Changpeng “CZ” Zhao, the founder and former CEO of Binance, expressed concerns about the exchange’s token listing process.
He highlighted that Binance usually announces new listings only four hours before their launch, which can result in market distortions.
He further explained that traders exploit a brief opportunity by purchasing a token on decentralized exchanges (DEXs), leading to a price increase. Once the token is listed on Binance, these early buyers sell on centralized exchanges (CEXs) to profit from the price surge. The speaker recognizes the difficulty in addressing this issue but encourages traders to understand its implications.
In contrast, other exchanges take a different approach. Coinbase provides a dedicated page outlining upcoming listings in advance, while Kraken typically announces new token listings through blog posts once they are available for trading.
Zhao commented on the growing popularity of TST, a memecoin highlighted in a BNB Chain tutorial. The token gained attention after Zhao mentioned it on X, although he clarified that his mention was not an endorsement. Nonetheless, his clarifications further boost interest in TST.
The situation escalated when Binance announced it would list TST trading pairs with USDT and USDC, causing TST’s price to rise to around $0.19, a 38% increase since its listing. The token’s market cap is now $185.9 million, with a fully diluted valuation of $195.5 million.
Zhao reiterated that he had no involvement in Binance’s decision to list TST, emphasizing that its appearance in the tutorial was unrelated to the exchange’s listing process.
Notably, on January 19 January 19, Binance announced the listing of the Official Trump (TRUMP) token, with trading for the new spot pairs TRUMP/USDC and TRUMP/USDT scheduled to commence the same day. Users were allowed to deposit TRUMP tokens starting two hours before the trading launch, and withdrawals were available from January 20 to January 20, 2025.
If you want to read more news articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, Instagram, and CoinMarketCap Community.
“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
