Before I start, I would love to wish all members of the community a Merry Christmas. I pray for more life and all kinds of blessings for ourselves and our families.
The crypto space is rapidly developing each and every day. People have now realized how important it is to keep their funds on the blockchain. When we compare the number of crypto users today to that of December last year, you will realize that the rate of adoption is very high as millions of crypto wallets are being created by users in order to keep their funds. I myself am one of the users who have joined the crypto space this year.
As much as the industry is growing, it is good to invest some time in learning its fundamentals. I'd like to share some of my knowledge with the community, and it's all about some key terms that are constantly trending in the world of crypto currencies.
In this write-up, I have written about "Launch Pads," which I hope you'll find interesting. Let's get started.
What is LaunchPad?
When you hear the term "launchpad" in crypto, it means a platform through which project teams can launch their new projects or coins. This is where infant projects raise liquidity. Through launchpads, investors can discover potential projects at their early stages and invest in them before they gain mainstream adoption.
Through launchpad, investors can buy the assets at a very low price as the projects are still in the phase where the market is not yet affected by market speculation but relies on the specied price based on the marketing strategy of the project team. What comes after a launchpad is that the project will then be made public and its development will start to affect the price of the token or coin. If the project is performing well, the price of the asset has the highest possibility of going up, and the earlier investors will start to benefit from that, the better. This is why it is so good to participate in Launchpad.
The user verification process, as well as KYC (Know Your Customer) verification in some launchpads, informs project founders about who they are dealing with and provides some security to both the project team and their investors.It also makes the token or coin accessible to potential crypto investors who are ready to get involved in new projects.
There are a lot of launchpads actively operating where users can visit to be able to see available IDOs. We have centralized and decentralized launch pads. An example of a centralized launch pad is the Binance Launchpad, which is a launchpad exclusively for the Binance exchange where its users can get access to new but potential projects. As a centralized launchpad, users have to follow the necessary process to get verified, as the sales are subject to some regulations and users may not go beyond their jurisdictions.
After verification, they can then be qualified to participate in the sale. Most of the time, users are required to hold some BNB coins in order to participate in the presale. Some of the popular CEXs have their own launchpad programs for their users to have access to potential projects.
PolkerStarter, TrustSwap, DuckDAO—DuckSTARTER, BullPerks, WeStarter, Solstar, UniCrypt, Solcubator, SolPad, Trustpad, PancakeSwap, and many more are examples of decentralized launchpads.
More research should be conducted before participating in any launchpad, and the research should mainly focus on the project team and the blockchain network on which the project is built upon. As new projects evolve, so do fraudulent activities; the project team's composition can give us a hint on its legitimacy based on their track records.In addition to the project team and the network, a lot should be learned about the project to be sure that your funds are in safe hands.
Cross Posted from my Hiveblog post