The initial exchange offering (IEO) craze continues as more crypto projects seek funding and WINk is the latest token to be listed for sale on Binance Launchpad. WINk is issued on the Tron blockchain using the TRC20 standard. To point out, WINk is a new token of the popular TRONbet gaming platform.
According to Changpeng Zhao, CEO of Binance:
“The gaming industry has been at the forefront of emerging technologies and has demonstrated a strong interest and demand for utilizing cryptocurrency and decentralized platforms. …decentralized gaming platforms provide a wide range of tangible benefits. …We hope that hosting WINk on Binance Launchpad will showcase the advantages of blockchain-based gaming and help advance this space further.”
WINk Token Sale Will Be A Lottery
Announcing the listing, Binance said that “WINk token sale will follow a lottery format. …BNB (Binance Coin) in Binance Margin Accounts will not count towards each user’s BNB balance for Launchpad ticket claim.”
Unlike the exchange’s previous ‘first come first served’ approach, the lottery system will be in favor of those holding large amounts of BNB. For instance, those maintaining a minimum 2-day BNB balance of between 100 and 200 are entitled to one lottery ticket, while those with more than 500 BNB can have up to 5 tickets.
In March, Binance notified the community that:
“The lottery draw will be done via a transparent, randomized system with a random selection of lottery tickets based on tail digits. Account verification (KYC) and country restrictions will still apply. [Additionally], users will be able to claim up to a maximum of 5 lottery tickets based on their BNB holdings over the 20 days leading up to the lottery draw date.”
Although the WINk (WIN) token has a total supply of 999 billion, only 5 percent will be available for purchase on the Binance Launchpad.
The question is: Will WiNk dump?
Unfortunately, although tokens issued on Binance Launchpad always have high value during the sale, they mostly dump a few days after the sale is over.
For example, the CELR token which is used on the Celer Network started weakening just hours after its sale on Binance Launchpad. Surprisingly, 24 hours after listing on the Binance exchange, the token was down 21 percent.
To clarify the dumping allegations, Coinmarketcap indicates the first price to be $0.024 on March 25, 2019. Interestingly, since then, the token has been depreciating. On May 9, the token was exchanging hands at $0.0073. At present, CELR is trading at $0.0096.
Fetch.AI (FET) was also issued on Binance Launchpad. Unfortunately, the same misfortune that befell CELR haunted FET.
On Coinmarketcap, FET’s first price was 40 cents. Surprisingly, that’s the highest price to date. FET’s price has been declining and currently stands at 9 cents.
Is the Launchpad hype real?
Binance, a leading cryptocurrency exchange, presents the Binance Launchpad as a platform to “help blockchain projects raise funds and increase their reach across the crypto ecosystem.” However, some say it is overhyped.
A comment on the Bitcoin Talk forum reads:
“While launching through Binance Launchpad, trading support is being provided. This assures on profit to people who got an opportunity to make a [purchase] through Launchpad.… [Tokens on Binance Launchpad] are overly hyped, usually sold out in minutes and then get dumped to those who didn’t have a chance to buy them [on Launchpad]. The people who buy them later in the exchange end up holding bags of shitcoins.”
