Matic Network "Wins" USD 5 million in Binance Lottery
Major cryptocurrency exchange Binance just completed its first lottery-based token sale on its Launchpad platform: the Matic Network (MATIC) raised around USD 5 million after all available 1.9 billion of MATIC tokens were sold.
The lottery winners depend on the tail digits drawn at random at increasing precision: from one to five, until a set number of winning tickets is reached. In this case, the percentage of winning tickets was more than half, or more precisely, 58.38%, which is a total of 16,666. The respective number of BNB (Binance coin) tokens will be deducted from winning users’ accounts starting today at 10:00 UTC, and trading of the MATIC token will begin against BNB, BTC, and USDT from tomorrow, April 26th, at 15:00 UTC.
Even though the token sale is the fourth on Binance’s Launchpad this year, it is only the first to be based on the lottery system. Back in March, the exchange announced their intent to switch from the first come, first served basis to this new system, where a user can claim up to five tickets to participate in the token sale, whereas the number of tickets depends on the amount of BNB held over a 20-day period.
Many in the community consider this system more fair than the usual first come, first serve basis: “My first successful IEO [initial exchange offering]. Thank you for the fair lottery system,” writes Twitter user @AllinBNB. Still, not everyone is happy - especially the ones who didn’t win. “Kept holding 500 BNB (approx 11000 usd) for 20 days and got two tickets worth 600 usd. This is not gonna work for me, too much risk, too little reward,” writes user @founderofego.
Matic Network is a developer of Layer 2 scaling solution. "Many projects are already building apps & integrations with Matic," according to Binance.
BNB has jumped more than 3% in the past 24 hours (AM 12:58 UTC), for a total of around 10% in the past week. Even though their non-custodial exchange Binance DEX recently went live, the coin still struggled somewhat, although it remains one of the best-performing cryptocurrencies in the market this week.
BNB price chart: