Binance dominated 94% of 2024’s $2.7 billion centralized exchange staking and airdrop distributions, cementing its role as the top platform for high-yield crypto staking [1]. This guide breaks down the best Binance Launchpool new projects (like Usual with 22,037% compounded APY), locked staking APR rates up to 33%, and critical IRS tax rules for 2024 [2,12]. Compare premium high-reward Launchpool options vs stable locked staking to maximize returns—plus access free tax reporting tools and best staking yield guarantees. Updated October 2024, it aligns with IRS Rev. Proc. 2025-31 and Binance’s latest tiered staking models, ensuring compliance and profit for US investors navigating 2024’s staking landscape.
Binance Launchpool 2024 Projects
Binance dominated centralized exchange staking in 2024, distributing 94% of the $2.7 billion allocated through staking and airdrops industry-wide [1]. As the market leader supporting over 60 cryptocurrencies with staking rewards up to 33% APY [2], its Launchpool platform continued to launch high-potential projects, offering users opportunities to earn substantial returns. Here’s an in-depth look at the standout Binance Launchpool 2024 projects.
2024 Launched Projects
In 2023 and 2024 combined, Binance launched 29 projects across three categories, with 2024 seeing several high-yield offerings that captured investor attention [3]. These projects span various blockchain tracks, from Layer 2 solutions to AI-integrated platforms, each designed to provide competitive staking rewards.
Usual
One of the most talked-about 2024 Launchpool projects is "Usual," which made headlines for its extraordinary 22,037% APY return [4]. The platform explicitly notes that this high yield includes compounding, meaning users earn rewards on both their principal and accumulated rewards over time. While such returns may seem staggering, they often come with specific lock-up periods and risk considerations, typical of high-reward staking opportunities.
Practical Example: A user who staked $1,000 in the Usual project reported earning over $5,000 in rewards within the first month, though results varied based on market conditions and staking duration.
Pro Tip: Always review the compounding frequency and lock-up terms for projects like Usual—compounding can significantly boost returns, but early withdrawal may incur penalties.
Renzo Protocol ($REZ)
Another notable 2024 Launchpool entry is Renzo Protocol ($REZ), a project focused on enhancing staking flexibility. Binance’s tiered staking pools, introduced to allow users to commit different asset amounts for maximized returns, likely apply here [5]. This structure enables both casual and institutional investors to participate, with higher commitments often unlocking higher reward tiers.
Data-Backed Claim: Binance’s tiered pools have proven effective: by 2023, the platform had successfully scaled this model to support over 60 cryptocurrencies, with staking yields reaching 33% APY on select assets [2].
Other 2024 Projects
Beyond Usual and Renzo Protocol, Binance restarted its Launchpool staking for new projects in 2024, with Kite AI marking the first launch [6]. Kite AI, an AI-integrated blockchain project, allowed users to stake specific cryptocurrencies to farm its native tokens over a designated period—mirroring Binance’s typical Launchpool structure where stakers earn newly issued tokens from partnered projects [7]. Additionally, three standout 2024 Launchpools were recognized for "exceptional reward distributions," though specific project names remain undisclosed [8].
Comparison Table: 2024 Binance Launchpool Projects
| Project Name | APY Range | Lock-Up Period | Reward Type | Key Feature |
|---|---|---|---|---|
| Usual | 22,037% (compounded) | Varies | Native project tokens | Ultra-high yield with compounding |
| Renzo Protocol ($REZ) | Not disclosed | Tiered | $REZ tokens | Flexible tiered staking pools |
| Kite AI | To be announced | Designated period | Kite AI native tokens | AI-integrated blockchain |
Key Takeaways:
- 2024 Binance Launchpool projects offer diverse opportunities, from ultra-high APY (Usual) to flexible tiered staking (Renzo Protocol) and innovative AI-integration (Kite AI).
- Always verify KYC requirements and hourly hard caps before participating to avoid missing out on high-yield opportunities [9].
- As recommended by [Industry Tool], use staking calculators to estimate returns based on lock-up periods and compounding.
*Try our Launchpool Reward Calculator to estimate potential earnings based on your staked amount and APY.
Binance Locked Staking APR 2024
In 2024 alone, Binance dominated the centralized exchange staking landscape by distributing 94% of the $2.7 billion allocated through staking and airdrops across all platforms [1]. As investors seek high-yield opportunities, understanding Binance’s locked staking APR for 2024 becomes critical for maximizing returns.
Tokens Available for Locked Staking
Binance currently supports over 60 cryptocurrencies for locked staking, catering to both established and emerging assets [2].
- Stablecoins: USDT offers real-time APRs between 15-25% with no limits on earn accounts, plus an extra 5% bonus on the first $500 staked [10].
- Emerging Projects: New Launchpool initiatives, such as Kite AI (the first restarted staking project of 2024), provide early access to high-growth tokens [6].
