Binance Launchpad: Everything You Need to Know
Are you a crypto investor? Try Binance Launchpad today to find the latest tokens in the market to buy safely from the most trusted exchange.
The Binance Launchpad platform has been active since January 2019, and since then it has been the source of numerous successful crypto projects. Some of the notable token launches through the Binance launchpad project include MATIC, AXS, SAND, and many more. By providing a seamless user experience, Binance has managed to create perhaps the best token launch platform, and you can now take advantage of it to increase your performance.
Despite the success of numerous launchpad projects, a lot of Binance users may not understand how to use it or make the most out of it. But considering that it’s advertised as a guaranteed way to generate 10x ROI or more, you should definitely learn how to use it to buy tokens from blockchain startups with a lot of potential. So if you’re still wondering, what is Binance Launchpad, you have come to the right place.
Disclaimer. Not financial advice. Do your own research. Participating in a launchpad projects does not guarantee a high return and can lead to losing money. Don't risk funds you can't afford to lose.
What Is Binance Launchpad?
Binance Launchpad is a platform created by Binance - the world’s top crypto exchange by trading volume. It allows crypto investors to participate in Initial Exchange Offerings (IEOs) where new project tokens are offered. IEOs are similar to Initial Coin Offerings (ICOs) which were once very popular in 2021 as they allowed crypto startups to raise money from individual investors. IEOs, however, are held by a crypto exchange such as Binance in this case providing a one-stop platform where multiple project tokens can be accessed at once.
Binance is particularly very well suited for this purpose since it is the world’s largest Bitcoin and crypto exchange. Some estimates suggest that Binance had 128 million registered users by the end of 2022 and it is thus able to leverage this popularity to attract blockchain startups with the highest pedigree. Some of the most successful projects to come out of the launchpad include Axie Infinity (AXS), Polygon (MATIC), The Sandbox (SAND), and many more.
Source and Copyright © Binance Reddit
The above image is just a snapshot of the top performing tokens launched through Binance Launchpad, but there are 70 projects in total that originated from the platform. This number may seem small given that the launchpad has been around for more than 4 years, but there’s a very good reason for this. Binance carefully screens any project raising funds on the platform and many of them don’t make the cut. To get an idea of how this process works, let’s see how the Binance Launchpad works.
How Does the Binance Launchpad Work?
In order to maintain its reputation and protect the interests of the investors, Binance is very careful about which crypto projects are listed on the launchpad, and it begins with the application process by the project creators.
How Does a Project Launch in the Binance Launchpad?
Blockchain startups first apply to the Binance Launchpad by submitting all the project details. It must achieve the Binance standard to qualify for listing, where it must pass various criteria including:
- Project whitepaper. This provides specific details about the project such as tokenomics to determine if it is viable and achievable
- Project idea. A project must have genuine utilities in the real world, a scalable infrastructure, and the market potential to prevent the launch of worthless tokens
- Team information. Crypto scams and rug pulls are prevalent because their creators are often anonymous. A strong, recognized team, on the other hand, improves the chances of its success while preventing fraud.
These are just some of the factors Binance considers in every IEO application, with many more that are taken into account during the screening and auditing process. Because Binance has an experienced team of experts, it is able to perform an in-depth analysis of each application to weed out any that don’t meet the Binance standard. And only after this standard is reached does the crypto project become listed on the launchpad for you and other investors to participate in the IEO.
What Is the Launchpad Lottery?
When Binance Launchpad was first launched, investors were selected on a first-come-first-served basis. However, this model was changed into the Launchpad Lottery system to reward loyal Binance users by awarding them higher odds instead of allowing a few investors to swoop in at the last minute and gobble up most of the available tokens on sale.
To understand how it works, you first need to know that you need BNB tokens to buy new tokens listed on the Launchpad. You then lock up your BNB tokens for the specified period which varies depending on the project’s specifications, which can be up to 20 days. During this time, you won’t be able to withdraw, transfer, or trade with your BNB tokens until the IEO is over.
Meanwhile, your BNB balance will be recorded each day at 0:00 AM (UTC) and then the average is calculated to determine the Daily Average BNB Balance. This average will dictate how many lottery tickets you receive with higher BNB balances receiving more lottery tickets. Finally, 24 hours before the lottery date, you’re asked to select how many lottery tickets you wish to enter. Binance will then randomly select which lottery tickets win and a user’s BNB balance is deducted from their account if they win the lottery.
Source and Copyright © Binance
A recent example of a crypto project that underwent the Launchpad Lottery is Space ID (ID). Interested investors had to lock in BNB for five days with a maximum investment amount of $15k (600,000 ID). This was done to prevent a few users from acquiring too many ID tokens while giving every user an equal opportunity to become a holder of the promising token(s).
What Are the Benefits to the Investors?
As an investor, the main benefit of using Binance Launchpad is the security the platform provides. We have already discussed how launchpad projects are subjected to scrutiny by the Binance team, which is meant to establish its viability. A lot of individual investors don’t know how to assess a crypto project because it’s frankly a lot of work.
From lengthy whitepapers to conflicting opinions and misinformation on social platforms, even experienced investors and traders can still become victims of fraud. Fortunately, Binance does all the heavy lifting on your behalf thanks to its team of experts who can perform an in-depth assessment of individual blockchain projects.
