Fundamentals of Crypto Launchpad That Investors Must Understand

The advent of crypto has widened the scope of investment on many fronts. It has enabled investors to become a part of a potential project easily. Investing money in a new crypto is way easier and cheaper than IPOs and other traditional instruments. 

The decentralized projects come with bright prospects and make themselves quite accessible. That becomes possible with crypto launchpads, platforms that introduce new blockchain-based projects to the world.

Significance of Crypto Launchpads For Investors

These platforms do a great job of bringing investors and entrepreneurs together. They ensure that the projects get ample exposure from a large number of investors.  Moreover, they help projects get early investors which works for both parties. 

The investors secure a large volume of tokens at a cheaper price. If the project is good, the price of tokens goes up and delivers profits to the buyers. On the other hand, it secures early funding for the project. Entrepreneurs in this field require a reliable means of reaching genuine investors.

It is because investment in cryptocurrency has been marred with scams and frauds. So, the projects need to label themselves as actual pioneers of the technology. Crypto launchpads make it possible by giving the right kind of handling to the projects. 

They propagate the project among the appropriate groups while finding more channels for them. Based on the nature and requirements of the project, they develop the right strategy. 

A Glimpse Into Crypto Launchpad’s Working

Some call them crypto incubators as well. Every launchpad follows some measures for picking the project. These guidelines ensure that they don’t allow any scams to brew out of their websites. They may also introduce the startups to different tariffs that determine the level of support they provide. 

Most launchpads are flexible and allow the projects to go with what they want. More than upselling, they try to get a genuine project for launch. Since there’s competition in this space too, they make their services convenient. 

Advantages of Using Crypto Launchpads

Crypto launchpads come with a number of benefits that projects and investors both get.

Low Fee– Most launchpads charge a small fee for the projects. As compared to the merits they deliver, the fee is quite insignificant. Some may even offer free listings with limited functionality or freemium services. 

Security– Before vouching for any project, launchpads vet them thoroughly. They make sure that only genuine entrepreneurs with good intentions get the chance. Furthermore, they implement the same rules for the selection of investors.

Easy to Use– These launchpads are quite easy to use. In addition, they make the overall management of the campaign quite productive. There are multiple methods of payment, low processing fees, and hassle-free procedures.

Types of Crypto Launchpads 

Knowing different variants helps entrepreneurs choose the right kind of launchpad for themselves.

Initial DEX Offering (IDO)– These are wholly decentralized platforms that operate on open-source codes. These platforms ensure that the information about the project is not compromised at all. Some popular IDOs include TrustPad, GameFi, FireStarter, Seedify, BSCPad, and FireStarter. 

Initial NFT Offering (INO)– As the name suggests, these platforms particularly launch non-fungible tokens. Artists or collectors who want to sell a large number of artworks use these platforms. Some examples are Seedify, Only1, and BSCStation.

Initial Coin Offering (ICO)– It’s probably the most commonly available platform for blockchain-based projects. Entrepreneurs can run their campaigns on these platforms with full control irrespective of the project’s nature. Renowned options are Binance, Polkastarter, CardStarter, and Launchpad. 

Initial Game Offering (IGO)– Another niche-based launchpad that is quite valuable for gaming startups. The platforms bring investors to a large variety of gaming projects including play-to-earn projects and gaming utilities. Examples are Enjinstarter, PlayPad, and Gamestarter. 

How to Choose the Right Crypto Launchpad?

Let research be the first guiding light towards the right crypto launchpad. Entrepreneurs must know how the platforms have supported the projects in the past. They must check the performance of projects and their current footing. Also, they must know about the vetting procedures followed by the platforms.

Technical assistance and community support must be satisfactory as well. For investors, the platform must show commitment to security and transparency. The platform must have strict security protocols in place to safeguard the investors. 

Closing Thoughts

Crypto launchpads have emerged as a reliable source of support for entrepreneurs. They enable startups to find investors easily while reducing the efforts and money of projects. At the same time, they try to allay the fears of fraud and distrust of crypto projects. 

Through these platforms, projects may even get institutional investors and venture capitalists. However, it’s important for entrepreneurs and investors to make informed decisions. Hence, they must do full research on platforms before choosing them. 

Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.