π‘The Problems We Want to Solve
Currently, launchpad models that gate user participations through token requirements are outdated, unsustainable and possess several glaring issues to retail, particularly in the long term.
These include but are not limited to:
High Entry Barriers
In bull markets, it can cost several thousand USD to purchase potential allocations into project launches for insignificant allocation sizes (e.g. Mike spent $2.5K to purchase 500 of Launchpad X tokens in the hope of winning a ~$50 dollar allocation).
It would be far more user friendly for the user to NOT put any capital upfront (e.g. $2.5K) for the purchase of Launchpad X tokens but rather, just pay a nominal percentage % based service fee once they have secured their allocations. This would be far more equitable to them.
In the bear market, there is limited use of these tokens as launchpads have a nominal number of launches given the interest from retail becomes nonexistent, and liquidity is at all-time lows.
Low Possibilities of Winning (Sub 0.5% for every entry)
For the average launch across any launchpad platform utilising lottery models, participants are highly unlikely to obtain a winning allocation, unless they possess a guaranteed allocation. The likely final outcome for these unlucky participants is that they are left with no winning allocations and a bunch of launchpad tokens that they probably purchased at a premium when the IDO was announced which has now dropped below their purchase price.
It is even worse for the projectβs community members that only purchase the launchpadβs tokens to participate in that singular launch and have no interest in purchasing other launches by the launchpad.
The existing launchpad/fundraising ecosystem is broken and needs to be fixed - We believe PAID Network sets us on the right path towards that!
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