Here is Binance's Pump.fun Style New Token Sale Model: The First Project Will Be Announced Tomorrow!

Binance is offering its users a new token sale model in the style of Pump.fun, where prices automatically increase according to real-time demand.

According to a statement from Binance, this new Token Generation Event (TGE) is based on the dynamic "bonding curve" model popularized by the Pump.fun platform. During the event, users will be able to trade tokens at prices that automatically rise as the amount purchased increases, using BNB. This model was developed in collaboration with Binance's memecoin-focused launchpad platform, Four.Meme, and is being implemented for the first time.

While Binance Wallet users will not be able to transfer the tokens they acquire during the event, after the event concludes, the tokens will be transferable and will become tradable through Binance Alpha. The first project of this new mechanism will be announced on July 15 through the Binance Wallet X account.

Opportunity or Risk?

The new bonding curve model aims to provide transparent price discovery by offering users the opportunity to trade tokens before their official launch. However, users must hold a sufficient amount of Binance Alpha Points and BNB in their accounts to participate in the event. Additionally, purchase orders cannot be canceled after they are placed, and BNB assets will be locked until the end of the event.

Recently, the Pump.fun platform has faced intense competition from other memecoin launchpads like LetsBONK. Crypto influencer Murad Mahmudov described this competition as "a race to the bottom." Recently, LetsBONK managed to surpass Pump.fun in daily token launches and trading volume. With Binance's new move, it is expected that the competition will intensify further.