What is a Crypto Launchpad

Written by
Catherine Andrea Gerdez
Published on

July 24, 2025

Updated on

Crypto is the driving force behind innovation right now. The moment you step into this world, you’ll notice new projects popping up every single week. Every day, really. It’s impossible to keep up with all the ideas and products launched across this global collective economy.

But you don’t need to keep up with everything. You just need to know where to look.

That’s what a Crypto Launchpad is. It’s a platform where you’ll find curated startups. Real opportunities with real potential.

In this article, we’ll explore what a launchpad is, how it works, and why you, whether you’re just starting out or already deeply involved in Web3, should be paying attention.

What Is a Crypto Launchpad?

A Crypto Launchpad is the Web3 version of an incubator. It’s a platform where you, as an everyday crypto user, can find vetted projects and get early access to tokens before they’re listed on major exchanges. At the same time, it offers long-term funding for founders building in Web3.

Key aspects of a Crypto Launchpad:

-Buy tokens before they hit exchanges

-Get early investor discounts

-Join only vetted, low-risk projects

-Founders raise funds and gain visibility

-Community helps drive adoption fast

The earlier you support a project, the higher the potential upside, and the stronger your alignment with its success.

Crypto Launchpad Benefits

Crypto launchpads are not just another funding tool. They offer real advantages for both retail investors and early-stage project teams.

Why Investors Use Launchpads

Here are some of the main reasons why investors increasingly choose launchpads over traditional investment options.

-Higher ROI than traditional investments: Investing in early-stage crypto projects gives you exposure to opportunities that outperform traditional options like U.S. Treasury bonds or savings accounts.

-Full transparency and Open Access to project data: You can review the team, tokenomics, roadmap, and everything else before making a decision. No guesswork. No hidden documents.

-Invest early, hold long, and grow with the project: By supporting a project early, you become part of its long-term growth. Your tokens grow with the ecosystem.

-On-chain transparency and trackable token distribution: From allocation to token distribution, it’s all transparent and verifiable. No backdoors. No fake numbers.

-Invest in projects that reflect your values: Web3 lets you invest in ideas you actually believe in. This is value-driven capital, not just speculation.

Why Founders Use Launchpads

Here’s why more founders are choosing launchpads to kickstart and scale their projects.

Raise more funds with crypto launchpads: Compared to traditional crowdfunding or startup incubators, launchpads help you raise more with fewer gatekeepers. Users can join from anywhere, and in some cases, they can even request a refund if they change their mind.

Access a global, crypto-native user base: You get instant access to a crypto-native audience that understands the space and can help sustain your project after launch.

Retain control and flexibility in Web3 fundraising: In Web3, you keep more control over your roadmap, your token design, and your community. No VC term sheets. No equity dilution. No corporate red tape.

How Does a Launchpad Work?

A Crypto Launchpad works like a funding platform and early-stage accelerator. It helps new Web3 projects raise capital and build community while providing investors with early access to tokens before they are listed on the market.

Most launchpads follow a similar process:

Project vetting

The launchpad team reviews the project’s whitepaper, team, roadmap, MVP, tokenomics, and social media presence. They are seeking legitimacy, but also a vision and potential for growth.

Public announcement

Once approved, the project will be announced across the launchpad’s channels, allowing the community to start getting involved.

User registration

This is when users show interest in participating. On most platforms, you need to stake tokens or complete KYC to be eligible.

Token sale

The project launches its IDO. Investors can contribute funds in exchange for tokens. Some platforms run lotteries. Others use tiered models that favor large investors.

Token Distribution and Listing

Once the sale ends, selected users will receive tokens in their wallets. Projects are usually listed shortly after, either on a decentralized or centralized exchange.

Ongoing support

Some platforms provide ongoing assistance to projects, including post-launch marketing, partnerships, and visibility. Others do not. It depends on the launchpad.

