In this article we will see which crypto exchanges offer the best “Return of Investment” (ROI) on projects launched through their own launchpad.
Launchpads are token launch platforms that allow users to invest a small amount in that cryptographic resource before it is listed on a crypto market, and typically offer excellent earning opportunities.
Below we rank the exchanges based on the average ROI presented by the tokens launched in these sections during 2023.
What is a crypto launchpad?
A crypto launchpad is a platform that is used to initially launch a cryptocurrency through a programmed distribution, and often offers a high ROI to investors.
The most famous and generally the best launchpads are those of centralized exchanges such as Binance, Kucoin, OKX, Bitget, and Bybit, but there are also decentralized versions that allow access to DeFi.
The mechanism for investing in these “launch pads” is more or less always the same when it comes to centralized exchanges.
Usually launchpads start with the exchange of the moment announcing the cryptographic project and the cryptocurrency that will be put up for sale to its customers.
However, only those who hold a stake in the native token of the reference exchange can participate, such as: BNB for Binance, BGB for Bitget, MNT for Bybit, OKB for Okx, KCS for Kucoin, and so on.
By holding a balance of these cryptocurrencies, you can enter the “calculation” phase of the launchpad where the average balance of that coin held in the wallet for a certain period of time (usually about 10 days) will be calculated.
Generally, the more tokens of the exchange you hold, the higher the investment you will be able to make.
Up to this point, however, nothing has been invested yet, but preparations are being made to calculate how much can be allocated to the new cryptocurrency that will be launched on the market.
After the calculation phase, we move on to the “subscription” phase where the user actually expresses their willingness to participate in the launchpad by dedicating a portion to the investment (with a maximum indicated by the previous phase).
This is where the “trick of the launchpad” lies because, even though you know that the project you are investing in will most likely generate a very high ROI, only the whales who own millions of dollars can allocate a large sum.
Anyway, it’s all related to how bag holders of the launchpad exchange token are and it’s still a great way to have an extra income in dividend style with stocks.
After the subscription phase, we move on to the actual distribution on the participants’ wallet and the listing of the crypto on the markets.
Without going into too much detail, we remember that investing in launchpads is advantageous only if you already own the exchange’s cryptocurrency and can build a yield on top of it.
If you are going to buy, for example, BNB just to participate in Binance’s launchpad, the investment may not be as convenient anymore, especially if BNB has a bearish price action during the subscription period.
The best exchanges with the highest ROI in 2023
After briefly introducing how crypto launchpads work, let’s see which are the best centralized platforms that have had the highest average ROI in this 2023.
By calculating the initial listing prices of all the cryptocurrencies launched with these means and comparing the data with the current prices of these coins, we can reach an average profitability offered by each platform.
Before listing the best launchpads and noting the ROI percentages, we remind you that very often you can invest a small amount of money in these sections because the turnout and competition are always very high.
To give you an idea, let’s make a spanometric example with Binance‘s launchpad: for every 1000 dollars in BNB, you can invest approximately 5 dollars in the new crypto (it all depends more precisely on the average balance of other participants and the coin’s supply).
That being said, here are the best launchpads of 2023 that have provided the highest return on investment (ROI) to their users, according to the data offered by TokenHunter.
- OKX JUMPSTART: Average ROI of 3.457%, which is a 34.56X return on investment. Among the best projects launched on this platform, we find BRWL, SUI, and ACE. Unfortunately, in Italy, due to the current regulations, OKX’s launchpad is not available.
- BINANCE: Average ROI of 2,901%, which is a 29.01X return on investment. The latest projects launched by Binance in this section are ARKM, EDU, and ID.
- BITGET: Average ROI of 2.535%, which is a 25.35X return on investment. It is worth mentioning the latest cryptocurrencies that have been launched on this platform such as UP, T2T2, and TYPE
- KUCOIN SPOTLIGHT: Average ROI of 2,330%, which is a 23.3X return on investment. Among the top cryptocurrencies, we see VCORE and SUI
- BYBIT: Average ROI of 1.511%, which is a 15.11X return on investment. Excellent performance by 5IRE, CRDS, and CTT.
- BITMART: Average ROI of 509%, which is a 5.09X return on investment
- GATE.IO STARTUP: Average ROI of 356%, which is a 3.56X return on investment
- BITFOREX: Average ROI of 149%, which means a 1.49X return on investment
