It is a service that gives users the opportunity to obtain currencies for free before they are listed for trading or after they are listed for trading in rare cases.
For example:
1 million X coins are allocated for free distribution and the platform then creates a liquidity pool for the coin.
In order to ensure that the distribution is fair, the platform asks users to store specific coins in the liquidity pool and distribute them to them.
How is the distribution done?
Let's say 100 people participated in the liquidity pool and each participant staked 50 $BNB.
1 million X coins will be distributed equally among 100 people.
Ok, if 10 people out of 100 participants stored 100 BNB coins
In this case, the 10 will get double the amount that the 90 participants will get because the amount stored by them is double the amount stored by the rest of the participants.
Each platform requires storing a different currency to serve its interests.
Bitget platform 📈 requires storage of $BTC, $ETH, $BGB, $SOL and others
Bybits platform 📈 requires $MNT and $USDT
Binance platform 🔸 Requests $BNB and $FDUSD
OKX platform 📈 requires $BTC and $ETH
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