Binance Launchpad has attracted a wave of controversy. This weekend, the platform changed the format of its token sales: from now on, it will distribute tokens via a lottery system.
This decision has attracted plenty of criticism from the community. While Binance has been warning users not to make reckless investment decisions, the company’s CEO has been answering feedback on Twitter.
Then and Now
Until now, Launchpad’s token sales have required investors to wait in line. However, this approach caused sales for popular tokens such as BitTorrent Token and CELER to run out very quickly. High traffic also resulted in technical issues, which caused some users to lose their place in line. Binance CEO Changpeng Zhao says that high demand has become a “core issue.”
From now on, users who want to take part in a sale will need to hold at least 100 Binance Coin (BNB). Those users will be able to claim up to five lottery tickets, which can be entered in a draw. If a user’s tickets are selected, that user will be able to buy…