How CoinTerminal Does It Better

CoinTerminal follows the same structure, but we improve every step to make things simpler, fairer, and more effective for both users and founders.

Project vetting

CoinTerminal mainly assesses the potential of secondary liquidity of the token being offered. This assessment considers the narrative, the project's marketing resources, and distribution resources.

Announcement

We publish all upcoming sales on our website, social media, and Telegram channel, making everything easy to track and accessible to the public.

Registration

No token staking. No token gating. No pre-sale KYC. Until TGE, your privacy is respected.

Token sale

We use an FCFS model for our IDOs, and we also run a monthly crypto lottery of 5K for all participants of our refundable sales. We run our lottery system using Chainlink VRF. It’s fully on-chain and verifiable. Everyone has the same chance, no matter the size of their wallet.

Distribution and listing

Tokens are sent directly to your wallet. Many of our projects go on to be listed on major centralized exchanges, a big milestone that boosts visibility and credibility for project founders.

Post-launch support

We stay involved. CoinTerminal offers ongoing support with marketing, community growth, and visibility. We’re more than a launchpad. We’re also an accelerator built for long-term success.

What Are the Risks of a Crypto Launchpad?

A Crypto Launchpad is not exempt from risks. While it is a platform created in response to previous experiences, such as ICOs and IDOs, and it includes several safety mechanisms, nothing is risk-free, especially in the financial world. These are the risks you have to consider when using a crypto launchpad:

Project Failure or Rug Pulls

When you support a project at an early stage, even if all the checks are in place, there are no guarantees of automatic success. You still need to be vigilant and track its evolution. The project might fail.

Rug pulls were an event that became popular during ICOs. While crypto launchpads take this very seriously to avoid founders taking all the money away, it is important to keep an eye on the project and the team behind it. That’s why at CoinTerminal, we offer a refundable model.

Market Volatility

Early-stage tokens can be extremely volatile after listing. In Web3, what makes something valuable is the engagement it receives. Therefore, the price may drop below the purchase price, despite the initial hype.

Regulatory and Legal Risks

Laws around token sales and launchpads vary by country, and there might be future crackdowns or restrictions depending on your jurisdiction. You need to keep an eye on the news and how regulations evolve where you live.

Technical Risks

Smart contract vulnerabilities or hacks can affect token distribution or funds. That’s why you need to choose wisely the launchpad you decide to trust with your money.

Limited Refund Options

Not all launchpads offer refunds. Once you participate, your capital is at risk. That’s why you need to take your investment decisions seriously. At CoinTerminal, we offer a refund option to give you more confidence.

Overhype and Speculation

Hype-driven markets can lead to impulsive investments rather than value-driven decisions. You need to look beyond the hype, see the real value, and understand what is truly bringing stability.

At CoinTerminal, we take this seriously. With a pool of investors across 70 countries and our fair monthly crypto lottery using Chainlink VRF, we provide transparency and equal chances for all users.

Launchpads vs ICOs, IDOs, and IEOs

All these terms seem very similar, and their differences are almost unnoticeable. However, each one was a response to the needs of its time. Today, we have a new approach to funding Web3 projects that benefits both users and founders.

ICOs

 It is when the project team launches its own token. They build a site, publish a whitepaper, and start raising funds directly from the public. No middleman. No filters. Some of those projects were game-changers. Others were scams.

IDOs

It happens on a decentralized exchange. There’s a middleman between the founder and the investor: the DEX itself. The idea was to create more transparency and structure, but in reality, many IDOs were rushed, botched, or dominated by insiders. It became harder for regular users to participate.

IEOs

An IEO happens on a centralized exchange. Similar to IDOs, a middleman exists between the founder and the investor, in this case, the centralized exchange itself. These are the projects that are launched on major exchanges, such as Binance or OKX.

What Does This Mean For Project Founders?

For project founders, this means more exposure and a strong signal of long-term sustainability in the Web3 space. However, they lose a lot of control over how the project is managed, as it is now mainly handled by the exchange and private round investors.

