It has been more than a year since the cryptocurrency market has fallen from its high point. Investors have chosen to clear their positions and leave the market, or leave the cryptocurrency market to choose other tracks. In fact, in 2023, encrypted assets are among the best performing investment targets. According to data from CoinMarketCap, the total market capitalization of the crypto market has risen from a low of $780.9 billion to $1,163.1 billion today.

It is undeniable that the crypto market is still in a bear market. Similar to the previous bear market, the investment hotspots in the encryption market switch quickly, and different sectors come and go one after another. The difference is that few people review the past market, especially IEO, which was once popular in the bear market.

Compared with the variety of profit methods in the bull market, IEO is popular in the bear market because it can provide more stable and deterministic profits. Binance CEO CZ even said "When Launchpad?" on Twitter.

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17 IEOs with an average increase of 1458%

Beginning in 2021, Binance Launchpad has conducted a total of 17 IEOs. In order to better analyze the returns of projects, all projects use the USDT trading pair as the standard (the overall data will be slightly higher than the BNB trading pair). UTC+0 closing price is used for calculation, and the maximum increase does not include the highest price due to violent price fluctuations within one hour of going online.

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Projects with a lower initial issue price are likely to receive a higher increase

After sorting the initial issue prices of 17 projects, BlockBeats found that the issue price has a strong negative correlation with the first-day increase and the largest increase in history, and projects with lower initial issue prices are likely to achieve higher increases .

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Buying at the close of the first day and selling the next day can be profitable, but the market style is changing

When an IEO project is first launched, it often fluctuates violently and the price is distorted. Therefore, the highest price point generated within 1 hour after the launch is excluded from the calculation. And at UTC+0 time point (that is, the closing price of the first day used in this article) is a game point generally accepted by the market for a new day or a new K-line, so the price here has sufficient liquidity and trading volume for users to trade .

At present, 17 IEO projects have the opportunity to make profits in the subsequent market after they are purchased at the first UTC+0 time point after they go online, but the profit margins vary greatly. For example, TKO has the smallest profit margin, only 0.15%. The GMT with the largest profit margin is 3051%. Therefore, it can be concluded that there is no direct relationship between the performance of an IEO project on the first day and its subsequent performance.

But as an ordinary investor, the amount of participation in IEO is limited, how to maximize the investment income of IEO? In other words, when is the best time to buy and sell IEOs? In order to study this problem, the parameter of the time elapsed from the launch of the IEO project to the maximum benefit is introduced here.

After introducing the parameter of "holding time for maximum benefit", it can be clearly found that Binance Launchpad has an obvious style change. Before PORTO carried out IEO, 6 of the 9 IEO projects reached the highest price in the current history on the day after their listing. PORTO is the fan Token of Porto Football Club in Portugal. It reached the current historical high point 275 days after the IEO. The main reason is that a large number of investors bought fan Token due to the hype of the 2022 World Cup.

After comparing the yields of projects before and after PORTO, it is found that there is a big gap. After deducting PORTO, the overall average yield of the 16 IEO projects is 311.46%. The average rate of return of the nine projects before PORTO was 153.09%, while the average rate of return of the seven projects after PORTO could reach 515.07%.

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Binance Launchpad Preference Change

After entering the bear market, the market style has changed, and the style of Binance seems to have changed, and this change seems to be inseparable from GMT, the most successful project of Binance Launchpad in recent years.

GMT is the governance token issued by STEPN. STEPN is a Web3 application that focuses on Move to Earn. According to the previous statistics of Dune Analytics user 0x pineapple, before GMT was announced as Binance Launchpad, it had already started to become a popular application, and the launch of Binance Launchpad has accelerated this process.

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HOOK

HOOK is a governance token issued by Hooked Protocol, which is a Web3 infrastructure that provides Learn and Earn. Hooked Protocol's first product is Wild Cash, which offers Quiz to Earn. Before launching on Binance Launchpad, Wild Cash ranked first in the Google Play rankings in Indonesia, Nigeria and other countries, and has accumulated 4 million downloads worldwide.

After being launched on Binance Launchpad, the global downloads of Wild Cash exceeded 10 million times, and the Google Play single platform has accumulated more than 5 million times.

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ID

ID is a governance token issued by SPACE ID, a decentralized domain name service protocol. Before joining Binance Launchpad, 418,000 ".bnb" domain names were registered, second only to ENS (Ethereum Name Service) in the field of decentralized domain names.

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EDU

EDU is a governance token issued by Open Campus, a decentralized Web3 educational content platform. Open Campus's first application, TinyTap, was established in 2012, and in June 2022, Animoca Brands acquired 84% of the shares for $38.9 million and became its subsidiary.

TinyTap was already a popular edtech company before joining Binance Launchpad. TinyTap has 9.2 million registered users, 120,000 registered users, 15,000 active creators and 230,000 interactive courses.

After joining Binance Launchpad, Open Campus did not directly gain data growth. After all, education itself is something that requires long-term persistence. But it also gained something. Sequoia China, Kingsway, Liberty City Ventures, Polygon and other venture capitals paid attention to the track and invested $8.5 million in Open Campus. It's official, and Open Campus has launched a $10 million Global Educator Fund that will provide grants to educators who create content.

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Binance Launchpad is still the best investment target in the bear market

After analyzing the projects launched on Binance Launchpad in the past two years, it can be found that market preferences, user preferences, and platform preferences are all changing over time. Among them are not only caused by changes in the external macro environment, but also due to internal reasons in the encryption market.

As far as the encryption market is concerned, it is still in a bear market, with declining capital activity and preferring short-term hotspots. However, the Binance Launchpad project has produced a different style change, and extending the holding period may result in higher returns. Investors should have enough patience for innovative and experimental projects such as HOOK and EDU. As a project that chooses to issue Token when the market is down, it must have the ability and consideration of continuous BUILD.

Compared with previous projects, the quality of recent IEO projects is higher and the average rate of return is also higher, but perhaps due to the huge return of GMT 41686%, the returns of HOOK 4000%, ID 4100%, and EDU 3290% are not impressive enough. However, it is obviously unreasonable to compare projects like GMT that affect the entire industry or even outside the industry.

In fact, in the current environment, the data shows that Binance Launchpad is still the best investment target in the bear market.