Last updated on January 2nd, 2026 at 06:58 pm
Quick Breakdown
- Binance listing allocations rarely exceed 5% of total token supply, limiting sell pressure.
- Most allocations flow to users and ecosystem programs, not as exchange fees.
- Allocations support liquidity, early ownership, and stable price discovery during initial trading.
Memento Research analyst Ash has pushed back against the standard narrative that centralized exchange (CEX) listings create excessive sell pressure, arguing that data from past Binance listings show that exchange-related token allocations are far smaller and more structured than widely assumed.
In a review of historical Binance listings, Ash found that total token allocations associated with listings rarely exceed 5% of a project’s total supply. For large, high fully diluted valuation (FDV) projects, allocations are often below 1%, while mid-sized projects tend to allocate slightly more. Crucially, Ash noted that these tokens are not structured as direct payments to exchanges but are earmarked for ecosystem- and user-focused initiatives.
Demystifying Token Exchange Listings
CEXes have been getting heat lately where a common argument is that CEX listing = huge % allocated to exchange → Increased sell pressure
Listing partners have also ramped up transparency by releasing token allocation info, albeit info can… pic.twitter.com/2ut9M84xva
— Ash (@ahboyash) December 23, 2025
Exchange allocations flow back to users
According to the analysis, the majority of listing-related tokens are redistributed through launchpool rewards, holder incentives, airdrops, and liquidity provisioning programs. These mechanisms are designed to encourage participation, bootstrap liquidity, and widen token distribution at launch.
Rather than concentrating supply in the hands of exchanges or insiders, this approach disperses tokens across a broader user base. As a result, the immediate sell pressure often attributed to CEX listings may be overstated, with market dynamics more shaped by broader investor behaviour than by exchange-held inventory.
Listings as a tool for market structure
Ash framed CEX listing allocations as a market-design mechanism rather than a source of structural downside. By directing tokens into incentives and liquidity programs, exchanges and projects aim to support orderly price discovery, reduce early volatility, and limit insider-driven trading during initial market formation.
The analysis also highlighted a trend toward greater transparency, with exchanges providing clearer disclosures around allocation structures and introducing multiple listing pathways tied to performance and ecosystem metrics. While decentralized exchange listings remain a strong signal of organic demand, the report suggests centralized listings play a complementary role in early-stage distribution and market stabilization.
The discussion comes as Binance continues to expand its regulated footprint globally, having recently secured full regulatory approval from the Abu Dhabi Global Market (ADGM) to operate as an exchange, clearing house, and brokerage.
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