It is a well known fact about crypto that early adopters of a project gets the more benefits. For example those people who bought Ethereum or Bitcoin in early days are now in huge profit and enjoying the big gains from the comfort of home. People see something good which has potential, they buy it and stick to it then reap the benefits.
As we know that cryptocurrencies are getting popular in the whole world, with the mass adoption we see many fundraising platforms which are known as launchpads.
Launchpads are used to introduce new projects to the early investors at cheap price. Investors are allowed to buy token of the project with different mechanisms before its public listing. This way early users take profit when it is listed publicly with the higher price.
There is a huge pressure on crypto projects by the Biden administration and other big names that often try to ban crypto using different tactics. Despite of all these difficult things happening, crypto adoption is still on rise.
People are always looking for new projects that can make difference in their portfolio. This is where launchpads come into existence.
Launchpads allow founders of crypto projects to raise money as well as provide benefits to investors. Above all it provides are secure root to connect founders and investors with each other.
In short a Launchpad is a platform which is used to introduce a new token in order to raise funds. A launchpad is also known as incubator.
In this process a token sale is held at cheap price for early investors. Investors buy it considering that it will have a higher price at listing. At the listing the market makers keep the price higher from the sale price in order to give benefits to early adopter. If they succeed to do this then it is called a successful sale.
While Launchpads mean to give profit to early investors but this is not true for always. There is a chance that you may lose money if the project team is not skilled and prepared. While some projects may prove to be scams.
The possiblity of fraud may exist. This is why its better to do your own research before buying any launchpad tokens no matter how well reputed a launchpad platform is.
Good Launchpad platforms do a kyc with the founders of project and investors in order to make things more fair and to avoid scams. The all informations about the project is made publicly available in order to be fully transparent. Kyc is usually done so that investors don't try to cheat the system.
In short, Launchpads are a win win for both founders and investors. They are playing a vital role in cryptocurrency that is why they have a bright future.
Thats it for today.
Thanks for reading.
What do you think about my today's topic? Let me know your thoughts in comment section.
In the end i would like to Wish you and your family a happy day ahead. Stay Blessed.
About Author
