Leading cryptocurrency exchange platform Binance is not content with simply offering a medium for traders, investors and speculators; the company now offers Launchpad, which is a dedicated platform that blockchain developers can use to launch new tokens. In other words, Binance Launchpad offers a live medium that does away with the need of setting up controversial initial coin offerings.
WazirX is the first token launched through Binance's new platform, which was announced last year, and managers were happy with the results. To spice things up, the WazirX Launchpad session involved a lottery system whereby investors could get tickets to give them an opportunity to snap up tokens at launch time and before going to market; it was a generous lottery with chances of winning greater than 7%.
Only lottery winners were entitled to acquire WazirX tokens, and the launch was reasonably successful with all 100 million WRX coins snapped up during the launch event. As can be expected, lottery tickets were paid for with Binance Coin (BNB), thus giving this proprietary token a nice circulation boost.
The WRX token itself is proprietary; WazirX is an established cryptocurrency exchange platform that operates in India, and it is trying to become a major player in the Asian market by increasing its capacity to handle fiat to digital currency conversions. The tokens will start trading on Binance starting on February 5, and they should attract a fair amount of interest since they will be properly listed. For WazirX, this launch means a nice capital injection that does not have any of the trappings of ICO placements, which have come under scrutiny of regulators around the world.
Binance Launchpad is just getting started, and it will likely continue to offer lottery tickets to interested investors. The advantage of this system is that it gives prospective traders a more equitable opportunity to invest in emerging tokens. In the past, the first-come-first-served method of launching new digital currencies was not only restrictive but also more prone to manipulation once the tokens hit the open trading markets. As of February 5, WRX tokens were priced at about $0.06, and the trading volume was slightly volatile.