Binance Launchpool: The Ultimate Analysis of the Wealth Code

On December 11, Binance Launchpool announced the launch of the 40th new coin mining project Fusionist. The market's attention was instantly focused, and in just two days, Launchpool invested more than $4B.

What has sparked such great enthusiasm among users? What is the expected price of the project after it goes online? What is the wealth effect of Launchpool in the past?

This article will analyze the wealth code behind Binance Launchpool and introduce the new coin mining project.

Introduction to Launchpool

Binance Launchpool is a service provided by Binance Exchange, which aims to help projects with initial token distribution and allow users to obtain token rewards for new projects by staking cryptocurrencies. This section is also known as new coin mining.

The service was launched by Binance in September 2020, when Yield Farming in DeFi was very popular. Binance Launchpool combines DeFi's Yield Farming with the convenience of Binance CEX to provide users with the opportunity to obtain new token rewards by staking crypto assets.

Currently, the staked currencies used to mine new tokens in Launchpool are BNB and mainstream stablecoins. It can be said that these two currencies are perennial golden shovels.

Why do you say that? Let’s take a look at the historical performance returns of Launchpool below?

Launchpool Historical Performance

The following two tables are

1) Recent mining yields of Launchpool tokens

2) Performance of the currencies listed on Binance in the past six months

From the statistics in the above two tables we can see that:

1. From the perspective of Launchpool’s mining APY, the yield brought by its listing price performance on the same day can be guaranteed to be around 15%-20% regardless of whether the market environment is sluggish or recovering, and the highest SUI has reached 400%+. In the same period, most DeFi products that mine stablecoins safely are around 5%-7% (using the RWA method), which is more than half of the annualized rate of Launchpool. Therefore, participating in Launchpool can be said to be one of the safer and more profitable mining methods regardless of whether the market environment is high or low.

2. ORDI is the most outstanding currency among those launched on Binance in the past six months. After ORDI was launched on Binance, it first closed at $13 on the first day and rose steadily for more than a week to $27, with a net increase of 107%. Then it fell into a correction and fell to $18. Since then, the price of the currency has been soaring all the way and has now reached $61.5 and a maximum of $69.8, more than five times. It can be said to be one of the dark horses of this round. The emergence of this dark horse is inseparable from its listing on Binance, which has ample liquidity and convenient trading methods.

3. In addition to ORDI, the tokens recently issued by Launchpool, such as $MEME, the token of the metaverse project Memeland, and Neutron of the Cosmos ecosystem, have rebounded by 3 times and nearly 5 times respectively after a brief decline, and the performance is also very good.

4. From the currencies launched on Binance, we can see that there are many high-quality projects, which is one of the important reasons for the subsequent rise in currency prices (of course, there is also a reason for the market performance to recover in the past six months). Most of these high-quality projects are issued through Launchpool, such as Pendle, the leader of the LSD derivative track, CyberConnect, the leader of the social track, and Memeland, a new project in the metaverse . Basically, they are projects with very good fundamentals and a strong user base.

It can be said that the projects launched on Binance Launchpool have, to some extent, selected currencies with good fundamentals and certain potential for subsequent development. If you conduct some research on these currencies before intervening, the returns will not be too bad.

5. From the above overall increase ratio, we can see that in the past six months, basically all new coins launched on Binance Launchpool have increased by 200% or more.

And it should be noted that if you mine stablecoins, what you get is equivalent to "free" tokens. If you hold them for a long time, you can steadily get this part of the increase in profits.

Introduction to Launchpool Participation

1. Currently, the staking currencies of Launchpool include BNB and FUSD. Everyone is familiar with BNB, the eternal golden shovel. Before each Launchpool/Launchpad, the price of this shovel will go up due to a large demand. If you are worried about the risk of price fluctuations, you can hold BNB and hedge, which will have a certain interest rate wear and tear.

FUSD is a stablecoin, backed by high-quality reserves (cash and cash equivalents). Players who do not want to use BNB for staking usually choose to exchange this currency for staking, which has less loss.

(FUSD’s parent company, First Digital Trust, is a qualified custody and trust company headquartered in Hong Kong. The stablecoin is regulated in Asia. First Digital Trust officially announced the launch of the stablecoin pegged to the US dollar, FDUSD, on June 1 this year.

On the same day, Zhao Changpeng, the former CEO of Binance, tweeted about First Digital and FDUSD. More than a month later, Binance officially launched the stablecoin. Considering Binance's support for FDUSD and the minting of on-chain data, this may be a centralized stablecoin alternative that Binance chooses to support after BUSD, and Binance may also provide more support in the future. )

2. Deposit the designated tokens into the Launchpool section to receive new coin rewards. The tokens that users receive from Binance Launchpool are calculated on an hourly basis, and they can claim unclaimed rewards at any time. The number of tokens received is proportional to the ratio of the number of tokens that users participate in the pool to the total number of contributed tokens.

3. Players can redeem their assets at any time during the staking period. Those who are worried about exchange rate fluctuations can redeem in advance. For those who do not redeem manually, all the invested tokens will be automatically transferred back to the spot wallet after the mining period ends.

Overall, Binance Launchpool provides a convenient way for users to obtain new token rewards through simple staking operations, fully participating in cryptocurrency mining while preserving the value of their assets.

Introduction to the latest new coin mining $ACE project

On December 11, Binance Launchpool announced the launch of the 40th new coin mining project: Fusionist ($ACE)

The total amount of mining is 10.29 million, of which the allocation ratio of BNB and Fdusd is 4:1. The mining time starts on December 13, lasts for 5 days and ends on December 18.

Fusionist is a game universe built with the Unity engine, featuring a variety of collectible NFTs. Its team comes from well-known Web2 game companies such as Tencent and IDFAME.

The game ecosystem mainly consists of 3 games:

1. Colonization (construction simulation)

2. Conquest (turn-based chess)

3. Joint (SLG category)

The game is set in the year 2800, when overexploitation by humans has caused the earth's environment to deteriorate and become uninhabitable.

Space travel technology has matured, and wars for resources have broken out. Players will play the role of a mecha troop commander, managing their own planets, building industrial production lines, collecting rare resources, upgrading technology, and scanning blueprints to build mechas.

Finally, through PVP and PVE, you can build an interstellar fleet to engage in interstellar wars and conquer the galaxy.

Fusionist has been under development for about a year and is currently in the Beta testing phase.

In addition to the Fusionist game, the team also developed Endurance, the main on-chain network where Fusionist is located, which is an infrastructure layer for social interaction and game operation.

Endurance was officially launched on January 31, 2023. Within 7 days of its launch, the number of users exceeded 610,000, and the daily active wallet addresses reached 114,800. It has currently accumulated more than 1.86 million coin-holding wallets and achieved more than 100 million transactions.

$ACE is the governance token on Fusionist and Endurance. Its purpose is to allow users to participate in the network and earn income. The release of $ACE tokens is as follows: (the initial circulation is approximately 21,969,520)

Currently, the main 3A games in the blockchain game track are Bigtime and Illuvium, with the former having a market value of 190 million and the latter having a market value of 380 million.

• If compared with Bigtime’s current circulating market value, the $ACE price is approximately 8.8U;

• If compared with the current circulating market value of Illuvium, the $ACE price is about 17.5U;

At the same time, the current over-the-counter transaction price is between 10-12U, so the market expectation is above 12U, which is expected to be higher than Bigtime's market value . Therefore, 12-20U may be a more reasonable price after $ACE goes online.