Binance receives a lot of attention, acclaim, and buzz for being the largest centralized cryptocurrency exchange in terms of user base and trading volume.
This perceived position of value is intended to trickle down to assets listed on the exchange, and today we'll focus on projects that go via Binance's launchpool before being published on the exchange.
A variety of factors influence the performance of tokens on the open market. Binance does have some perks, but do they outweigh the disadvantages?
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One thing is continuous in the bitcoin ecosystem: excitement drives prices but does not maintain them. It is an evaluation that should be evident to many individuals, yet people are generally inclinedFor those who are unfamiliar, Binance Launchpool is a feature within the Binance exchange that allows users to stake their cryptocurrency — often BNB and FDUSD — in order to farm new tokens for free. It is intended to encourage new blockchain projects by awarding tokens to Binance users before they are formally listed on the market.
This performance study is based on market data from the five most recent Binance launchpool project debuts.
We're specifically looking at BIO, VANA, USUAL, SCR, and HMSTR.
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As seen in the infographic above, the most recent five projects provided on Binance launchpool have a combined market valuation of $780.94 million at the time of writing.USUAL is clearly second only to VANA in terms of token value assigned to the Binance launchpool, despite having the lowest starting market capitalization.
This data suggests that, despite the fact that launchpool farmers receive virtually free money, they may not be the source of the majority of initial selling pressure.
Internal players and network users tend to have a strong effect on initial market performance, particularly when airdrop tokens are available at launch.
This is for informative purposes only and does not constitute financial advice. All statistics in this article are based on published values from several sources, including Binance.com and Coinmarketcap.com, as of the time of writing. DYOR