The emergence of cryptocurrencies has led to the creation of various inventions, including crypto launchpads. These platforms enable crypto startups to raise capital and offer investors the opportunity to participate in the development of the cryptocurrency before offering to the public. Launchpads have grown in popularity due to their efficiency, and several types of launchpads exist, including Initial Exchange Offering (IEO), Initial Coin Offering (ICO), Initial Dex Offering (IDO), and Initial Metaverse Offering (IMO). This article provides insights into the top 10 crypto launchpads.
What are Crypto Launchpads?
Crypto launchpads are platforms that launch crypto coins, crypto projects, and allow investors to invest to raise capital for start-ups. Similar to how companies offer public stocks, crypto launchpads offer infant cryptos to investors with the goal of raising capital for the start-up. Launchpads use different methods to launch cryptos, including IEO, ICO, IDO, and IMO. The IEO method involves procuring cryptocurrencies with legal tenders, usually overseen by already-established platforms. ICO is the exchange of new cryptocurrencies or tokens for established cryptos like Bitcoin, which is usually a form of crowdfunding. IDO is another type of fundraising where the cryptocurrency exchange is runs on a decentralized exchange. The IMO is a fundraising method introduced to raise funds for Metaverse projects.
Brief History of Crypto Launchpads
The biggest crypto exchange platform in the world, Binance, began the concept of launchpads with the platform, Binance Launchpad. Binance Launchpad has raised over $107 million for 49 projects since its launch in 2019. BitTorrent tokens were the first crypto to be launched using this platform. BTT was a success as revenues pooled to $7.1 million in just 17 minutes. Since then, there were 63 projects have been launched, raising a total of $133 million. Binance’s success has led many crypto exchanges to create their launchpads.
Top Ten Crypto Launchpads
MISO (Minimum Initial Sushi Swap Offering)
MISO is a launchpad by SushiSwaps, a crypto exchange platform. It was created after members of SushiSwap’s community voted, and it was launched on May 20, 2021. MISO aims to make SushiSwap more attractive to investors by helping tokens in their nascent stage to launch and allowing any member of the Sushi community to create tokens without restrictions. The platform has successfully launched tokens that have gone on to be heralded as the next big thing in the crypto world.
GNOSIS AUCTION
Gnosis Auction is a platform that has raised significant amounts of funds, with the largest being SILO finance at $35M, and a total of $131M traded on the platform. It has been successful in hosting options trading for Ribbon Finance, and projects have been able to find fair prices for their assets. The platform allows for different KYC solutions, and vesting solutions have been developed. However, high gas costs on the Ethereum mainnet have been a major hindrance for small investors, and users prefer to buy at a discounted price. To address these issues, Gnosis Auction plans to expand to L2 and other L1 solutions and allow investing below market price.
BALANCER LBPs
Balancer is a decentralized automated market maker (AMM) protocol that allows for flexible and programmable liquidity on Ethereum. It separates the AMM curve logic and math from the core swapping functionality, allowing for various trading curves and pool types. It also includes traditional 50/50 weighted pools, custom weights, stable swap curves, nested pools, pools with changing weights, concentrated liquidity pools, and managed pools. Traders, liquidity providers, passive LPs, arbitrageurs, and BAL token holders uses Balancer. Liquidity Bootstrapping Pools (LBPs) are a feature of Balancer that allows for dynamic token weighting with time-dependent weights. The advantages of LBPs include sell pressure and fair market pricing, with the option for starting capital to be small. Balancer has successfully raised funds for projects like Gyroscope, Perpetual Protocol, Gro Protocol, Klima, Maple, Hydra, Illuvium, and Radicle.
DAO Maker
DAO Maker is a software-as-a-service (SaaS) launched in 2018 that operates on the Ethereum blockchain. It makes use of the DAO pad to allow members to invest and launch tokens. Holders of DAO tokens can participate in the early sale of tokens. Before offering a token to investors, it goes through a stringent vetting process to allow token developers to gain while preventing investors from losing. Apart from cryptocurrencies, DAO Maker also operates in NFTs. The platform has raised $44.07 million in capital for tokens it has launched.
PancakeSwap
PancakeSwap is a decentralized exchange based on Binance Smart Chain, with its developers being anonymous. CZ Zhao, the founder, and CEO of Binance, financed the project. PancakeSwap makes use of IFOs to raise capital, with users who
stake their CAKE tokens being given an opportunity to purchase the newly launched tokens. The platform has gained popularity due to its ease of use and low transaction fees.
Poolz Finance
Poolz Finance is a decentralized swapping protocol that allows crypto start-ups to launch their tokens through the platform. The platform also enables investors to access exclusive investment opportunities by providing them with early-stage crypto projects. Poolz has a unique feature called “Tokenless” that allows investors to contribute to the projects using native tokens or without having to purchase any tokens.
BSCPad
BSCPad is a launchpad created by Binance Smart Chain that enables crypto start-ups to launch their tokens on the Binance Smart Chain network. The platform uses a lottery system to determine who can purchase the newly launched tokens. Therefore, users who hold BSCPad tokens have a higher chance of winning the lottery.
TrustPad
TrustPad is a decentralized launchpad that aims to provide investors with early access to promising crypto projects while ensuring that the projects are secure and trustworthy. The platform uses a strict vetting process to ensure that only the best projects on its platform. TrustPad also allows investors to stake their tokens and receive rewards, and it has raised a total of $19.79 million, according to CryptoRank.
DuckStarter
DuckStarter is a decentralized launchpad that allows crypto start-ups to launch their tokens and raise capital. The platform provides a unique feature called “DuckDAO,” which is a decentralized autonomous organization that helps start-ups launch their projects by providing them with the necessary tools and support.
Bounce Finance
Bounce Finance is a decentralized launchpad that allows crypto start-ups to launch their tokens and raise capital. The platform has a unique feature called “Dutch Auction,” which allows investors to bid for the tokens instead of the usual fixed-price sale. This feature enables investors to purchase tokens at a fair market price.
Paid Network
Paid Network is a decentralized launchpad that aims to provide a secure and trustworthy platform for crypto start-ups to launch their tokens. The platform uses a vetting process to launch only the best projects on its platform, and it also provides investors with opportunities to earn rewards by staking their tokens.
Conclusion
Crypto launchpads have emerged as a popular way for crypto start-ups to raise capital. Furthermore, they offer investors the opportunity to participate in the development of promising crypto projects. The top 10 launchpads listed above have raised a significant amount of capital for the projects they have launched, and they are likely to continue to grow in popularity as more crypto projects emerge. Investors interested in participating in early-stage crypto projects should consider exploring these launchpads to find promising investment opportunities.
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