BNB Price Hits New ATH After Binance Announces New IEO ‘Elrond’

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by Janis Rijnieks · 3 min read
BNB Price Hits New ATH After Binance Announces New IEO ‘Elrond’
Photo: Binance / Twitter

Binance just announced a new IEO project on Binance Launchpad – Elrond (ERD). The news pushed Binance Coin price (BNB) to the new ATH in just a matter of one hour.

Binance Launchpad is offering yet another Initial Exchange Offering (IEO) called Elrond. Elrond’s token sale will be a sort of a lottery, where participants’ BNB balances will be recorded.

Afterword, users will receive lottery tickets. These tickets are limited to 10,833 tickets. According to the average BNB balance a user has over the next 9 days, Binance will record this balance and afterword this amount will determine how many lottery tickets the user will be eligible to.

Let us remind you, that previously, there were 7 days for user balance counting and 16,666 lottery tickets available. As we can see, the numbers have changed over time.

Also, user balances can vary. You can have 10 BNB one day, the next they can be 50 BNB. Binance will sum all the BNB balances from those 9 days together and divide them with 9.

And then, depending on the number a user gets, Binance will determine how many lottery tickers the user is eligible to. The maximum amount of tickets a user can get is 5 and in that case, the average BNB balance should be equal to or more than 500 BNB.

Additionally, the application process will start on June 22, 2019. After the 9 days, on July 1st, users will be able to claim their tickets. Also, they will have to sign a Token Purchase Agreement. An important notice – Users will be only to claim the lottery tickets once. The winning tickets will be announced the next day on July 2nd.

Total token supply makes 20,000,000,000 ERD, while the public sale token price makes 0.00065 USD.

Since the announcement happened basically an hour ago, it looks like people are going to seriously participate in this lottery. The price of Binance Coin (BNB) went from $34 to $36,91 in less than an hour. Since the lottery application process will happen over the next 9 days, we can only expect the price to rise in the upcoming days. 

Recently Elrond closed their private sale which went on for a month from April to the end of May. During the private sale, Elrond team sold 19% of total token supply which accounts for $1,9 million. These private sale investors are Binance Labs, Electric Capital, NGC Partners, Maven 11, and Authorito Capital.

The interesting part is that they also received contributions from angel investors in the UK, Inda, Israel, Asia, and the EU (European Union).

In general, Elrond is focusing on an innovative network scaling technology called sharding. The company claims to be a leader in the next-generation of high-throughput smart contracts platforms that are blossoming in the blockchain ecosystem.

Elrond, along with a few other firms, are pushing the boundaries of applying sharding to public blockchains as a means to increase their throughput capacity. During May, when the company launched its testnet, they exceeded 12,000 transactions per second. Additionally, they implemented such new technologies as Schnorr Signatures, BLS signatures, secure Proof-of-Stake, and state sharding.

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Janis Rijnieks

Janis is a cryptocurrency enthusiast and a bitcoin adherent. He has a background in video production, but for the past couple of years, he is a full-time crypto researcher and writer. He has a good understanding of multiple cryptocurrencies and loves to cover daily news. He considers himself a semi-bitcoin maximalist but always is open to any kind of new ideas that could be put on the blockchain. In his free time, he likes skateboarding and cars.

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