Why are IDO Launchpads So Popular in the Crypto Space in 2022?

We know that cryptocurrencies have been making waves since Bitcoin arrived in the late-2000s. Today, there are nearly 20,000 crypto tokens, according to the latest report, even though only a few hundreds of them have any trading volume and exchange value. These tokens formed the basis for what has been called “Web 3.0,” or decentralized web. As more applications arrived, entrepreneurs who looked to capitalize on the decentralized web took crowdfunding as a tactic to gather money for their projects. Such lines of thought resulted in the arrival of various initial crypto offerings, including ICOs, IEOs, STOs, and IDOs. Out of all the things mentioned here, we will exclusively focus on IDO launchpads in this blog since they have become so popular in 2022.

Insights On IDOs and IDO Launchpad Platforms

Initial DEX Offerings (IDOs) are fundraising mechanisms that use decentralized cryptocurrency exchanges (DEXs) to list project tokens. These offerings were praised as they capitalized on the shortcomings of the previous crypto crowdfunding models, ICOs and IEOs, which were unregulated and over-regulated, respectively. IDOs have many comparative advantages for businesses and end-users as they utilize decentralized crypto exchanges for listing, trading, and liquidity. Also, IDOs have little to no slippage and allow the project to list their crypto tokens at low costs, which shatters all the barriers. Additionally, tokens can be traded immediately, allowing tier values to shoot up instantaneously, which benefits startups.

IDO launchpads are platforms that host IDO projects and list their tokens. These platforms intend to serve as one-stop solutions for investors and project owners as every minute detail of a Web3 project is provided in the launchpad. For instance, a project can give its whitepaper, roadmap, token details, social media links, website links, and other relevant information, which investors can view before registering for a whitelist or deciding to buy tokens.

Steps Involved in IDO Launchpad Development

• Plan vividly for the IDO launchpad platform and consider all the possible factors that might determine the flow of your venture.
• Record all the insights you got to form the official documentation, which can help people involved in IDO launchpad development anytime.
• Create prototypes for various user-ends (mock screens), including buyers, sellers, and administrators. Get reviews on the mock user-end screens from developing experts.
• Based on experts’ reviews, design the platform’s front-end by adding all features and the experience you need to have in the IDO launchpad.
• Develop your IDO launchpad solution’s back-end to enable the seamless working of the front-end features in the platform.
• Integrate the platform into the blockchain(s) of your discretion, build smart contracts, and create native tokens. Ensure that all your venture needs and policies are met without fail.
• Test your IDO launchpad repetitively for defects using various methods (manual and automated), and resolve immediately if any are found to make the platform flawless.
• Advertise your new Web3 fundraising venture across mediums using various proven marketing strategies to gather an initial community consisting of investors and project owners.
• Launch your IDO launchpad for public trading and get suggestions from users that can be used during upgrades that will help it handle user traffic and stay up-to-date.

The process behind developing your IDO launchpad would change drastically if you use White label solutions that are pre-made as customized solutions or platforms similar to popular IDO launchpads. In that case, you can see that time taken for development and testing reduces, and it is up to you to modify and add user-end features to the ready-to-launch solution.

Features of an IDO Launchpad Platform

• An IDO launchpad can be compatible to work on any blockchain as we can see that almost every network has its own fundraising platform.
• Such a platform also has multi-tier staking modules that can be helpful for investors to find projects that match their token staking levels as a reward for their commitment.
• Most IDO launchpads also have built-in crypto wallets that will handle all trade transactions inside the platform, making things safer for users.
• These platforms also have compliance protocols such as Know Your Customer (KYC) and Anti-Money Laundering (AML) to ensure that all users are genuine and projects are in with good intentions. Vetting here is done by community members who will be determined by the whole community through voting or based on staking levels.
• IDO launchpads also have a listing portal that gives out comprehensive information on upcoming IDO projects so that investors can discover exciting projects and invest in their tokens.
• Project tokens in an IDO launchpad are allocated quickly after the IDO opens so that holders can trade them instantly should they wish to do so.
• Such platforms also allow the creation of many investor pools so that admins can manage the launchpad effectively and prevent the investment pools from getting overcrowded.

Why are IDO Launchpads So Popular in the 2022’s Crypto World?

The reasons surrounding the fame of IDO launchpads among crypto startups in 2022 have been due to their usage of decentralized exchanges, which form a major part of decentralized finance. Also, these platforms enable small-time entrepreneurs to garner an initial community easily and retail investors to access tokens from bigger brands. Additionally, token transactions and secondary sales are truly peer-to-peer (P2P), which preserves the current notion of total decentralization in the Web3 space. Such characteristics ensure that IDO launchpads would stay on for long, unlike their counterparts which did not evolve with time.

Thoughts Before Ending

Hence, we can say that IDO launchpad development is the ideal business option for people striving to help the Web3 community grow in some way. These platforms assist small startups in gathering funds and following, which were difficult to obtain prior to IDOs. If you want to run an IDO launchpad venture, there are a few firms that can aid you with their expertise in developing such platforms. They typically have customer-centric nature, quick completion, and access to advanced technology, all these coming at economical costs.