Launchpool vs Launchpad: What's the Difference?
Learn the key differences between launchpools and launchpads in crypto. Compare risk levels, benefits, and find out which option suits your investment style.
If you're getting into early-stage crypto investments, you've probably come across the terms launchpool and launchpad. They sound similar, but they serve very different purposes. This guide explains the key differences so you can make better decisions and avoid confusion.
Quick Summary
- Launchpool = Stake existing tokens to earn new ones (usually free)
- Launchpad = Invest in a new token sale (you spend funds to buy the token)
What Is a Launchpool?
A launchpool is a way to passively earn new project tokens by locking your existing tokens (like USDT or BNB) on a centralized exchange. It's low-risk: your capital isn't spent, just temporarily locked, and you get rewarded with new tokens.
Think of it as yield farming for new projects.
Example:
- Lock 100 BNB on Binance Launchpool
- Earn a share of new token XYZ during its farming period
- Unstake your BNB after a few days
Key Benefits:
- Free token rewards
- No need to buy the new token
- Very low risk (funds are not spent)
What Is a Launchpad?
A launchpad is a token launch platform where you buy tokens of a new project before they hit the open market. You commit your funds (usually stablecoins or platform tokens) in exchange for new tokens, often at a fixed or auction-based price.
It's a more speculative and higher-risk play.
Example:
- Join Binance Launchpad
- Commit $200 worth of BNB to buy token XYZ at a launch price
- Receive XYZ at TGE (Token Generation Event)
Key Benefits:
- Early entry into promising tokens
- Potential for high ROI if the project succeeds
- Often limited supply (can be exclusive)
Launchpool vs Launchpad: Side-by-Side
| Feature | Launchpool | Launchpad |
|---|---|---|
| User Action | Stake tokens temporarily | Spend tokens to buy new token |
| Risk Level | Low (capital locked, not spent) | Medium to High (capital spent) |
| Reward Type | Free token distribution | Token purchase at sale price |
| Accessibility | Beginner-friendly | May require KYC, allocations, or lottery |
| Platforms | Binance, KuCoin (GemPool), Bitget | Binance, KuCoin Spotlight, Gate.io |
Which One Should You Use?
- If you want low-risk exposure: go with Launchpools
- If you're confident in a project and want early access: try a Launchpad
Pro tip: You can participate in both! Many investors use launchpools for passive rewards while exploring launchpads for high-potential gains.
Explore Launch Opportunities
Check our aggregated listings for:
- 👉 Launchpools
- 🚀 Launchpad support is coming soon on Stakinator
Always DYOR (Do Your Own Research). Not all launches are equal.
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