Author | Bob Produced | Vernacular Blockchain (ID: hellobtc)
Before the deadline, cryptocurrencies led by Bitcoin and Ethereum have become one of the best investment varieties with an increase of more than 60% in 2023. However, judging from the wider market situation, the encryption market is still in a bear market, and the internal capital flows and hot spots are also very complicated, making it difficult to form a synergy. L2, BRC20, Meme and other ecology are all showing modern prosperity.
How ordinary investors can obtain higher and more stable returns in a bear market has become a question of concern to everyone. Binance CEO CZ recently retweeted the comment "When launchpad", which brought the public's attention back to IEO.
Source: Twitter
In the last round of bear market, Binance’s IEO (Launchpad) was one of the best choices for ordinary people to combat risks. Can this bear market happen again? We’ll explore Binance Launchpad in depth.
Binance Launchpad’s selection tendency has “changed”?
Binance launchpad has always been known for its strictness and confidentiality when it comes to project selection. Apart from the public rules, few people know its rules for selecting projects. Here we only use public information to analyze what advantages a project that may be selected by Binance needs to have.
Judging from the timeline, STEPN ($GMT) will be a project that Binance Launchpad cannot avoid.
Binance launchpad timeline
GMT is one of the most successful projects on Binance launchpad in the past few years, with the largest increase in history exceeding 38,100%, covering nearly 5 million global Web3 users. The emergence of STEPN has changed the lifestyle of some users and integrated Web3 into their lives. For Web3, STEPN has even opened an X2E competition that is much larger than P2E, allowing countless latecomers to compete in simulations.
After GMT, Binance changed its speed of entering the launchpad and opened up IEO. It took nine months to restart again. Let’s take a look at the common points of these IEOs:
Hooked Protocol ($HOOK) is the first new IEO project after GMT. It is a basic design of Web3 that integrates Learn and Earn and is dedicated to building a Web3 entrance.
Hooked Protocol’s first product, Wild Cash, is a Quiz to Earn app. Before becoming the Binance launchpad, Wild Cash App had achieved 4 million installations globally, and achieved first place in Google Play’s Indonesian market and Nigeria’s game list. At the same time, it is also the third application of BNB Chain’s Japanese life jumping address.
Space ID ($ID) is Binance's first IEO project in 2023. It is a decentralized regional name service protocol dedicated to building a universal name service network. Space ID launched the ".bnb" domain name service on BNB Chain. Before becoming Binance launchpad, 225,000 users registered 41.8 domain names. In the field of decentralized domain name services, Space ID is second only to ENS (Ethereum Name Service).
Open Campus ($EDU) is a decentralized Web3 educational content platform and a recent IEO project of Binance. Open Campus is committed to building a fairer education system through blockchain technology. Educational content producers can transform educational content into NFT and obtain financial income by selling NFT. Tiny Tap is the first app to use Open Campus.
Founded in 2012, Tiny Tap is a customized UGC educational game platform that focuses on providing content education in game interaction mode for children. According to publicly disclosed information, Tiny Tap’s revenue in 2022 will reach US$7.6 million, and its cumulative revenue from 2019 to 2022 will reach US$17.6 million. The platform currently has 23 interactive courses and 12 paying users. Tiny Tap App ranks among the top ten best-selling children's apps in the US App Store all year round.
By analyzing the IEO projects themselves after GMT, it is not difficult to find that Binance Launchpad is more inclined to choose projects that already have products and have achieved good results in their own fields. In terms of project track selection, Binance seems to still be dependent on STEPN and prefers projects with earning mechanisms.
Of course, this rule cannot be proven to apply to subsequent IEO projects. But it is worth noting that before relaunching launchpad, CZ said that in 2023 it will focus on areas such as teaching and education, compliance, and products and services. Therefore, it may be better to focus on education, compliance, etc.
Source: Twitter
Can Binance launchpad promote projects from 1 to 10?
