Cryptocurrency investors who hold assets in crypto wallets for extended periods—waiting for market-driven price increases or decreases—often feel their assets are underutilized. Binance has introduced a feature that allows crypto assets to generate new tokens while investors continue holding them.
This article explores Binance Launchpool:
- What is Binance Launchpool?
- How does it work?
- How to earn passive income through Launchpool.
What Is Binance Launchpool?
Binance Launchpool is an investment feature that enables users to invest in high-quality DeFi projects and earn rewards in the form of new tokens.
Launchpool acts as an intermediary, allowing DeFi projects to distribute tokens to users while providing investors early access to promising tokens. To participate, users stake coins (BNB or BUSD) into a DeFi project’s liquidity pool on Binance.
Key Benefits of Launchpool:
- Instant Token Access: Acquire new tokens with minimal effort.
- Hourly Rewards: Flexible staking and unstaking anytime.
- Early Project Exposure: Access tokens from vetted DeFi projects before public listing.
- Growth Potential: Hold tokens that may appreciate significantly over time.
How Binance Launchpool Works
- Staking Phase: Investors stake BNB or BUSD in designated pools for a fixed period.
- Reward Distribution: Binance distributes token rewards hourly based on the staker’s share of the pool.
- Token Listing: After 30 days, earned tokens are listed on Binance and become tradable.
👉 Discover how to maximize your Launchpool rewards
Launchpool vs. Launchpad
While both support new blockchain projects:
- Launchpad: Requires BNB to purchase tokens during initial exchange listings.
- Launchpool: Rewards stakers with tokens over time, eliminating urgency to buy.
How to Earn with Binance Launchpool
Prerequisites
- A verified Binance account.
- BNB or BUSD in your Spot Wallet.
Step-by-Step Guide
Access Launchpool:
- Log in to Binance → Navigate to Finance → Binance Earn → Launchpool.
Select a Project:
- Choose a project and token type (BNB/BUSD pool).
Stake Tokens:
- Click Stake Now, enter the amount, and confirm.
Claim Rewards:
- Accumulated rewards appear under My Rewards → Click Claim to transfer tokens to your Spot Wallet.
FAQ
1. Is Binance Launchpool safe?
Yes, Launchpool features vetted DeFi projects, reducing risks associated with untrusted tokens.
2. Can I unstake tokens anytime?
Yes, staking is flexible—withdraw funds without lock-up periods.
3. What’s the minimum staking amount?
No fixed minimum; rewards scale with your staked amount.
4. Are rewards guaranteed?
Rewards depend on pool size and project terms. Check each pool’s details before staking.
5. How are tokens distributed?
Hourly payouts based on your proportional stake in the pool.
6. Can I trade earned tokens immediately?
Yes, once the project’s tokens are listed on Binance.
Conclusion
Binance Launchpool offers a low-risk avenue to earn new tokens by staking BNB or BUSD. Success hinges on selecting pools with strong growth potential.
👉 Explore more Binance investment strategies
For further reading on DeFi opportunities, check out our comprehensive guides.