Investing in BNB Compound Interest: How Much Can You Earn by Year-End?
The returns on BNB can be divided into three main parts:
First, the value increase brought by the appreciation of the BNB token itself.
Second, the reward returns from participating in Launchpool activities.
Third, returns from Megadrop, Hodler Airdrop, or other staking rewards.
We take January 1, 2024, as the starting date for our calculations. On January 1, the closing price of BNB was $313.5. At that time, purchasing 10 BNB required approximately $3,135 in principal. By December 31, 2024, the price of BNB is about $702.3, an increase of approximately 124% from the beginning of the year. Based on this calculation, the returns from holding BNB are about $3,880.
In addition to the growth returns of BNB, Binance's Launchpool is another type of activity with high user participation. Projects involved in the activities reward users who stake BNB or other stablecoins with a portion of the tokens. As of December 31, the total locked amount on Binance Launchpool is approximately $1.53 billion, with over 6.1 million unique participants historically. In 2024, Binance launched a total of 21 Launchpool activities.
If users participated in these Launchpool activities from the beginning of the year, they could earn an average of about 1.6% in token rewards per activity. If we consider the highest price of the rewarded tokens, the average income per participation could be $70. The total possible earnings from this part could reach up to $1,481. The overall return rate from participating in 21 activities is approximately 47.2%. Among these, the Altlayer activity yielded the highest return, about 5.93%, with a return amount of $173.3. PIXEL followed with a return rate of about 4.45%, yielding approximately $156.
In addition to Launchpool, Binance also launched 2 Megadrop and 5 Hodler Airdrop activities this year. If participants took part in all 7 activities, the total income would be approximately $557, with a return rate of about 17.7%.
In summary, the highest combined return from participating in Binance's Launchpool, Megadrop, and Hodler Airdrop is 65%. Combined with the price increase of 124%, the total return rate can reach 187%. Overall, participating in these activities could ultimately increase the invested principal of $3,135 to $9,087.
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