Crypto Launchpads
A crypto launchpad is a decentralized exchange-based (DEX) platform for launching new coins, tokens, and blockchain or crypto projects. It differs from other fundraising platforms in that it provides investors with the opportunity to invest in early crypto projects before they are listed publicly.
This is a strong value proposition for investors as it enables them to buy tokens cheaper, so that they can maximize their return on investment when price appreciates later on and they sell them.
How Do Crypto Launchpads Work?
A token sale on a launchpad uses a blockchain-based approach for regular investors to invest in early stage crypto projects, by ensuring a fairer distribution of tokens across the board. This is because blockchain enables greater transparency through closer tracking of token allocation. This kind of opportunity was only previously available to venture capitalists (VCs) and other institutional investors.
With crypto launchpads, even regular retail investors have an opportunity to invest in a promising project at a low price, before it launches publicly and prices shoot up. This fairer distribution of tokens also protects crypto projects from sudden price depreciation due to pump and dump schemes that whales are normally guilty of.