Binance announces token drop platform after VASP licensing in Dubai

Leading crypto exchange Binance has announced a new airdrop and web3 quest platform called Megadrop. Announced on April 18, Megadrop is primarily a token launch platform that will host airdrops and Web3 quests through integration of the Binance Simple Earn program and the Binance Web3 Wallet. The goal, according to Binance, is to make the airdrop experience more engaging for users.

The platform provides exclusive access to selected web3 projects before they are officially listed on the global exchange. Users can do this by either locking their BNB holdings under the Locked product program for a period of time or by completing Web3 quests and earning points in their Binance Web3 wallet.

The resulting scores are based on the amount of BNB locked and the duration for which it is locked. For Web3 quests, the score is calculated based on the number of quests users complete. It should be noted that certain multipliers are also applied when calculating the total scores.

Users earn rewards based on their total score. The rewards will be made available under the Megadrop section in the Binance app. “This unique interplay of engagement, education and rewards positions Megadrop as an unparalleled interactive experience within both Binance and the broader crypto ecosystem,” the exchange wrote in a blog post.

Binance has unveiled BounceBit (BB), a Bitcoin resttaking chain, as the first project to launch on the new platform. Megadrop users are entitled to earn up to 8% of the token supply, which amounts to 168,000,000 BB tokens.

The launch comes hot on the heels of Binance’s approval for a full license as a Virtual Asset Service Provider (VASP) by Dubai’s Virtual Asset Service Regulatory Authority (VARA). The approval came a year after the exchange entered the third phase of the nation’s four-phase process.

“With the acquisition of a renowned full-market VASP license, our unwavering commitment to advancing the financial landscape through compliance and innovation is significantly strengthened,” said Binance CEO Richard Teng.

According to a report from Bloomberg, the approval came after Binance co-founder Changpeng Zhao agreed to give up his voting rights for the local entity. Zhao is currently awaiting sentencing following his plea deal with the U.S. Department of Justice.