India’s WazirX Raises $2M Within 24 Hours on Binance Launchpad

WazirX, an India-based cryptocurrency exchange that was recently acquired by Binance, has raised $2 million from an initial exchange offering (IEO) campaign on Binance Launchpad, drawing to a conclusion the first IEO conducted by Binance this year.

The fundraising round was conducted in a single session where investors purchased 100,000,000 WazirX tokens (WRX) using Binance’s native token (BNB) at the rate of 0.00108401 BNB (appr. $0.02) per token.

With Binance reporting 10,000 winning tickets based on its lottery format, the allocation of $200 for each winning ticket, brings the total raise sum to $2M for the IEO token sale that only kicked off in a little over 24 hours ago. It also marked the 14th successful token sale conducted on Binance Launchpad.

Notably, WazirX claims that the tokens which investors now hold is built on the Binance Chain, and is the utility backbone for its trading platform. The token’s future use cases including serving as a means for users to access trading fee discounts, WRX trade mining (unlock and earn WRX tokens by performing trades), paying for margin fees, etc.

Although recent data by The Block suggested that IEOs are dying in the crypto space, with most investors on the losing side of the trade, the latest round by Binance proves otherwise, and perhaps signifies that the trend could continue for longer than expected.

Meanwhile, although IEOs such as the ones conducted by Binance are not open to U.S investors, the SEC had recently published a warning regarding the potential of IEO tokens to fall under the same classification as securities and thus must be duly regulated.

NordFX