A popular way to earn in the field of cryptocurrencies lately is Launchpool. It's quite simple – you lock your money for a certain period on a cryptocurrency exchange and receive interest in the form of coins.

In this article, we have discussed: what Launchpool is and how it works, what APR is and how to calculate it, and on which exchanges you can participate in events.

What is Launchpool: How It Works

Launchpool is a mechanism mainly used on cryptocurrency exchanges to launch new projects and tokens. With Launchpool, investors can lock their funds for a certain period and receive rewards in the form of new tokens. This process is called staking.

The principle of participating in Launchpools is almost the same on all exchanges: an event is announced, and on a certain date, you are given the opportunity to stake your money, that is, to lock it for a certain period. Then you will receive interest, and at the end of the term, your deposit will be returned to your balance. You can withdraw the deposit from the Launchpool prematurely.

It should be noted that participation in such events is generally available to those who have passed KYC (identity verification), but it all depends on the rules of the exchange. Participation is usually possible using stablecoins like USDT (possibly others, depending on the exchange), other altcoins, or exchange tokens.

What is APR and How to Calculate Daily Percentage

Exchanges have come up with a trick called APR (Annual Percentage Yield) to attract investors. For example, you might see that you will have 65% APR, and beginners might think that you will receive such a percentage over the term, but this is the annual yield.

APR is calculated as follows: you take the annual percentage, say 65% APR, divide it by 365, and get the daily percentage. It's simple. So, 65/365=0.178% per day.

It is very important to understand that APR can change depending on the amount of invested money and the number of users who joined the event.

On Which Exchanges You Can Participate in Launchpool

Here is a list of exchanges where you can participate in Launchpools:

• Bybit Launchpool;
• OKX Jumpstart;
• Binance Launchpool;
• BingX Launchpool;
• Bitget Launchpool and PoolX.

Conclusion

Launchpool is a relatively simple and stable way to earn on cryptocurrencies. Yes, the percentages are small, but with a large deposit and a large number of events, you can consistently earn well each month without risks.

In this article, we discussed: what Launchpool is and how it works, what APR is and how to calculate it, and on which exchanges you can participate in events.

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We hope this article was useful to you. Wishing everyone successful and profitable investments!