What Is Binance NFT Subscription Mechanism and How to Participate

What is the Binance NFT Subscription Mechanism?

Binance introduces a new way for users to fairly participate in the latest drops and exclusive releases on Binance NFT. This new subscription mechanism will ensure that all users get an equal opportunity to participate in the Binance NFT primary sales.

How does the Binance NFT Subscription Mechanism work?

Binance NFT Subscription Mechanism ensures a fair and square way for BNB and NFT holders to commit tokens towards a Binance NFT sale. The final NFT allocation will be distributed in a fair and square manner.

How to participate in the Binance NFT sale through the Subscription Mechanism?

1. Log in to your Binance account and go to the Binance NFT homepage. Click the banner of an NFT sale you wish to participate in.

2. You will be redirected to the subscription page, where you can see a description of the project, the total NFT issued, the Participation Ticket price, the ticket purchase limit per user, and the subscription countdown.

There are 4 phases in a Binance NFT Sale.

1. Preparation Phase: Fulfill one of the three prerequisites determined by each sale

Depending on the projects, you have to fulfill one of the three prerequisites to be qualified to subscribe for Participation Tickets in the next phase.

• BNB Prerequisite: Maintain the minimum daily average BNB holdings during the Preparation Phase;
• NFT Prerequisite: Lock the NFTs specified in the NFT Collection Prerequisite;
• BNB or NFT Prerequisites: Maintain the minimum daily average BNB holdings or lock the NFTs specified in the NFT Collection Prerequisites indicated on the NFT sale page.

Each user can only subscribe to a certain quantity of Participation Tickets in each sale. Please take note of the subscription cap on the number of Participation Tickets a user can get from each prerequisite.

• NFT Holding Prerequisite: You don’t need to lock the NFTs as long as your Binance account holds the Blue Chip NFTs specified in the NFT Collection Prerequisite. The more Blue Chip NFTs you hold, the more Participation Tickets you can get in the Subscription Phase.

Please note that there is a limit on the number of NFTs you can buy from the primary sale. You can refer to the [NFTs Hard Cap] on each Subscription Mechanism Sale page.

You can buy the NFTs specified in the NFT Collection Prerequisites from the Binance NFT Marketplace. All locked NFTs will be automatically returned to your wallet at the end of the Preparation Phase.

We will calculate your daily average BNB holdings in that period. Your BNB won’t be locked at this point. If you do not have enough BNB, you can click [Buy More BNB] to buy BNB from the spot market.

For example:

Preparation Phase: 2022-07-15 00:00 (UTC) to 2022-07-17 02:00 (UTC)

Suppose you have 0.1 BNB in your wallet before 2022-07-15 00:00 (UTC), and you continue to maintain the daily average holding of 0.1 BNB throughout the entire Preparation Phase between 2022-07-15 00:00 (UTC) and 2022-07-17 02:00 (UTC). In this case, you will be eligible to enter the Subscription Phase.

Please note that if you top up your wallet balance to meet the minimum daily average BNB holdings after the Preparation Phase begins, you may not be eligible to participate in the Subscription Mechanism sale.

2. Subscription Phase: Commit Participation Tickets and the required tokens

Please note that you must indicate the number of Participation Tickets you would like to commit to the sale during this phase. You can choose to commit some or all of your available Participation Tickets. The more tickets you subscribe, the higher the probability of your tickets getting selected. Please note that this does not guarantee you can successfully purchase an NFT from the sale.

You will see the amount of tokens you need to lock up. Click [Subscribe to Ticket(s)].

Please note that you can only use the available token balance in your Spot Wallet. Your tokens will be locked up until the Distribution Phase ends.

3. Calculation Phase: NFT allocation calculation

When the Subscription Phase ends, your subscribed Participation Tickets will enter a pool. The system will select the winners in a fair and square manner.

For more details on the winner selection process, please refer to Binance NFT Subscription Mechanism Winner Selection Algorithm.

4. Distribution Phase: NFT distribution and token deduction

Once the calculation completes, you will see the allocation details. If your Participation Tickets win, you can use them to purchase the NFTs in the collection and your locked tokens will be deducted accordingly. If your Participation Ticket does not win, the locked tokens will be returned to your Spot Wallet.

The NFTs you purchased will be distributed to your account. You can check by clicking [Check Your NFT Assets], or go to [Profile] - [Collected].

Example for NFT Holding Prerequisite

1. Preparation Phase: 2022-07-15 00:00 (UTC) to 2022-07-17 02:00 (UTC)

You can hold more NFTs from the Blue Chip NFT collections specified in the NFT Collection Prerequisite to increase the value of your average Blue Chip NFT holdings. The value will be calculated based on the floor price of the Blue Chip NFT Collection.

Please note that the value of your NFT Holdings is calculated daily. If you sell any NFTs after the Preparation Phase begins, the average value of your NFT Holdings might change.

