The design of the Binance wallet Alpha model is still quite ingenious; a way to play Alpha has solved a series of problems at once.
I want to clarify that this is not a commercial order or paid promotion; it is just a subjective opinion from someone who enjoys studying business models. Please do not criticize if you disagree.
Let me briefly outline some background stories about the Binance wallet for everyone to better understand:
First, from a marginal product to an absolute core.
It can be said that before the OK wallet was regulated by the EU, the Binance wallet was not strictly on the table; its wallet functionality was more like an accessory to the BSC chain, merely a symbolic decentralized wallet, with the mainstream still being OKX wallet, TP, Metamask, etc.
However, Binance had good luck; during the regulatory window for OK, there was once again a large number of users needing to migrate and had no choice but to choose Binance.
In this situation, Binance responded very quickly, directly launching limited-time zero transaction fee activities, seamlessly taking over the traffic from OK.
However, when the traffic comes, if it can't be retained, it will leave; users in the crypto circle have no loyalty; whoever offers higher returns will attract them.
At this time, Binance was already planning its strategy, and it was this determination that allowed the Binance wallet to truly sit at the mainstream wallet table.
Second, not only can it attract users, but it also needs to retain them.
After a large influx of users into the Binance wallet, the wallet side was actually well-prepared; after the New Year this year, Juzi had a conversation with the Binance wallet side, and they told me that the budget for market incentives was very ample, but I won’t disclose the specific numbers.
So you will see that after users enter the Binance wallet, the focus shifts from previous financial activities to TGE activities in a very short time.
Initially, TGE activities had no participation threshold; as long as you had BNB, you could participate, with a hard cap of 3 BNB distributed based on the number of participants, and then after receiving, you could sell it for money. Therefore, at that time, the hottest thing was not scoring but borrowing BNB before the activity started to complete arbitrage.
After conducting several TGE activities, they found that market feedback and user activity data were very good, leading to the birth of the current phenomenal scoring activity: Alpha.
Unlike the previous activity rules, Alpha requires scoring calculations that include dimensions such as holdings and trading volume, and only those who meet the criteria can participate.
However, the enthusiasm of users to participate is so intense that the gap can't be widened, so the threshold for scoring continues to be raised, leading to the current situation where not only is a basic score required, but participating in activities also requires deducting points.
But regardless, it can only reflect one point:
Currently, the popularity of Binance's Alpha activities is indeed real and has already gone very viral.
Through these two experiences, Binance has solved several problems that have long troubled them all at once:
First, from not being on the table in the past to the current hot status, the market share has also significantly increased, which has already been discussed above, so I won't elaborate further.
Second, it has solved the issues of user growth and capital immersion.
Due to the special mechanism of the Binance wallet, each person can only have one wallet, which is inherently anti-witch.
If you want to participate in Binance Alpha, you must first register on Binance, and only then can you open a wallet, which resolves the issue of Binance's user growth rate.
Having a wallet alone is not enough; users also need to deposit funds, whether they transfer from other platforms or buy on Binance, they are real users. Compared to some exchanges with users but zero assets, Binance's current wave not only attracts real users but also deposit users. Currently, the average holding of Alpha users is no less than 1000 USDT, as anything less makes scoring very troublesome.
Thirdly, after recharging, in order to gain profits, one must also increase trading volume, which provides very ample liquidity for the Alpha project.
Although many projects have long upper and lower shadows on their K-lines, users have continuously explored low-wear scoring solutions, and compared to the profits that can be gained, users are also willing to bear the risk.
Fourth, it has solved the issue of Binance's spot listing being criticized.
In the past, Binance's listings, especially for new coins, were always controversial, primarily because these coins would plummet once listed, continuously dropping. During this year's New Year, public discontent surged, and He Yi led the team to hold a long Twitter space to listen to many users' opinions and suggestions, and unexpectedly found answers in Alpha.
From another perspective, if you are a project party, would you be willing to list on Binance's Alpha?
In fact, according to the current real situation, Alpha is even more popular than Binance's spot market.
On one hand, there is popularity, and on the other hand, liquidity, along with higher efficiency and shorter processes. Tokens that perform better in Alpha will be listed on Binance's spot market.
Fifth, Juzi researched that the current Alpha actually resembles Meituan more, while the project parties are like the 'God Coupons' merchants, with users using 'God Coupons' to farm benefits.
It seems that users have benefited from the platform, but in fact, a part of this burden is also shouldered by the merchants, making the expenses more controllable while the effects remain uncompromised, so the platform is more willing to invest energy in this area.
I must say, an Alpha has indeed solved a series of problems, which is really impressive.
When Juzi was working on (Web3 Oasis), he actually borrowed this idea and included an article from Sister a while back in this internal reference; I personally really liked this article, but at that time I was too busy to greet Sister and just included it directly.
The activity is still ongoing, so come quickly while I'm in a good mood. Once this wave ends, the preparations for the next round will begin.
Good night everyone.
I am Juzi, the founder of Web3 Oasis and an expert in recovering crypto assets.
