What Are Crypto Launchpads?
The crypto market might be in one of its worst bearishness in history, but we cannot neglect how far the industry has grown over the last couple of years. Cryptocurrency, a constituent of DeFi, has created alternative income streams for entrepreneurs and as well, revolutionized the financial space. By extension, Crypto and DeFi have eased access to financial products like the stiff fundraising mechanism and limited entry barriers which characterized the traditional finance space.
The exponential growth of the industry, however, alongside its high profitability has attracted more investors from all quarters and has introduced innovative projects into the market. One of the biggest innovations to emerge from the crypto space is a crypto launchpad.
Crypto Launchpads Explained
Successful blockchain projects do not just emerge from nowhere. In their early stages, they are incubated to allow investors and entrepreneurs access to them. The bulk of these projects depends on these entrepreneurs to raise capital to fund the operations and scale through. In exchange, early joiners have access to the project’s products and tokens at a subsidized rate.
A crypto launchpad or incubator enables investors and entrepreneurs to invest in these projects. They act as a catalyst for DeFi and crypto adoption, allowing potential groundbreaking projects to be funded by the right people. Crypto launchpads host DApps and help creators promote their projects to raise liquidity for their mainstream launch.
More than 70% of popular DeFi projects in circulation today were funded through crypto launchpads. This makes them a valuable asset to the industry — a determinant of the industry’s growth in the next ten to fifteen years.
Key Importance of Crypto Launchpads
Investors are always exploring emerging projects with huge potential to invest in. Getting in early will ease access to early-stage token sales and strike a bargain before the public launch. Once a blockchain project goes public, investors are certain that the token’s value will appreciate and could make up to 100% profit on each token sale.
However, identifying these platforms is not as simple as ABC. The emergence of crypto launchpads made it easy for investors to identify these projects and invest in them early. Since most of them have a proper vetting system, entrepreneurs are convinced that their investments are safe. In other words, they don’t need to worry about losses or falling prey to scammers. For these blockchain-based startups also, crypto incubators help developers showcase their projects to global investors and convince them to invest.
DPAD Launchpad, in particular, is an emerging crypto incubator that aims to correct errors in the launchpad space. Sadly, the current ecosystem lacks data-driven and transparency as a service approach (DATAS) as well as interoperability mechanisms. The lack of these features makes it complicated for investors to make the best investment decision and raise liquidity on multiple platforms.
DPAD deploys DATAS to eliminate the need for investors to research independently before investing in a project. The launchpad provides an analytical overview of the project’s whitepaper, tokenomics, and TGE, with a star rating to eliminate biases. With a data-driven and transparent solution, investors spend less investigating a project, increasing the number of IDO investments.
Crypto launchpads have become a crucial asset to DeFi space. They bridge the gaps between investors and emerging project developers, allowing startups to access the needed funds to launch publicly and investors to have early access to products.