During the Preparation Phase, Binance NFT will calculate the value of your NFT holdings daily to obtain your average NFT holdings value. Since the Preparation Phase lasts for 3 days, the value of your NFT holdings for the eligible Blue Chip NFT collections will be calculated daily based on the same floor price across three days. Binance NFT will announce the floor price on the Preparation Sale page, and the floor price value used to calculate your holdings won’t change across the Preparation Phase.

The more Blue Chip NFTs you hold, the higher the value of your average Blue Chip NFT holdings, and the more Participation Tickets you can get in the Subscription Phase.

We will calculate the tickets you can get based on your average NFT holdings value.

For example, based on the price indicated for the value of each NFT under [NFT Collection Prerequisites], you have at least X value of NFT holdings worth of Blue Chip NFTs in your wallet before 2022-07-15 00:00 (UTC). You continue to hold the minimum value required for one ticket based on the Blue Chip NFT worth/per ticket (e.g., 100 USD) throughout the entire Preparation Phase between 2022-07-15 00:00 (UTC) and 2022-07-17 02:00 (UTC). In this case, you will be eligible to enter the Subscription Phase.

Blue Chip NFT worth/per ticket: The more Blue Chip NFTs you hold, the more Participation Tickets you can get. Binance NFT will calculate the value of your NFT holdings every day during the Preparation Phase. The average value of your NFT holdings will be divided by the value indicated in [Blue Chip NFT worth/per ticket] to calculate the number of Participation Tickets you can receive.

NFTs Hard Cap: The maximum number of NFTs you can buy from the Subscription Mechanism Sale.

The number of tickets you can receive is calculated as follows:

For example, you fulfill the NFT Holding Prerequisite for 3 specified Blue Chip NFT Collections, with 2 NFTs from each collection:

(2 * Floor Price of NFT Collection #1) + (2 * Floor Price of NFT Collection #2) + (2 * Floor Price of NFT Collection #3) = X NFT Holding Value

If the Blue Chip NFT worth/per ticket = 100 USD

Each user can get 1 ticket for every 100 USD they hold in the equivalent Blue Chip NFT value based on the floor price at 00:00 (UTC) on the day the Subscription Mechanism sale starts.

Number of Participation Tickets you can receive = X NFT Holding Value / Number of Days in the Preparation Phase / 100 USD

Number of Participation Tickets you can receive = 1,000 NFT Holding Value / 5 Days of the Preparation Phase / 23 USD = 8.69

Note: All decimal places are rounded down. Therefore, you will receive 8 Participation Tickets.

For NFT Holding Prerequisite, different users will receive a different number of Participation Tickets. The Participation Ticket limit will be assigned according to the average Blue Chip NFT holding value calculated during the Preparation Phase.

2. Subscription Phase: Commit Participation Tickets and the required tokens

Please note that you must indicate the number of Participation Tickets you would like to commit to the sale during this phase. You can choose to commit some or all of your available Participation Tickets. The more tickets you subscribe, the higher the probability of your tickets getting selected. Please note that this does not guarantee you can successfully purchase an NFT from the sale.

For NFT Holding Prerequisite, different users will receive a different number of Participation Tickets. The Participation Tickets limit will be assigned according to the average Blue Chip NFT holding value calculated during the Preparation Phase.

You will see the amount of tokens you need to lock up. Click [Subscribe for Ticket(s)].

Please note that you can only use the available token balance in your Spot Wallet. Your tokens will be locked up until the Distribution Phase ends.

3. Calculation Phase: NFT allocation calculation

When the Subscription Phase ends, your subscribed Participation Tickets will enter a pool. The system will select the winners in a fair and square manner.

For more details on the winner selection process, please refer to the Binance NFT Subscription Mechanism Winner Selection Algorithm.

Please note that there might be a limit on the number of NFTs you can purchase for each Subscription Mechanism sale, as indicated by the [NFTs Hard Cap] on each Subscription Mechanism sale page. If the total number of subscribed participants is less than the total supply of NFTs, there won’t be any hard cap on the number of NFTs you can purchase.

If a user is selected to purchase more NFTs than the specified NFTs Hard Cap, the final NFT allocation will be reduced to the hard cap limit;

For example,

• You subscribed to 100 Participation Tickets;
• The system selected 30 winning Participation Tickets;
• The NFTs Hard Cap is 20.

If the total number of subscribed participants is more than the total supply of NFTs, you can only buy up to 20 NFTs (the Hard Cap).

4. Distribution Phase: NFT distribution and token deduction

Once the calculation completes, you will see the allocation details. If your Participation Tickets win, you can use them to purchase the NFT assets in the collection and your locked tokens will be deducted accordingly. If your Participation Tickets do not win, the locked tokens will be returned to your Spot Wallet.

Frequently Asked Questions

1. Who can participate in the Binance NFT sale via the Subscription Mechanism?

All Binance users who have completed the Identity Verification can participate in the Binance NFT primary sale to purchase NFTs.

