Coinbase announced the names of 50 projects that could be listed in the second quarter of 2022 as a way to improve information symmetry in crypto markets.
Coinbase, America’s largest crypto exchange, announced a long list of tokens it may list in the second quarter of 2022 to increase transparency.
A list of tokens under consideration is included in an April 12 blog post from the exchange, but it is noted that other tokens may be under consideration but are not specifically mentioned. 45 ERC-20 tokens on the Ethereum (ETH) network and five SPL tokens on the Solana (SOL) network are among those on their radar.
Binance USD (BUSD), the third-largest stablecoin on the market, and one of the largest DAO projects BitDAO (BIT), with a market cap of just over $1 billion at the time of writing, are two tokens with a relatively large market cap.
According to the exchange, its new approach to token listings will provide “as much information symmetry as possible.” Information symmetry promotes market efficiency and fairness.
It also reduces the likelihood of a pump-and-dumps scenario on a listing day because advanced knowledge of a listing can mitigate the retail trading frenzy. While such price action is far more common on other centralized and decentralized exchanges, Coinbase has seen its fair share of it on coins it lists. In 2020, OMG Network (OMG) surged 200 percent within 15 minutes of being listed on Coinbase before collapsing.
Crypto projects are aware of the attention, or even the potential, that a Coinbase listing can bring. Big Data Protocol (BDP), a relatively small decentralized finance (DeFi) data tokenizer with a $3.3 million market cap tweeted delight today that Coinbase was considering listing it.
While increased transparency may be beneficial to investors and projects, seasoned crypto trader @12yearoldwithcc believes the potential listings are lacking. “Coinbase is in their flop era,” the account tweeted today.
Other investors may have missed Coinbase’s new transparency efforts because they are preoccupied with the exchange’s plans to produce a trilogy of films about the Bored Ape Yacht Club (BAYC) nonfungible token (NFT) collection.
Some in the crypto community are perplexed by Coinbase’s $10,000 offer to BAYC holders for the rights to use their ape in films, with some even warning them not to accept it.
Overall, the exchange has had a turbulent week, having launched trading services in India for the first time on April 8 but abruptly suspending buy order services on April 11 due to pressure from local payment service regulators.