In the crypto field, Binance’s influence and industry resources naturally have advantages. Binance launchpad is one of the ways for Binance to cash in on this influence and resources, which is also one of the main reasons why projects flock to it. When project tools are equipped with certain specifications and product capabilities, Binance can help the project quickly accumulate capabilities and help it complete the transformation from 1 to 10. This is also why Binance now prefers to equip a competitive product as analyzed above.
It is difficult for outsiders to predict Binance’s changes to launchpad in the space index in September after GMT completed its IEO. However, from the data of several subsequent IEOs, it can be found that Binance is applying the game styling suit model version on STEPN to help the project quickly grow into generations.
According to data from the site traffic analysis website Similarweb, after the online Binance launchpad, the cumulative installation volume of Hooked Protocol reached 10 million. Previously, the number of installations increased by about 6 million. The number of Google Play downloads exceeded 5 million, and it successfully entered Vietnam and Turkey. , Pakistan and other countries.
Google play, Wild Cash downloads
Driven by the Binance launchpad, Wild Cash achieved 150% growth in just a few months. According to the roadmap, Hooked Protocol will launch more Web3 applications in the future, such as the AI driving chat and learning application Hooked Academy Sensei, the news joint application Wild News, the MPC technology managed wallet Hooked Wallet, etc.
Dune Analytics, BNB Chain top15 daily active rankings
After Space ID completed its IEO, the number of ".bnb" domain names increased by 89.95% compared with before, and the number of users increased by 158.2%. At the same time, the ".arb" domain name service was successfully launched on the Arbitrum network.
Image source: Space ID
Open Campus is completely different. As a project focusing on the Web3 UGC education field, it did not receive a large amount of data growth after being launched on Binance launchpad. Instead, more investors paid attention to the track. Sequoia China, Kingsway, Liberty City Ventures, Polygon and other venture capital investors have invested US$8.5 million in Open Campus to develop the company and accelerate launches in the education technology industry. According to official disclosures, Open Campus is about to launch a $10 million educator fund to support teachers and creators.
Picture: blockbeats news
It can be seen from the early changes in the launch of Hooked Protocol, Space ID, and Open Campus on Binance launchpad that Binance launchpad not only provides users with a way to gain profits, but also empowers the energy industry based on its own capabilities, and promotes projects from 0 By 10 years of development, it will be a win-win situation for the platform, project direction and users.
Is the return on investment that Binance launchpad brings to investors stable?
For users, IEO is more concerned about the return on investment. For this reason, we have calculated the first-day increase and the largest increase in history of Binance launchpad starting from 2021.
After 2021, Binance launchpad has jointly conducted 17 IEOs, with an average increase of about 1,466% on the first day of listing, and the largest increase in history is an average of 5,644%. According to data calculations, the difference in the largest historical increase of these 17 IEOs is 9702.79.
It can be seen from the data that the maximum increases of different IEO projects before $GMT vary greatly. After removing the two projects with huge increases, $SFP and $GMT, the average maximum increase in history will drop to 2386%. The variance with the largest historical increase also dropped to 481.68.
The lower variance means that the maximum increase of Binance launchpad will become more stable ($HOOK: 37 times, ID: 36 times, EDU: 28 times). From the data point of view, the overall rate of excess returns has decreased, but the average rate of return has increased. The main reason may be that the comprehensive level of recently launched projects and the fundamentals are higher than those of previous projects. At the macro level, the cryptocurrency market is in a bear market and turbulent environment, and funds prefer projects with solid fundamentals. For the majority of investors, Binance launchpad is one of the few investment directions that can maintain ultra-high returns in a bear market. Stable investment returns may also mean that the game of on-site funds intensifies and a smaller amount of external funds inflow.
After multi-dimensional and aspect analysis, it can be concluded that the quality of the Binance launchpad project is higher than this, and the return on investment brought to users is also more stable. There are reasons for the external macro environment, and there are also reasons for Binance’s own preference in “product selection”. Of course, considering the background of the bear market, it is unfair to compare current projects with the glory of GMT. However, as far as the data that can be seen so far is concerned, Binance launchpad is still the leader in the entire crypto industry. One of the investment opportunities with the highest returns on the market.