Another advantage is the ease of investment since you can find multiple token launches on the same platform. Without it, you would have to visit various platforms and perform your own analysis of each, which is very tedious. Binance Launchpad brings together the most promising IEOs you can invest in using the same account you probably already use for all your other crypto needs. And as we have seen, the Launchpad Lottery also ensures fair chances for everyone regardless of your capital.
Risks of Participating in Launchpads
Perhaps the main downside to using Binance Launchpad is that you are likely to miss some high potential startup projects. While the Binance screening process keeps out substandard projects, it may also turn away projects with high potential due to the high barriers to entry. Just because a token offering doesn’t meet all requirements does not mean that it’s not worth investing in, so you may miss some opportunities by relying on the launchpad.
Another one could be a lack of access due to stringent government regulations. For instance, Binance is not available in Canada and several US states, where it is also being sued by the CFTC for illegally serving US residents. Such restrictions could mean that some users don’t get to enjoy Binance Launchpad, giving the rest an unfair advantage compared to an ICO that is accessible by everyone.
How Can I Participate in the Binance Launchpad?
Like the rest of the Binance ecosystem, the Launchpad has been created to be easily accessible and participation open to everyone. In fact, all you need to get started is a Binance account and you’re good to go.
Step 1: Log In to Your Binance Account
If you already have a Binance account, go to the Binance website and log in using your credentials either on your desktop computer or mobile phone.
Source and Copyright © Binance (this one and the following)
For those who may not have a Binance account, you can quickly set one up by entering your email address and verifying it using the verification code. Afterwards, you will also need to verify your account details by providing personal information and uploading documents to prove it.
Step 2: Go to Launchpad
After logging into your account, hover your mouse over the Earn option in the top menu bar and click on Launchpad from the drop-down menu that appears.
At the time of publication, there are no active IEOs on Binance Launchpad, but you should be able to see which ones you can invest in here.
Step 3: Fund your account
When you find a startup project you want to invest in, you will need to have BNB tokens for the Launchpad Lottery. The number of tokens will be indicated in the project details and you will need to reach this threshold to participate.
You can buy BNB directly by fiat using bank transfers or credit/debit card, or receive BNB into your account from another crypto wallet.
Step 4: Commit BNB
Go back to the Binance Launchpad and find a project you wish to invest in. Commit the required minimum to the launchpad up to the acceptable maximum and choose the investment period and wait.
Source and Copyright © Publish0x (this and next one)
Step 5: Confirm Allocation
After the final token distribution is calculated, confirm the details and wait for the Launchpad Lottery to determine how many new tokens you shall receive.
Successful Binance Launchpad Projects
As mentioned before, Binance Launchpad has brought us 70 new blockchain projects and an equivalent number of new tokens. Here are the top 3 projects you should know about based on the ROI generated since they were launched:
Polygon (MATIC)
This is a Layer-2 scaling solution that aims to make the Ethereum blockchain more efficient by handling transactions on a separate Ethereum-compatible blockchain. Because of its appeal to developers, it has become very valuable and the MATIC native token is ranked #9 with a market cap of over $8.5 billion at the time of publication.
In fact, MATIC reached an all-time high (ATH) of $2.71 in December 2021 achieving a ROI of 1,104x, although it currently has an all-time ROI of 328x. It was among the first IEO on Binance Launchpad and continues to be the best performing launch on the platform and shows no signs of slowing as Ethereum still needs such scaling solutions.
Axie Infinity (AXS)
Blockchain gaming was valued at $4.83 billion in 2022 with projections estimating it will be valued at over $65 billion by 2027. Axie Infinity has become one of the most popular crypto gaming platforms through its play-to-earn (P2E) model that rewards players for doing what they enjoy using the platform’s native token, AXS.
AXS has also been very successful with an all-time ROI of 66x and reaching a 1,645x ROI at its all-time high valuation. The game had been so popular and rewarding that, at one point, players would quit their jobs to breed, raise, trade, and battle the game’s NFTs called Axies. As more players try out blockchain games, the value of AXS should continue to rise and reward investors.
The Sandbox (SAND)
Known for its virtual worlds, The Sandbox is one of the leading metaverse projects besides Decentraland. The platform experienced a slump in user numbers during the 2022 crypto winter but there is hope of a rebound. It currently has an all-time ROI of 58.5x and reached an all-time high ROI of over 1,000 in December 2021.
SAND is the native token of the platform and is used to purchase virtual land other NFTs, so it’s an essential component of the platform. It’s currently ranked #46 on CoinMarketCap and is already up 34% year-to-date (YTD), so it should be on the way to recovery. This is yet another success story originating from the Binance Launchpad and it certainly won’t be the last.
Source and Copyright © Binance Feed
What Are the Next Binance Launchpad Projects?
Three new crypto projects have been released through Binance Launchpad so far this year:
- Space ID (ID) (17 - 22 March) - 18.91x ROI
- Open Campus (EDU) (23 - 28 April) - 24.20x ROI
- Radiant Capital (RDNT) 31 March - 9 May)
Unfortunately, Binance doesn’t announce upcoming Launchpad projects ahead of time so there is no way of anticipating which one(s) will be listed. Therefore, you simply have to keep an eye on the Binance Launchpad for any new projects to invest in. Or subscribe to the Binance newsletter to receive email updates of any new projects.
