In addition to attaching a graphic guide, this article will also extend some points based on the topic of Megadrop, such as: How does Megadrop play a role in linking and building a liquidity flywheel between the two strategic directions of Binance?
This article outlines
Megadrop explained
Wallet Task Guide
What strategic implications does the launch of Megadrop have?
1. Detailed explanation of MegaDrop
As a new Binance "new coin mining" window, it is different from the original new coin mining LaunchPool in that it requires relatively more restrictions and is more beneficial to the project party's cold start.
In addition, MegaDrop currently follows the mainstream point system. We will not know how much actual benefits we will get in the end until the points redemption rules are released. The total points of an individual are composed of two parts:
(1) Regular product subscription
Users can complete the bulk of MegaDrop task points by purchasing BNB's regular financial products.
This is also where it overlaps with LaunchPool but also where there are differences, because if you put BNB in a current product, you will also get LaunchPool's new coin rewards, while MegaDrop requires regular payments to earn points.
The calculation of points is based on the actual lock-up time, rather than the corresponding tier of the product you subscribed to (because regular products can be redeemed in advance to prevent logic bugs). This action is of great help to the holding rights of BNB and the reduction of market circulation.
For example, since there are four levels of points, 30/60/90/120 days, if you apply for a 120-day product, and by the time of the final airdrop calculation, your lock-up time is only 61 days, because you are not at the 90-day points level, the points you get will be based on the [60-day] level, and so on.
On the other hand, if you choose to redeem early on the 59th day, or it happens to be the time for the MegaDrop airdrop settlement, your points will be calculated based on the [30-day] level.
This is also to curb the card bug behaviors of doing [early redemption] for points arbitrage and to encourage the continuous positive lock-up of BNB.
Therefore, in the future, the duration of each MegaDrop may be relatively long, and based on this design, I think they will be launched one after another continuously, so that those who lock up their positions for a long time can basically get the [120] day gear.
In summary: If you want to participate in MegaDrop, you must apply for 30/60/90/120 BNB fixed-term financial products (15-day products are not included), and actually lock up the number of days that meet the requirements of the level.
(2) Complete Web project tasks
On the basis of completing the regular product subscription, choose to complete the Web3 tasks set for each project. Not only can you get basic points rewards, but you can also accelerate the points obtained from [Regular Product Subscription], which is 1.5 times the bonus this time.
for example:
1) BounchBit's [Web3 Task Reward] is 1000, which means that if you do not stake, you can get a minimum of 1000 points just by completing the task.
2) On the basis of 1,000 points, there will be a 1.5-fold bonus. 3) Assuming that the final points you get from [Subscription of Regular Products] are 10,000, then if you complete both tasks, the total points you get are: 10,000×1.5+1,000=16,000 points
The actual proportion of points that can be redeemed is determined by the current project design.
2. How to complete Web3 tasks?
Based on the above airdrop points rules, I will post a tutorial for this Web3 task. In fact, this task mainly requires you to know how to change the target of this pledge: BTCB, which is an asset on the BNB chain that anchors the value of BTC.
There are two main ways to obtain it. I will focus on the second one because everyone knows the first one. The premise is:
(1) You need to create a Binance Web3 wallet
(2) The required pledge amount is [0.0001BTCB]
(3) Prepare a little #BNB as GAS
Let me briefly introduce the first method of obtaining BTC: If you don’t have BTC, you can buy it on the exchange, then select the BNB chain in the [Withdraw] interface of the exchange to withdraw BTC to the Web3 wallet. That’s it. Then, just complete the task as usual according to the 3-8 pictures in the example below.
The second way to obtain: If you have BNB chain assets in your Web3 wallet, such as BNB or USDT, you can directly search for the [BTCB] trading pair in the [Exchange] interface of the wallet, such as BNB/BTCB, USDT/BTCB to exchange
As shown in the figure below, it is similar to our usual on-chain interactions, which requires authorization first and then transactions.
The withdrawal fee for the first method is BTC, and the on-chain gas fee for the second method is BNB. This is the difference between the two different ways of obtaining assets, and we can choose according to our convenience.
After obtaining BTCB, you can enter the MegaDrop interface to jump to the pledge. You also need authorization and then complete the pledge of 0.0001 BTCB. After completing these, you can go back to the interface to verify the task status.
3.What is the strategic significance of Megadrop?
From my perspective, Megadrop is an excellent product that brings win-win results to all parties. It is also a combination of Binance’s financial management business and wallet business. It has advantages that LaunchPool does not have, and also demonstrates Binance’s strategic product [Web3 Wallet]’s three-way empowerment of BNB, users, and project parties.
It brings more benefits to $BNB holders
It brings more low-threshold benefits to Binance users
It brings more real KYC users to the project
Although the current Web3 wallet products still have many flaws that need to be iterated, at least among similar competitors, they provide users with more benefits.
(Unlike some, after getting local KYC, they are fine, but they also get blocked after going through all the trouble of getting KYC in other countries. I won’t mention which one it is, but as far as I understand, compliance is the main focus)
A product that is praised by the market must be a good product, but it may not actually bring benefits to people.
A question that has been discussed in the industry before: What kind of positive feedback benefits does the wallet business have for exchanges?
Based on the three-way empowerment I mentioned above, Megadrop has created a flywheel for this benefit problem, and it is a stronger liquidity closed loop: the path of exchange users → wallet users → project users → exchange liquidity
Compared to product-first, Binance's Megadrop is more like a liquidity-first strategy. While empowering BNB itself, it brings the original exchange liquidity to the wallet business, and then feeds back to the exchange business from the wallet's interactive end.
This is very different from the existing wallet airdrop interaction area. The wallet users and the liquidity of the exchange are two independent entities, and Megadrop links the two together (I also do the wallet interaction tasks, currently I have ZK, RDNT, ULTI and the latest HLG)
At the end of this article, I would like to mention two wallet product recommendations:
(1) Binance Square’s translation function is very good. At least in terms of understanding, I think it is much easier to understand than ordinary translators, which brings a good reading experience to users. Therefore, the wallet can actually add this function, which is not yet available in other competitors.
(2) Open up the liquidity of BNB/opBNB! Open up the liquidity of BNB/opBNB! Open up the liquidity of BNB/opBNB! Some wallet interaction tasks require opBNB, but they can only be withdrawn from exchanges, which is very troublesome.
Thank you for reading and paying attention~#Megadrop
