Early joiners of successful projects always benefit the most. Because they stick with the project from the bottom, they deserve to enjoy the fruits of success. A crypto launchpad is the best place to find a project in its early stage.
However, the rise of coins has also increased crypto scams. According to the Independent, crypto scams in 2021 have risen by more than 30% compared to just a year prior. This article will go through what a crypto launchpad is and how it works.
WHAT IS A CRYPTO LAUNCHPAD?
Because the crypto industry is expanding tremendously and plenty of projects depend on the decentralized world to raise capital for their projects, 2021 has presented us with a significant number of newborn crypto launchpads.
Crypto launchpads, also known as crypto incubators, are platforms that allow blockchain-based projects to raise capital while giving access to early-stage token sales for their group of investors.
Access to early-stage deals means a bargain price for the investors before the public launch on the market. Also, because the cost of launching in a crypto launchpad is low (or insignificant), increasingly more projects are heading towards launchpads for fundraising.
Launching a project through a launchpad offers security to both founders and investors. Top crypto launchpads have a rigorous vetting process for new projects. In contrast, a KYC (Know Your Customer) process is usually performed by a third party as a requirement for new users’ verification.
Additionally, launching the project through a launchpad provides new founders access to a community of crypto investors and enthusiasts ready to explore a new project.
Why use a Crypto Launchpad?
Crypto launchpads act as a bridge between investors and startups — startups get access to the needed fund for the project’s development, while early investors get access to early-stage deals. Let’s go through this scenario in more detail:
Projects — By launching their projects through a launchpad, founders get what they need — which is capital to move the projects forward. Additionally, a launchpad offers exposure to a project by bringing it in front of a massive community of crypto enthusiasts.
Investors — Early investors tend to get tokens at a way better price than when the token launches on the public market. A crypto launchpad equals to safer crypto investment
Launchpads have grabbed the mainstream in the past few years, benefiting startups requiring funds and crypto investors. A crypto launchpad connects interested investors with tokenized projects before they hit the market, offering a bargain price per token.
Also, a vetting process, which top crypto launchpads perform, prevents launching a rug-pull or projects without intrinsic value, providing security for their community of investors.
