In this post, I will explain how to earn rewards with Binance Launchpad – the platform for launching new tokens by Binance. If you are new to cryptocurrency or want to broaden your portfolio, Launchpad provides access to invaluable projects at an early stage.
With BNB held and committed, users stand the chance of obtaining newly launched tokens which they can later sell at a profit.
What is Binance Launchpad?
Binance Launchpad is the Binance platform’s token launch pad that helps customers access early-stage crypto projects. Users are able to participate in new tokens by spending BNB during a new token sale.
Offered through a fair bidding process, users get an allocation of the new token proportional to the amount of BNB they spend. Binance Launchpad has aided several successful blockchain startups where early adopters were able to reap rewards.
Supports cryptocurrency projects vetted on Binances’s KYC compliant users who have and will hold BNB at the time of snapshot, only during the eligibility holding period.
How To Earn Rewards With Binance Launchpad
Example: How To Earn Rewards With Binance Launchpad Using SEI Token Launch As Example
We’ll review how participants earned rewards during the SEI token launch on Binance Launchpad:
Step 1: Project Announcement
As always, we start with an announcement from Binance. The SEI token launch was located on their official page as all announcements. It covered:
- Total token supply
- Number of tokens allocated to Launchpad
- Timeline for BNB snapshot, subscription, and distribution
Step 2: BNB Holding Snapshot Period
For five days straight, Binance performed hourly snapshots of users’ BNB balances so they could track changes in balance across different periods.
Let’s consider the following scenario.
Assuming you held an average of 20 BNB, then you were eligible to commit that amount.
Step 3: BNB Commitment
There is usually a short breakout after subscriptions (a few hours). The same happened this time too – this means users can now Shoulder their commited amounts including whatever else instantly in case it has averaged above what соmmitment snapshot level stayed at.
Example:
- Your committed investment was 20 BNB
- The total user commitment across all Binance users was 8 million BNB
- An additional 300 million SEI tokens were issued.
Your allocation is (20 / 8,000,000) × 300,000,000 = 750 SEI tokens
Step 4: Distribution of Tokens
Post subscription completion:
- A small portion of the committed BNB was used to purchase the SEI tokens resulting in a charge for Binance.
- The remaining BNB was returned to the user.
- Users received their 750 SEI tokens in their Spot Wallets.
Step 5: Trading Commencement
Users could trade or hold onto their newly earned tokens once listed on the market. Many profited from selling early if they purchased at IPO.
Purpose: Connecting Users with Promising Crypto Projects
Binance Launchpad seeks to integrate groundbreaking blockchain projects with the rest of the crypto world. It serves as a reliable avenue for nascent projects to secure funding and visibility, and at the same time, it enables Binance users to access new tokens before public trading starts.
This system works well for all parties involved since users get the chance to back high-quality crypto projects at an early stage, sometimes even at below market prices, while giving high exposure via Binance’s huge user base and liquidity to other crypto startups.
In general, Binance Launchpad provides further monetary options by benefiting both builders and initial investors in the crypto ecosystem.
Tips To Maximize Rewards
Keep a high average BNB balance: Your holding surplus BNB during the snapshot period increases your allocation share, thus improving your chances of getting more advanced rewards.
Early participation and updates: To take advantage of events with massive potential, make sure to keep track of Launchpad announcements so that you are not locked out of subscription deadlines.
Balance between Launchpad and Launchpool: Participate in both platforms to mitigate risks while additionally earning from several new projects with varying models and reward timelines.
Are Launchpad rewards Guaranteed?
Rewards from Binance Launchpad can be claimed after the user actively stakes their BNB during the subscription period in the sale of a token. Merely holding onto BNB or being eligible does not suffice—you have to take action to participate.
Your participation guarantees that you will be given a portion of the new tokens on offer. The number of tokens received depends, however, on how much BNB is committed relative to total participant contributions. If many users join, your share could decrease.
While this method of proportional distribution ensures fairness for all participants, it also means that rewards fluctuate as demand increases.
Conclusion
In conclusion, supporting new crypto projects early gives users the opportunity to earn rewards through Binance Launchpad. Users stand a chance to receive new tokens during launches if they actively participate in token sales by holding and committing BNB.
Windows of success require participation, strategic planning, and engagement. To have better chances at earning priceless rewards, make sure you stay informed, engage consistently, maintain a solid BNB balance, and actively participate.
FAQ
How are rewards calculated?
Rewards (new tokens) are allocated proportionally based on the amount of BNB you commit versus the total committed by all users
What is the BNB holding snapshot period?
Binance takes hourly snapshots of your BNB holdings for a few days (usually 5–7) before the subscription opens. Your average BNB balance during this time determines your eligibility.
Are there any fees to participate?
No direct fees, but your committed BNB will be temporarily locked and a portion of it will be deducted in exchange for the new tokens.
