Binance introduces Launchpool, the platform that “grows” tokens

Popular crypto exchange Binance has just launched its new product, Launchpool. This platform offers users a simple and secure way to “cultivate” new DeFi protocols and acquire tokens in exchange for Binance Coin (BNB) and Binance USD (BUSD) staking.

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Binance Launchpool and Bella Protocol

Binance also revealed that the first project to be hosted on Launchpool is Bella Protocol (BEL). The Bella Protocol offers a suite of DeFi products for a streamlined experience, with the goal of making yield farming more accessible.

The statement said:

Bella will diversify users’ funds based on their risk appetite ie conservatively / balanced / aggressively, and will allocate her funds among different yield farming strategies. For example, the USDT Balanced strategy includes farming up to 40% with COMP, 40% with CRV and 20% with more recent protocols.

For this first Launchpool session, users can stake their BNB, BUSD or ARPA in 3 separate pools in order to cultivate BEL tokens. This period of experimentation with the Launchpool platform will take place over 30 days, from September 9 to October 9.

During this period, BNB, BUSD and ARPA staked balances will be recorded hourly in order to obtain an average daily staking balance.

The rewards allocated to each pool will be distributed evenly each day for the duration of the operation. In total, 5,000,000 BEL tokens will be distributed, so around 166,666 per day .

The distribution of BEL tokens in the 3 pools is not equal, with a large domination of the BNB:

• BNB Pool: 4,500,000 BEL distributed (90%)
• Pool BUSD: 450,000 BEL distributed (9%)
• Pool ARPA: 50,000 BEL distributed (1%)

To participate in this distribution of BEL tokens, you must first acquire one of the supported cryptocurrencies (BNB, BUSD, ARPA) then stake your funds using the dedicated page.

The more BNB will be staked for the Launchpool event, the more the distribution between users will be important.

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New use case for BNB

The Launchpad platform, dedicated to IEOs, will continue its normal activity, and concurrent sessions with Launchpool will be likely in the future. Thus, all BNBs staked with Launchpool will also be taken into account for Launchpad IEOs.

With this peculiarity, Binance offers BNB a new use case and the interest for users to own it is also increasing. Following the announcement, the Binance Coin price has also increased significantly. So in the midst of the bear market due to the recent fall in Bitcoin, BNB has caught up to its pre-dump price.

After dropping to $ 18, the arrival of Binance Launchpool and Bella Protocol caused BNB to surge by over 25%, with the utility token increasing from $18.76 to $23.56 at its point on high. Although the platform is fully centralized, it wishes to take full advantage of the craze around DeFi, by itself offering services whose operation is similar to already existing decentralized solutions.