BREAKING DOWN BINANCE - WHAT IS BINANCE LAUNCHPAD? HOW TO USE IT IN MAKING MASSIVE INVESTMENT PROFIT

Binance is the world’s largest Bitcoin exchange in terms of trading volume and is reportedly the fastest-growing profitable unicorn start-up in history. However, there is much more to the ecosystem than just the exchange. There have been several very successful projects that have launched their initial token issuance through the Binance Launchpad. With each launch, more projects are attracting the eyes of investors.

What Is Binance Launchpad?

According to Binance, the Launchpad is “a significant part of our holistic support when it comes to supporting blockchain startups”. When a project is accepted within the Launchpad, the project has the backing of the world’s largest crypto exchange offering the initial issuing of its tokens. Issuance is based on a similar and improved version to the previously hyped-ICO (initial coin offering) model. This time, however, and most significantly for investors, Binance Launchpad must evaluate and approve a project before its listing. Binance refers to this as its IEO model (initial exchange offering). Applications are open to submit a project to Binance Launchpad now for any developer or project manager looking for the largest token issuance service in crypto.

How To Access Binance Launchpad For Projects
For anyone interested in participating in the Binance Launchpad, there’s a link for an application at the top of the Launchpad landing page. An external form will appear to complete company and project details, alongside personal contact information. If you decide to apply, make sure to have all documents to hand and at least an hour of your time free.

Before a project can be confirmed and transitioned to the Binance Launchpad, the project is subject to thorough investigations. These include the business and token economic models, auditing, alongside a brief history of the development and project team. These are key elements Binance looks for in a project before it can be listed. Ensuring the project is at a relatively mature stage of development, and offers a scalable infrastructure are some points to consider. Additionally, Binance favors projects that will offer genuine utility and benefit to the wider crypto community.

If a project is successful through the selection process, it will then be featured on the Binance Launchpad. This exposes the project to all users within the Binance ecosystem to check out for potential investment.

How To Access Binance Launchpad For Users
For the users of the Binance platforms that wish to partake in IEOs, the process is simple. Firstly, you will need to sign up and create an account with Binance and complete the KYC (Know Your Customer) procedures before being able to enter. Secondly, to participate in IEOs requires holding at least 100 BNB tokens in your account.

Binance Launchpad Lottery
The Binance Launchpad lottery is a popular form of token distribution. Originally, project tokens were available on a first-come-first-served basis through the Launchpad. In light of fairness and a growing user base, Binance updated the token distribution to a lottery format which can be seen below. Once a new IEO is announced, a snapshot is taken of BNB holdings over a set period. The period varies according to each sale.

Immediately following the BNB holding period, a ‘claim tickets’ button will appear for 24 hours for users to confirm their lottery tickets. After this, the lottery will occur and the winners will automatically allow users to become participants of the IEO in exchange for their BNB tokens. All of this happens swiftly and smoothly, offering a seamless user experience for investing in up-and-coming projects.

BNB Token Hodlers
Any Binance user that has BNB tokens in their Binance account will be eligible for occasional airdrops for token promotions. These are usually tokens from projects in partnership with the Binance ecosystem, such as Swipe’s SXP token. SXP tokens were airdropped to BNB holders relative to the amount of BNB held. The addition of tokens into user’s accounts happens automatically.

Airdrops such as this are not guaranteed, nor do they occur on a regular basis. Binance also offers airdrops for users holding any partnered tokens alongside BNB. For example, in 2018 having BNB and NEO in your Binance account entitled you to both ONT and BCPT token airdrops. Users can choose to hodl their newly-found tokens, or to sell them back for BNB or other desired crypto might they prefer.

Successful Binance Launchpad Projects
BitTorrent, a peer-to-peer file sharing platform was the first project to be released on Binance launchpad. The sale was a success raising $7.2 million in under 15 minutes. Following this was the launch of Fetch.AI. An event that went down in crypto history - raising $6 million in a mere 10 seconds.

Even though the part where you take money from ICO buyers is relatively simple, there is much more to the entire process. Most projects looking to enter the space will require some guidance and a platform to jump off of, especially in today’s age where crypto investors are much smarter/careful (at least on average) and regulators are paying much more attention. Binance noticed this specific market need and decided to try and help fulfill it with its Launchpad initiative.

Binance describes its Launchpad initiative as a “token launch platform for transformative projects”. This simply means that the platform is focused on providing blockchain start-ups with the knowledge, networking and the “kick in the butt” required to raise funds via an ICO.

New projects in any industry are very vulnerable and lack proper direction, resources, and promotion; ultimately the idea you are trying to finance could be amazing but the whole thing will amount to nothing without quality support.

What Is Binance?

Binance is the historic crypto unicorn that has continued to grow, adding more products and expanding geographically. Thus, Binance has created a whole ecosystem of crypto services. Their mission is to be the chosen infrastructure for services within the DeFi industry. With a vision to “increase the freedom of money globally”, it’s no wonder the Binance platforms have performed so well.

Binance covers a huge demographic, offering services in both English and Chinese languages, with international translator positions currently being recruited. This is just one of the many careers in crypto you could apply for.

Binance Chain & Binance Smart Chain

The Binance Chain was created to host the BNB token and facilitate the transactions on the Binance DEX (explained below). To achieve maximum scalability and prevent congestion of users on Ethereum, Binance Chain does not facilitate smart contracts.

Binance decided to scale by innovatively creating a Binance Smart Chain running in parallel with the Binance Chain. Binance Smart Chain is a smart contract-friendly platform where developers can build dApps and cryptocurrencies.

Developers have the opportunity of using the EVM (Ethereum Virtual Machine) compatible blockchain for high performance. Also, this results in lower fees than Ethereum. The mainnet offers BNB staking and cross-chain DeFi tools available for devs.

BNB Token
The BNB token is the gas for the Binance Ecosystem and provides key roles and functions within its infrastructure. Additionally, holding the BNB token in your Binance account allows you to use this token for exchange fees. Doing so offers a 50% discount compared to regular trading fees in the first year of hodling.

Furthermore, as we’ll explain later on, BNB token hodlers are entitled to token airdrops and early access to coin offerings through the Binance Launchpad. It’s really simple and easy. Previous airdrop tokens have historically proven to be a profitable hold. The BNB token is currently valued at just over $30 at the time of writing. There is a lot of hype around the BNB token leading into 2021, with some price predictions suggesting a Binance Coin price of over $60.

The Launchpad provides exactly the resources a new project needs. It gives the project a chance to present their idea in front of 10 million Binance users and potential investors. Binance claims that the process of selecting which projects get to use the Launchpad is very rigorous, but they don’t really specify what they mean by that. Some of the factors they consider are the most important are:

Relative maturity of the project development
Readiness for large-scale adoption
A strong and committed team
Potential to benefit the growth and development of the wider crypto ecosystem
That being said, Binance does compile a detailed review for each project listed/launched on their bootstrapping platform. These reviews give the exchange’s 10 million users a chance to learn why exactly a certain project is being backed by the Launchpad infrastructure; they can also help users determine if they ultimately want to invest a part of their own holdings into the reviewed project.

BitTorrent is a peer-to-peer file sharing mainstay whose transition into the world of blockchain wasn’t surprising, considering it was recently purchased by TRON’s Justin Sun for $140 million. The project looks to expose its 100 million active monthly users to cryptocurrency by launching a native BTT token that will be used to purchase on-platform services and better packages.

BitTorrent’s token sale was extremely invasively promoted by both Binance and the god of blockchain marketers himself, Justin Sun (BTT is created on Justin’s TRON blockchain). Their activities paid off significantly as the project garnered a huge amount of hype.

The entire ICO supply of 59 billion tokens ended up getting sold in mere 20 minutes and the sale even caused the exchange to experience minor technical difficulties. Apparently this process would have ended in seconds were it not for the aforementioned glitches.

BTT token is currently one of the best performing cryptocurrencies on the market, as it recorded an almost 600% increase in price since its January 28th ICO. Binance will be staying true to their supporting role with BTT, promising to take part in all the upcoming airdrops of this token.

The next in line for Binance will be Fetch.AI, a project marketing itself as “decentralized digital representation of the world in which autonomous software agents perform useful economic work.”

The Fetch.AI project is a combination of blockchain and artificial intelligence. This project wants to deliver data or provide services using “smart ledger technology” in exchange for Fetch Tokens, the network’s native cryptocurrency. Its creators see use cases for their tokens in hospitality, transportation, energy, and supply chain sectors.

Fetch.AI’s token sale is expected to kick off on February 25th; you can check out all the relevant details on the project’s Binance Launchpad official page.

Binance Launchpad will look to nurture both of these projects and help them grow into important players in the world of cryptocurrency. Besides offering token launch help, Binance promises full advisory support; this allows the projects to focus their efforts entirely on developing their blockchain-backed idea. Changpeng Zhao, the CEO of Binance, recently communicated that his team is actively looking into helping launch even more projects in the future.

Binance Launchpad: How to use it

We start with the basics. Login into your Binance account. Don’t you have one? Well, just get one. The initial process doesn’t even take three minutes; it’s effortless and direct (afterward you will need to prove your identity, but more on that later).

So now we’re in. Find the menu’s top left of the menu and click “Binance Launchpad”. The option will show as part of a drop-down.

