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Fair Launch

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Last updated 2 years ago

Fair launches are a sort of crowdfunding. The project sells tokens to all participants equally. Tokens follow a fair and balanced distribution in a proper fair launch. Fair launches have the determination to get rid of team incentives as defining characteristic. A fair launch aims to prevent projects from distributing tokens before the general public can access the platform. Most DeFi initiatives will compensate developers and teams with tokens for their contribution to the project in most instances. A project where developers do not have a particular incentive to build a successful initiative can be problematic. At the same time, the success of a crypto project largely relies on its community. The bottom line is that there are great reasons to support both pre-sale rounds and fair launches. As we clarified above, the choice mainly depends on how a team designed the project. Ideally, the team should aim to make investors, users, and developers happy. If any of these stakeholder groups feel ignored by the project, the crypto initiative may fall apart.

LogoProgressive Decentralization: A Playbook for Building Crypto Applications | Andreessen HorowitzAndreessen Horowitz