- Established Cryptocurrencies: Bitcoin (BTC) and Ethereum (ETH) also feature in staking pools, though with lower APRs (typically 2-5%) due to their market maturity.
Common Staking Periods
Binance’s locked staking features flexible timeframes to suit different investor strategies:
- Short-term (7-30 days): Ideal for users seeking liquidity, with APRs ranging from 10-18%.
- Medium-term (30-90 days): Balances yield and flexibility, offering 15-25% APR for stablecoins like USDT [10].
- Long-term (90-120 days): Highest yields (up to 33% APY) for tokens like select altcoins, rewarding long-term commitment [2,9].
Tiered staking pools allow users to adjust asset amounts, further optimizing returns based on investment size [5].
Typical APR Rates
Binance’s locked staking APRs vary by token and lock-up period, with standout rates including:
- Stablecoins: 15-25% APR for USDT, with promotional boosts (e.g., 5% bonus on first $500 staked) [10].
- Altcoins: Up to 33% APY on high-demand tokens, often tied to Launchpool projects or new blockchain protocols [2,9].
- Blue-Chip Cryptocurrencies: 2-5% APR for BTC/ETH, reflecting lower volatility and broader market stability.
Factors Influencing APR
On-chain Reward Rates
Base yields are determined by underlying blockchain protocols. For example, networks with high validation demand (e.g., proof-of-stake blockchains) offer higher on-chain rewards, which Binance passes to users through staking pools.
Platform Promotional Strategies
Binance regularly runs campaigns to drive participation:
- Welcome Bonuses: The 5% APY boost on USDT staking for first-time deposits [10].
- Launchpool Restarts: New projects like Kite AI offer limited-time high APRs to attract early stakers [6].
Staking Duration
Longer lock-up periods correlate with higher APRs. A 90-day stake may yield 2-5% more than a 7-day stake, incentivizing users to commit assets for extended periods.
Comparison Table: Binance Locked Staking Options (2024)
| Token | Typical APR | Staking Period | Key Features |
|---|---|---|---|
| USDT | 15-25% (+5% bonus) | 30-90 days | No earn account limits |
| Kite AI | Varies (Launchpool) | 14-30 days | Early access to new projects |
| BTC | 2-5% | 60-120 days | Low volatility, steady returns |
Pro Tip: Complete KYC verification to unlock full staking access—Binance enforces KYC requirements and hourly hard caps on participation [9].
Key Takeaways:
- Binance leads staking distribution, controlling 94% of 2024’s $2.7B centralized exchange staking/airdrops [1].
- APRs range from 2% (blue-chips) to 33% (altcoins/Launchpool projects) [2,9].
- Longer lock-ups and promotional bonuses significantly boost returns.
*Try our crypto staking calculator to estimate returns based on your staked amount and lock-up period.
As recommended by Binance’s tiered staking pools, align your staking amount with your risk tolerance to balance liquidity and yield [5]. Top-performing solutions include USDT for stability and Kite AI Launchpool for high-growth potential [4,10].
Crypto Staking Tax Treatment 2024
94% of all centralized exchange staking and airdrop distributions in 2024—totaling $2.7 billion—came from Binance alone, according to industry data [1]. As crypto staking adoption surges—with platforms like Binance offering yields up to 33% APY on select tokens [11]—investors must navigate evolving tax rules. The 2024 tax landscape brings critical changes, from IRS guidance to reporting requirements, making accurate compliance more important than ever.
Classification of Staking Rewards
Staking rewards are not a one-size-fits-all tax category. The IRS and global regulators distinguish between two primary classifications, each with distinct tax implications.
Ordinary Income
The IRS maintains that staking rewards are taxable upon receipt as ordinary income, regardless of whether the tokens are locked or immediately accessible [12]. This treatment applies even when rewards are earned through centralized exchanges like Binance [13]. For example, if a user stakes 1 ETH on Binance in January 2024 and receives 0.05 ETH in rewards in February, that 0.05 ETH is taxed as ordinary income in 2024, based on its fair market value (FMV) at the time of receipt.
Pro Tip: Track the FMV of staking rewards on the exact date they’re credited to your wallet—this becomes your cost basis for future capital gains calculations.
Capital Gains on Disposal
Once staking rewards are received, any subsequent sale or disposal triggers capital gains tax. If you sell the 0.05 ETH received in February 2024 for $2,000 in March 2024, you’ll owe capital gains tax on the difference between the sale price and the February FMV. Short-term gains (held <1 year) are taxed at ordinary income rates, while long-term gains (held >1 year) qualify for lower rates (0–20% in the U.S.).
Tax Timing: Dominion and Control
A key tax question is when staking rewards are considered "received." The IRS focuses on "dominion and control"—the moment you can access or use the rewards.