The Home Screen

You’ll arrive at the platform’s home screen. There, dead center, you’ll see the featured projects at the launch pad. Each project’s status is carefully described to provide a full understanding of each project’s situation.

The projects on the left are about to start selling tokens, and you can find an abstract detailing the launch’s primary information. Among other pieces of data, you’ll find the number of tokens scheduled to be sold during the session, as well as the starting time.

Each project has a dedicated page within the platform, and you can see it by just choosing the project that interests you and click on it. There you’ll find the project’s information in full detail.

If you’re following us while using your Binance account so far, you’ll see that the general information about the project’s IEO event is at the top and it includes the following information: price, start time, session supply, starting date and hour. And there’s the “Buy Now” button. As we write this, that button didn’t work because the sale had not started yet, but it will be active when the time comes.

Requirements

Then, below, there’s the requirements tab. If you want to join in the token sale, you have to complete all the requirements mentioned in the tab. Each project has a different set of conditions, but a fairly common requirement is to comply with the platform’s general verification process. It takes four steps:
Type in your personal information.
Once your personal information is complete, you’ll need to provide a picture of your ID. This is not as cumbersome as it sounds at first. It’s actually a quick process. Your laptop has a camera that can take pictures, but it’s a better idea to make the required picture using your smartphone’s camera. That’s because it’s essential for the text in your ID to be very clear and readable. That makes things move forward more quickly, and it will save you the hassle of repeating this second step because of a bad quality picture.
The next step is about facial information. It’s not precisely about facial recognition, but about proving that your face matches your ID, that you’re the guy active right now on your account. Binance is meticulous, to say the least. You have to submit a picture of your face. The photo must include the date as well, and also the word “Binance” next to your face. This can indeed be done with your laptop’s camera, just make sure that the date and the legend “Binance” is obvious and readable. This is a standard step in most websites in which real money moves in and out of the platform.
You’re done. Almost. The next step is just to wait a bit of time for the Binance team to contact you and tell you that you are indeed approved, or, to let you know that something went wrong and you have to repeat one of the three steps.
An important bit of information: not every user from every country can participate in the event. You need to know if users from your country are allowed and you’ll find that out at the requirements tab as well.

Project Information

You should always familiarize yourself with the full information of any project that catches your eye. Any responsible investment needs in-depth research before you put any of your hard-earned money into it.

All the information you need is either in the requirements tab or in the project’s dedicated page, and you should make sure you’ve read it all, analyzed it all, and understood it all. Pros, cons, potential advantages and challenges, use cases for the new tokens, etc. We strongly suggest that you don’t go in lightly. There’s no excuse. Binance makes sure you can find out everything you need to know to make a good decision.

If you, however, consider that you still don’t have all the information you need, there’s good news. Binance has built a research center in which they carry out very detailed reviews for each of the projects listed. Is reading a full report too much information to decide? We don’t think so. On the contrary, knowledge is power, and we’re talking about your money here, so any amount of research is justified.

And that’s it, pretty much. There’s nothing more to it. Once you’ve assimilated the information you need to decide, you are all set to invest in the Binance Launchpad for the first time.

If you comply with the requirements, then just make sure you know when the sale will begin and be prepared to be online and join in as it happens.

One thing you need to take into account is that you can’t use fiat currencies to transact at Binance. The exchange is crypto to crypto which means that you need to own digital assets beforehand (bought elsewhere, with your local legal tender), then transfer them to your Binance account, and in the case of IEOs, you also need to know what coins will be accepted.

Every project will sell its new tokens only in exchange for some specific coins, and if you’re going to participate in time, you need to know what tokens are those, and, more importantly, you need to own some of them in advance.

That’s how all the launches have happened during the year with one exception. The BTT (BitTorrent token) token thing used only BNB and TRX (Tron’s Tronix currency). Which is why that launch was essentially two sessions occurring at the same time.

As we wrote in the previous paragraphs, the “Buy Now” button won’t be active until the sale begins. When it becomes alive, it will allow you to buy the number of tokens of your choice using the session’s selected token.

So let’s say the button is alive and you click on it. What happens next?

You’ll see a small box. In this box, you define the number of new tokens you want to buy. On the top of the box, you’ll see your BNB (or the token relevant to the sale). Under, you’ll find the maximum number of coins you can buy based on your cap. At the bottom of the box, you’ll need to provide a verification code. Last, you submit your request for the Binance Launchpad token sale.

The request will get you assigned to the tokens’ sale queue. This is not the time to refresh or leave the page. Be patient and wait for things to happen. Once the token sale is finished, you’ll be told. The Binance team will let you know if your luck was kind enough to get in the sale or not. If you did, the new tokens would be shown in your balance. If you didn’t then your balance remains precisely as it was before you sent the request.