Binance, Global cryptocurrency exchange has just announced that participation in its next Launchpad project will be conducted through a lottery format.
Prior to this announcement, the system functioned on a first come, first served basis. As a consequence, many users were left without tokens. As a solution for this, Binance made major changes. Actually, the new announcement states that Binance will be using “a new lottery format for the next project on Binance Launchpad”. Thanks to its new lottery ticket system, users are now able to claim a maximum of five tickets through holding BNB token over the 20 days leading up to the lottery, with 1 ticket per 100 BNB. The next step will be announcing the maximum number of lottery ticket winners along with the allocation amount to each winning ticket received.
Furthermore, Binance will enable users to choose the number of tickets they want to use in a given lottery in the 24 hours before the winners are chosen. The maximum number will be based on their BNB holdings over the prior 20 day period.
About this new model, the leading exchange has warned about a few risks and trade-offs. As a matter of example, fluctuations in BNB trading before and after the snapshot time can be present due to the daily snapshot. In addition, holding BNB does not guarantee an allocation.
As a response, Changpeng Zhao, Binance CEO, stated that the company will consider suggestions and “will make certain tweaks” to the new model. For instance, some users suggested making the minimum threshold required to enter the lottery lower. The minimum threshold required is now 100 BNB which is around $1,660.
that seems to be the magic number a few guys suggested. Maybe we (especially I) got it wrong on the first try. We will see.
— CZ Binance (@cz_binance) March 24, 2019
Just after their announcement, Binance coin (BNB) reached a new overall high at $17.74