Bybit allows you to earn money in the launch pool. But what exactly is a launch pool? And what are its characteristics? Is there any risk? I think there are many questions, so I tried to summarize the meaning and characteristics.
- What is a launch pool?
- Benefits of Launch Pools
- Disadvantages of launch pools
- Different from Launchpad
- Requirements for launch pools
- OKG is eligible
- How to participate in the launch pool and when it will be held
- Steps to join the launch pool
- How to refund/cancel launch pool
- Launch pool yield
What is a launch pool?
A launch pool is a mechanism that allows you to acquire new project currency by staking a specific currency for a certain period of time. In other words, it is a service where you can get new project tokens for free just by depositing some currency. Bybit has BIT. Just by staking this BIT, pre-listed virtual currency tokens will be granted free of charge. Launch Pool is a service that only individuals can participate in, not corporations. Corporate accounts cannot participate.
Benefits of Launch Pools
The advantage of launch pools is that you can unstake at any time. This decision is always up to the user. Furthermore, it is a very low-risk investment that only stakes, and no technical trading skills are required. Furthermore, you can expect the price of the tokens you receive to rise, so there is a good chance that you will make money.
Disadvantages of launch pools
If the return is less than expected, there will be a loss as well. It means that there is a risk that the premium will not be returned if the market price fluctuates suddenly for some reason. As an investment, there is always risk. And launch pools don’t run all year round. The holding period is also irregular. The biggest disadvantage of launch pools is the risk of price drops in staked BIT tokens. If the BIT token price drops while staking, you will also lose money.
Different from Launchpad
Many people mistake launch pools for launch pads because of the similar terminology, but the investment method is completely different, so they are different things. If you are interested, please check the following articles as well. The launch pool is a mechanism that allows you to receive new virtual currency tokens for free, mainly by holding BIT. Launchpad is a mechanism that allows you to purchase virtual currency before it is listed.
Requirements for launch pools
Launch pools aren’t for everyone right away. If you do not meet the following conditions, you will not be able to participate.
First you have to open an account. You can open a Bybit account for free, so please refer to the article below to create one.
Completion of KYC Level 1
To participate in the launch pool, you must complete at least Identity Verification Level 1. It’s not that difficult, so please refer to the above article and try it.
Possession of 100BIT or more
It is a condition that you have 100BIT or more. This is because the required funds in the launch pool will be 100BIT or more. This money will be used as a stake.
Transfer of funds
In order to do a launch pool, you need to have funds available. The condition is to transfer BIT to Bybit’s “asset management account”.
OKG is eligible
Until now, only BIT was the target currency of the launch pool. However, from September 2022, OKG will also be covered. OKG is the token of the GameFi project “Ookeenga”. CROS Game Studio in Vietnam is responsible for development. Ookeenga is a real-time strategy game and trading card game. There is also a video on Youtube that you can refer to.
How to participate in the launch pool and when it will be held
The timing of launch pools is quite irregular, so we don’t do it all the time. Therefore, you should always keep an eye on Bybit’s official page. First, open the official page and select “Finance” → “Asset Management” → “Launch Pool”.
Source : Bybit
If there is something that you can participate in, it will be displayed in the list, so please try to revisit the time.
Source : Bybit
Steps to join the launch pool
The steps to participate in the launch pool are mainly as follows.
First of all, it is necessary to submit your ID card and process the approval at Bybit. If this is not completed, you will not be eligible to participate in the first place.
Hold USDT or BTC
You must have USDT or BTC to participate in the launch pool. Please try to obtain USDT or BTC by remittance from other exchanges.
Then buy BIT using USDT or BTC. This is because you cannot participate in the launch pool unless you own 100BIT or more.
Transfer funds from physical account to asset management account
Once you have finished purchasing BIT, please transfer the funds to your asset management account.
Now you can finally join the launch pool. Users will be able to earn profits by staking.
How to refund/cancel launch pool
The procedure for redeeming BIT tokens can be done by opening the Bybit home screen and selecting “Asset Management” → “Wallet Icon” → “Launch Pool” → “Refund”. You can cancel by entering the amount to be refunded. This will allow you to cancel the transaction, so you can use the refunded funds to perform other trades.
Launch pool yield
The average yield is around 5% to 10%. However, as explained above, it will be strongly influenced by BIT tokens. If BIT crashes, there is a possibility that you will incur a loss, so please take that into consideration.