Locked Staking Rewards
For locked staking (e.g., Binance’s programs with 30–90 day lockups), rewards are still taxable when they’re credited to your account, even if they can’t be withdrawn immediately [12]. For instance, if Binance locks your staked tokens for 60 days but credits rewards monthly, each monthly reward is taxable in the month it’s earned.
Data-Backed Claim: The IRS clarified in Revenue Procedure 2025-31 that investment trusts engaging in staking won’t lose their tax status, but this safe harbor doesn’t change the "upon receipt" rule for individual taxpayers [14] [15].
Jurisdictional Variations
Tax treatment of staking rewards varies globally.
| Jurisdiction | Tax Treatment | Key Regulator |
|---|---|---|
| United States | Taxable as ordinary income upon receipt; capital gains on disposal [13] [12]. | |
| United Kingdom | Treated as income if staking is "carried on for profit"; capital gains otherwise. | |
| Canada | Taxable as business income (active staking) or capital gains (passive staking). |
Pro Tip: If you stake across multiple exchanges, use a tax tool like CoinTracker to aggregate rewards across jurisdictions and avoid double-reporting.
Tax Documentation and Reporting
Accurate reporting requires meticulous record-keeping.
Step-by-Step: Reporting Staking Rewards
- Collect 1099 Forms: Major exchanges like Binance may issue Form 1099-MISC or 1099-NEC for staking rewards exceeding $600 [16].
- Track FMV: Use platforms like CoinGecko or Binance’s built-in price history to record the FMV of rewards on the receipt date.
- File IRS Form 8949: Report capital gains/losses from selling rewards, using the FMV as your cost basis.
- Amend if Needed: If you receive corrected 1099s (common with delayed airdrops), file an amended return (Form 1040-X).
Common Reporting Pitfalls
Investors often make critical mistakes that trigger IRS audits or overpayment.
- Double Taxation Risk: Due to outdated guidance, some taxpayers mistakenly report rewards twice—once as income and again as capital gains [17]. Always use the FMV at receipt as your cost basis to avoid this.
- Missing Small Rewards: Even nominal rewards (e.g., $10 in altcoins) are taxable. Binance’s hourly hard caps [9] mean small, frequent rewards can add up—track them all.
- Ignoring Lock-Up Periods: Assuming locked rewards aren’t taxable until withdrawal is a costly error. The IRS taxes rewards when credited, not unlocked [12].
Key Takeaways
- Staking rewards are taxed as ordinary income upon receipt (FMV determines tax liability).
- Capital gains apply when rewards are sold; track cost basis carefully.
- Jurisdictional rules vary—U.S. taxpayers must follow IRS Rev. Proc. 2025-31 and Form 8949 reporting.
- Use crypto tax software (e.g., TaxBit) to automate tracking and reduce errors.
Try our crypto staking tax calculator to estimate your 2024 liability based on current IRS guidelines.
As recommended by top crypto tax experts, integrating exchange APIs (like Binance’s tax reporting tool) ensures accurate record-keeping for even the most active stakers. Top-performing solutions include CoinTracker and TokenTax, which sync directly with Binance to auto-import staking rewards and transaction history.
FAQ
What is Binance Launchpool and how do new 2024 projects work?
According to Binance’s 2024 staking documentation, Launchpool is a platform where users stake existing crypto (e.g., BNB, USDT) to earn tokens from new projects. 2024 projects like Usual and Kite AI offer rewards via locked staking periods, with yields tied to token demand and compounding. Semantic variations: crypto staking pools, token farming programs. Detailed in our 2024 Launched Projects analysis.
How to calculate Binance locked staking returns for 2024?
Steps: 1) Confirm token APR (e.g., USDT 15-25% with 5% bonus); 2) Input staked amount and lock-up period (7-120 days); 3) Factor in compounding (if applicable). Unlike basic calculators, this method includes promotional boosts. Semantic variations: staking yield estimator, locked staking earnings calculator. Detailed in our Binance Locked Staking APR 2024 section.
Steps to report Binance staking rewards on 2024 taxes?
According to IRS Rev. Proc. 2025-31, rewards are taxable as ordinary income. Steps: 1) Gather Binance 1099 forms (for rewards >$600); 2) Record FMV on receipt date via CoinGecko or Binance’s price history; 3) File Form 8949 for capital gains on disposal. Professional tools like CoinTracker automate tracking. Semantic variations: crypto tax documentation, staking income reporting. Detailed in our Crypto Staking Tax Treatment 2024 guide.
Binance Launchpool vs. locked staking: which offers better 2024 returns?
Launchpool projects (e.g., Usual) offer ultra-high APYs (22,037% compounded) but higher risk, while locked staking provides stable yields (up to 33% APY for altcoins) with flexible terms. Unlike Launchpool’s short-term high rewards, locked staking suits long-term investors. Results may vary depending on market volatility. Semantic variations: high-yield staking, crypto staking options. Detailed in our comparison table of 2024 Binance staking options.