What Does This Mean For Users?

For you as a user, the token might show more stability. However, the potential return on investment is usually lower, as it tends to be priced at a premium by the time it reaches a large exchange.

Crypto Launchpad

It is something else. It’s a dedicated platform built specifically to help projects launch. It offers a comprehensive process, including vetting, community building, token sales, and post-launch support. 

IDO Launchpad, IEO Launchpad vs ICO Launchpad

A launchpad might host an IDO or IEO, but what defines it is the structure behind the scenes, not the method of sale.

So no, you won’t see a launchpad doing an ICO. That would mean the project is launching alone, without the platform. And that’s the opposite of what launchpads are built for.

Types of Crypto Launchpads

While all launchpads share the same core idea of helping projects raise funds and launch tokens, their approach to users, sales structure, and project selection can vary significantly.

Centralized Launchpads

These are the big players tied to major exchanges like Binance or OKX. They usually list projects that have already raised capital in private rounds. By the time a token gets to one of these platforms, it’s often fully backed, heavily vetted, and priced at a premium.

For the founder, it offers huge exposure and liquidity. For the retail investor, it’s usually the most expensive way to access tokens. These platforms are regulated, require KYC, and everything is run through a centralized process.

Decentralized Launchpads

These are powered by smart contracts and allow anyone to participate by connecting their wallet. Examples include DAO Maker, Polkastarter, and CoinTerminal.

Each has its own system. Some use staking or tier models that require buying the launchpad’s native token, which adds volatility to your investment.

At CoinTerminal, we’ve made things simpler. We are an open-access platform with no staking requirements and no KYC verification. We run fair, fully on-chain lotteries using Chainlink VRF, ensuring everyone has an equal chance, regardless of their wallet size.

Ecosystem-Specific Launchpads

These are designed for a single blockchain and stay tightly integrated with it. Solanium focuses on Solana. Avalaunch supports Avalanche.

Because they are chain-native, they often have lower gas fees and stronger community support. But they’re limited in scope; you only get exposure to projects within that one ecosystem.

What CoinTerminal Offers

CoinTerminal offers its investors, users, and founders simple access to early-stage projects across 70 countries.

For Investors

We make it easy. You get access to curated early-stage projects with no staking and fully refundable sales. Just by participating in any of our refundable sales, you're automatically entered into our $5,000 crypto lottery. The full process is transparent and trackable. Ready to back what’s next? Browse current sales.

For Founders

You can raise up to ten times more than traditional platforms like Kickstarter. Founders can gain access to over 620,000 users across 70 countries who are actively looking to support early-stage Web3 projects. We support your growth beyond the sale, with marketing, strategy, and even CEX listings. Have a project worth backing? Let’s bring it to life.

Retail investors want security, control, and excitement.

Founders need money, stability, and long-term traction.

CoinTerminal gives you all.

Final Thoughts

Ideas are surging in every corner of the world right now. Ideas to improve processes. Ideas to make experiences better. Ideas to solve global issues or even to revolutionize entire industries.

And these ideas move faster in Web3.

It’s within Web3 that we find the boldest concepts, the freshest narratives, and the innovations that can be supported before they ever reach mainstream attention. Participating in token sales through a crypto launchpad is a golden opportunity to access the best ideas before the market, before the public, and even before the rest of Web3.

Browse our active sales and learn more about each project. If you have questions, reach out to us on Telegram. We're more than happy to show you how it works and explain why we do what we do.

Ready to launch with us? Submit your project today.

Looking to support one? Explore our active sales.

Disclaimer

This article is for educational purposes only. It is a general guide for founders and users navigating the Web3 space. It does not constitute financial advice. Always do your own research before making any investment decisions.If you want to learn more about raising funds or which IDOs to look into, our team is here to help. Feel free to reach out to us on Telegram at any time.

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