Author: Frank, PANews
In the bull market, there seem to be thousands of ways to make money. Some people use MEME to find angles, some people open contracts all night, and some people work hard to get airdrops. In addition to these methods, is there any way to make a profit without "hard work", gambling, or heartbeats? Some smart money is targeting platform activities such as Binance's Launchpool or Megadrop to achieve the goal of compound interest. In this article, PANews will review the various activities on Binance in the past year and simulate how much income can be obtained by holding 10 BNBs by the end of the year.
You can participate in 28 token airdrops throughout the year
Overall, the returns from BNB can be divided into three main parts: first, the value increase from the appreciation of the BNB token itself; second, the reward income from participating in Launchpool activities; third, the profits from Megadrop, HodlerAirdrop, or other staking rewards.
Taking January 1, 2024, as the starting date for the calculation, on January 1, the closing price of BNB was $313.5. At that time, buying 10 BNB required a capital of about $3,135. By December 31, the price of BNB was approximately $702.3, an increase of about 124% from the beginning of the year, calculating the profit from holding BNB at about $3,880.
In addition to the growth returns of BNB, Binance's Launchpool is another type of activity with the highest user participation. The projects participating in the activities will reward a portion of tokens to users who stake BNB or other stablecoins. As of December 31, Binance Launchpool has locked up approximately $1.53 billion, with over 6.1 million unique participants historically. In 2024, Binance launched a total of 21 Launchpool activities.
According to PANews statistics, if users participated in these Launchpool activities from the beginning of the year, on average, each participation could yield about 1.6% in token value. If considering the highest price of the reward tokens, an average income of $70 can be obtained per participation. The total yield from this portion can reach a maximum of $1,481. The overall yield rate from participating 21 times is approximately 47.2%. Among them, the activity yield from Altlayer is the highest at about 5.93%, amounting to $173.3. PIXEL follows with a yield rate of about 4.45%, yielding about $156.
In addition to Launchpool, Binance also launched 2 Megadrop and 5 HodlerAirdrop events this year. If you participated in all 7 events, the total income is approximately $557, with a yield of about 17.7%.
In summary, the highest combined yield from participating in Binance's Launchpool, Megadrop, and HodlerAirdrop is 65%. With the increase in token prices, it can reach 124%, leading to a total yield of up to 187%. Overall, participating in these activities can ultimately increase the initial investment of $3,135 to $9,087.
The compound interest operation yields higher returns
Of course, the above methods may not be the optimal scheme for maximizing returns. Many believe that introducing the concept of compound interest, by selling the rewards or tokens obtained through participation and converting them into BNB, would increase the number of BNB, resulting in more capital to participate in activities, thereby increasing overall returns.
First of all, this operational method may have certain flaws, and we cannot calculate returns based on the highest price. In principle, this method requires selling the tokens immediately after receiving them to avoid missing out on the next activity. Thus, the calculations are based on the closing price on the first day after these activity tokens are listed.
Using this method of compound interest calculation, after participating in 21 Launchpool events, the 10 BNB held can ultimately increase to 12.39 BNB. With an increase of 2.39 BNB and calculated at $702.3, this portion yields approximately $1,678. Adding the profit of about 0.62 BNB from Megadrop and HodlerAirdrop events, the final BNB amount can reach 13. If each time the event tokens are sold and converted into BNB, the final amount is approximately $9,136.
This yield result is higher than simply participating in activities and selling at the highest point, and the biggest benefit is that this operational method is closer to practical operations, as no one can consistently sell at the highest point. Compared to normal participation in activities, where rewards are directly sold without converting to BNB, the final actual asset total is about $8,490. In contrast, the compound interest method still has advantages.
In one year, the value increased to 2.7 times, with over 70% of tokens performing well
Of course, regardless of the operating method, ultimately, the initial capital of 10 BNB amounting to $3,315, after one year of practical operation, can reach a total amount in the range of $8,490 to $9,136. Overall, the wealth change is about 2.56 to 2.75 times. Of course, the largest source of this yield is still the appreciation of BNB, followed by the Launchpool activities.
Compared to the maximum price fluctuations of 182 spot and contract trading pairs listed on Binance this year, this yield surpasses 73.6% of the tokens in the sample. On the surface, such a yield may seem insignificant compared to the thousands or tens of thousands of times returns common in the crypto world. However, for users with larger capital, seeking relatively stable returns, or who are keen to take advantage of promotions but cannot participate fully, this method of operation seems to yield considerable results. Firstly, in terms of input-output ratio, whether it's claiming airdrops or trading MEME tokens, the time and cost spent on-chain is consistently high, while participating in such activities is relatively easier. Secondly, the high volatility of MEME tokens and the uncertainty of airdrops significantly reduce investment success rates, whereas markets with lower volatility tend to provide relatively stable returns. Therefore, these types of promotional activities seem to have a sandcastle effect.
However, any investment strategy should undergo extensive data analysis and fundamental judgment before practical implementation. The above content is for reference only and is not investment advice.
Author: PANews; from the open content platform 'Dedede' of Chain Dedede, this article only represents the author's viewpoint and does not reflect the official stance of Chain Dedede. For all 'Dedede' articles, the originality and authenticity of the content are guaranteed by the submitter. If legal consequences arise from plagiarism, forgery, or other actions, the submitter is responsible. If any infringement, violation, or other improper content is found in articles published on the Dedede platform, readers are encouraged to supervise, and once confirmed, the platform will immediately take it offline. For issues with article content, please contact WeChat: chaindd123.
