Binance has changed its participation model for token sales (IEO) on the exchange..
As it is known, the platform has been giving the opportunity to invest on new projects via the token sales platform which has been called Binance Launchpad for a while. Up to now, three different token sales have been made, including BitTorrent, Fetch.AI and Celer. The model used in this token sales was "first come first reserve“ model. However, this sales model brought with it important problems. Almost all of the users were experiencing errors in the system due to the accumulation in the stock market. This resulted in a bad user experience. For example, more than 39,000 people were involved in the recent Celer Network sales, of which only 3,000 could be bought.
New Model: Lottery
Binance's new token sales model will be based on lottery. A certain amount of Binance Coin (BNB) is required to be eligible for participation in these sweepstakes.
Users need to have at least 100 BNB for 1 lottery ticket. At least 200 BNB for 2, 300 BNB for 3, 400 BNB for 4 and 500 BNB for 5 ticket rights can be obtained. A user may request up to 5 tickets.
A 20-day period will be determined after the project announcement. Users who have at least these amounts during this period will be able to request tickets.
Let's say the project A was announced. The maximum number of tickets to be given in the lottery is 15,142 and with each lottery ticket can be purchased with 500 USD token said.
Following the announcement, Binance will begin to take snapshots of BNB balances to determine the amount of tickets that can be requested 20 days before the draw. This will be done every day at 00:00 (UTC).
A day before the raffle, users will be asked for a ticket. In this example, suppose that 100,140 tickets are issued on demand at the end of the period.
After receipt of requests, the draw will start and a random number of 15,142 tickets will be selected.
Then the BNBs will be deducted from the balances of the persons with the selected ticket numbers corresponding to the USD value of the tickets.
The number of tickets given to the person A who requests 3 tickets with 300 BNBs is 100037, 100038 and 100039. As a result of the sweepstakes, let's assume that only one of these numbers has 100037. In this case, A will have 1 winning ticket and will receive a token of 500 USD from project A. If there were 2 winning tickets, he could invest 1000 USD in the related project.
On the other hand, A person with 3 tickets, if the 20-day period of 19 days of 300 BNB, the balance of the last day 299 BNB'ye was able to get 2 tickets this time. So, a user who wants to buy 3 tickets has to keep at least 300 BNB on the balance over the entire 20 day period.
Binance Coin Breaks Record
Following Binance's announcement, the platform's cryptocurrency Binance Coin (BNB), rose to the highest level of all time against Bitcoin. Crypto money increased by 9 percent in the first minutes and saw 0.00422 BTC and now it is 0.00413 BTC.