XCP

Counterparty is a pioneering platform that extends Bitcoins functionality by enabling advanced features like user-created assets, smart contracts, and decentralized exchanges. It operates directly on the Bitcoin blockchain, leveraging its security while introducing new capabilities through its own protocol.

The native token of Counterparty, XCP, is used within the ecosystem to create new assets, execute smart contracts, and fuel other operations that require the use of the platform's unique features. XCP was created through a process called “proof of burn,” where Bitcoin was intentionally sent to an unspendable address in exchange for XCP, ensuring a fair and transparent distribution.

Counterparty aims to enhance the utility of Bitcoin by providing additional layers of functionality that support innovative applications and financial instruments. This approach not only broadens Bitcoins use cases but also fosters a more versatile and robust digital economy.