.

[trauchot]

Unfortunately, there are a lot of such companies, at first many companies launch their token on one blockchain, and then either create their own blockchain or switch to another well-known blockchain for various reasons, for example, fewer companies use eos blockchain and more and more companies want to create their own tokens on ethereum blockhain.

[masterrex]

I saw recent year many tokens migrate from one blockchain to another. I am not sure why they do that and how much it cost them to do that? And is that profitable for the company?

I think the most common reason is they only want to ride the hype of the said Blockchain or Network! for example when Binance chain was launched their DEX many projects were leave in the Ethereum Network and transfer to the Binance chain   for that reason most of them think that if they join the Binance chain they will have a chance to list their coins/tokens in the main Binance exchange that's what i thought.

[LogiC]

Everyone has their own dream I think. Before eos or tron have their own chain. They are just relying to eth network to run their platform. No profits but they wanted to gain names and own product. That's why those who rely on eth network are indebted to ethereum forever whatever or how far those projects goes. They can't say they are the one who started it all. For me eth network will be forever the true smart contract and tokenization king and no one will ever beat that.

[Jaguar]

They act according to what they think right.
Swap is included to alternative plans if ever the wind doesn't goes well. Team management is the responsible to do it at the perfect time to anticipate the possibility of bankruptcy. Profit matters than bankruptcy.

[Zemytha]

If there is better why not. Swap has been done by almost all projects, such as Bitzon from erc20 to XLM. Volentix from erc20 to EOS and others. I do not understand how much it costs. What is certainly not too big because they already understand how the erc20 platform works. So the next is not difficult.

[Zed0X]

~ how much it cost them to do that? And is that profitable for the company?

The possible reasons for swapping were already mentioned in the previous comments so I am just going to focus on these two.

1. It doesn't really cost the company that much to migrate to mainnet or to another blockchain. Oftentimes, they let the token holders pay for it. In the case of many erc-20 projects for example, they would require the holders to have a minimum amount of eth in their wallet before the swap can happen.

2. Migration could have a temporary effect such as price pumps but only time can tell if they made the right decision.

[owmivmen]

Depending on what platform is good and stable at the time An example that I experienced when I participated in the ico project last year. The project swaps to change the platform used for their token.  Examples such as ERC 20 are swapped using a Stellar or EOS platform. Many do this, in addition to improving the quality of tokens and providing other facilities to transact according to the market.

[Prime]

I think who deserves to answer this question is the developers or the teams of crypto projects. They must know well about this because they are familiar to do this thing. However, in my view, this can not give significant influences on the tokens. Maybe just follow the hype or to make a bit lower transaction fees.

[sturec22]

There is no cost for the token swap to the company. So it does not effect the company budget. Also the developers want to change the platform for more security or coding opportunities. For us I do not think that there is too much benefit. In bull market times it is valuable because all of the news pump the markets, so it makes sense at those times.

[zendicator]

There are many reasons of token swap. Somenof it is when the token has been hacked by the hackers. They will swap in order to nullify the value of the token and token swap because they are migrating to their own chain.

[Paha87]

It happens that project managers see the advantages of the new blockchain and the prospect of working on it is much greater than on the current one. Each team has its own experts and each thinks as profitable for the project. It's not about money, it's about the quality of the future product and this is well understood by the project organizers, so they move to another blockchain.

[Ta.Form]

I don't really understand why they want to swap. In fact, they change the price that was high to low. Is it because of the change in the token that we have received? I do not agree with Swap, the number of tokens we become more and drive the price down.