However, to be qualified to subscribe for Participation Tickets in the next phase, you need to meet the prerequisite determined by each sale. There are three different types of prerequisites:

• BNB Prerequisite: Maintain the minimum daily average BNB holdings for a certain period of time. We will calculate your average BNB holdings in that period. Your BNB won’t be locked at this point. For more details, please refer to the Binance NFT Subscription Mechanism Winner Selection Algorithm.
• NFT Prerequisite: Lock the NFTs specified in the NFT Collection Prerequisite. All locked NFTs will be automatically returned to your wallet at the end of the Preparation Phase.
• BNB or NFT Prerequisites: Maintain the minimum daily average BNB holdings or lock the NFTs specified in the NFT Collection Prerequisite indicated on the NFT sale page.
• NFT Holding Prerequisite: Lock the Blue Chip NFTs specified in the NFT Collection Prerequisite.
  • You can hold more NFTs from the specified Blue Chip NFT Collections in the NFT Collection Prerequisite to increase the value of your average Blue Chip NFT holdings.
  • The more Blue Chip NFTs you hold, the higher the value of your average Blue Chip NFT holdings, and the more Participation Tickets you can get in the Subscription Phase. We will calculate the tickets you can get based on your average NFT holdings value. The number of tickets each user can receive is calculated from the value specified under [Blue Chips worth/per ticket] on the Preparation Phase page.
  • For example, if you fulfill the NFT Holding Prerequisite for 3 specified Blue Chip NFT Collections, with 2 NFTs from each collection:
  • (2 * Floor Price of NFT Collection #1) + (2 * Floor Price of NFT Collection #2) + (2 * Floor Price of NFT Collection #3) = X NFT Holding Value
  • If the Blue Chips worth/per ticket = 100 USD, each user can get 1 ticket for every 100 USD they hold in the Blue Chip NFT holdings based on the floor price at 00:00 (UTC) on the day the Subscription Mechanism sale starts.
  • Number of Participation Tickets you can receive = X NFT Holding Value / Number of Days in the Preparation Phase / 100 USD
  • For NFT Holding Prerequisite, different users will receive a different number of Participation Tickets. The Participation Tickets limit will be assigned according to the average Blue Chip NFT holding value calculated during the Preparation Phase.
  • Please note that there might be a limit to the number of NFTs you can receive for each Subscription Mechanism sale. It will be indicated by the [NFTs Hard Cap] on each Subscription Mechanism sale page.
  • All locked NFTs will be automatically returned to your wallet at the end of the Preparation Phase.

2. What are Participation Tickets?

Participation Tickets give you a chance to purchase NFTs in the sale. You can choose to subscribe some or all of your available Participation Tickets during the Subscription Phase. The more tickets you subscribe, the higher the probability of your tickets getting selected. Please note that this does not guarantee you can successfully purchase an NFT from the sale.

There is a cap on the number of Participation Tickets you can purchase. Please refer to the details on the NFT sale page.

3. I committed the required tokens. Does that mean I can purchase the NFT?

No. When the Subscription Phase ends, your subscribed Participation Tickets will enter a pool. The system will select the winners in a fair and square manner. For more details on the winner selection process, please refer to the Binance NFT Subscription Mechanism Winner Selection Algorithm.

Utilizing the Binance NFT Subscription Mechanism ensures that all users get an equal opportunity to participate in the Binance NFT primary sales.

4. When will I know about the NFT allocation result?

When the subscription period ends, the system will select the winners in a fair and square manner. Once the calculation completes, you will see the allocation details on the NFT sale page.

5. How many NFTs can I purchase from the NFT sale?

There is a certain hard cap for each user in each NFT sale. Please refer to the sale page for more details.

6. Why do I have to lock NFTs for NFT Prerequisite?

Introducing NFTs as a new prerequisite brings new use cases to NFTs beyond digital collectibles. You can learn more about NFT staking from our Academy article here.

Your NFTs won’t be locked for the NFT Holdings Value calculation. You only need to hold it in your Binance account.

7. What NFTs do I need to lock?

Each launch sale requires you to lock NFTs from different collections. Please refer to the NFT Prerequisite on the specific sale page.

8. What will happen to my locked NFTs?

Your NFTs are locked for you to be qualified to subscribe for Participation Tickets in the Subscription Phase. They will be returned to your wallet after the Preparation Phase ends.

9. Do I stand a higher chance of winning an NFT if I hold more BNB?

No. Users are only required to meet the minimum daily average BNB holding during the Preparation Phase to be qualified to participate in the corresponding NFT primary sale. All qualified users will proceed to the Subscription Phase, where they will be allocated the same number of Participation Tickets.

Only the number of committed tickets will affect the probability. The more tickets a user commits, the higher the chance for the user to buy more NFTs in the sale.