CEO of Binance Changpeng Zhao in an interview revealed that one of the key factors for token listing on the platform is the number of users. He also states that his opinion on the listing does not matter rather the communities’.
Binance’s CEO has revealed some details on how to get listed on the trading platform, which is the world’s largest cryptocurrency exchange by volume.
According to CEO Changpeng Zhao, better known as “CZ,” the number of users is the most significant criterion for listing a cryptocurrency on Binance.
CZ went on to suggest that there are a slew of other things to consider, including the number of active blockchain addresses, social media viewership, and code commits. The number of users, on the other hand, is “the crucial metric,” he added, adding:
“If a coin has a large number of users, then we will list it. That’s the overwhelming significant attribute. Consider for example meme tokens, even though I personally don’t get it, if it’s used by a large number of users we list it. We go by the community, my opinion doesn’t matter.”
According to Binance’s CEO’s listing advice, the number of users is simply one of many elements to consider when deciding whether or not to list a token on the crypto exchange.
“Your product has value if it has a huge number of users.” That’s the one that’s the simplest to calculate. The user statistics should be included in the application form. The CEO’s remark on Binance listings states, “It will considerably assist.”
According to Sergei Khitrov, the founder of Listing.Help, a cryptocurrency listing platform, he said major crypto exchanges, such as Binance, don’t need to list lesser coins because they make their money mostly from trading volumes rather than listings.
“This is one of the major issues that many projects are unaware of. They should begin by forming a community. And it means a far broader audience than the 500 or 10,000 people in a Telegram channel,” Khitrov said. He went on to say that token producers should start with smaller exchanges.
Crypto exchanges, listings and trading volumes
According to data from CoinGecko, Binance currently supports 346 cryptocurrencies, including major cryptocurrencies like Bitcoin (BTC) and Ether (ETH), as well as famous meme tokens like Dogecoin (DOGE) and Shiba Inu (SHIB). The daily trading volume of Binance is projected to be $28 billion.
OKEx, the second-largest cryptocurrency exchange by trading volume, has 312 currencies listed and a trading volume of almost $7 billion.
Coinbase, a crypto exchange based in the United States, serves only 123 tokens and has a daily trading volume of around $6 billion.
Some prominent centralized exchanges (CEX) have more tokens listed than Binance, with Bittrex currently listing over 450 coins.
Decentralized exchanges (DEXs), in contrast to CEXs, are the world’s largest platforms in terms of the number of listed cryptocurrencies, as DEXs like PancakeSwap do not involve contacting or asking permission from an exchange.
As a result, PancakeSwap, a Binance Smart Chain-based DEX, has over 3,200 tokens listed, while Uniswap has over 1,800 coins.
Last month, PancakeSwap offered the Squid Game (SQUID) token, a cryptocurrency fraud based on the Netflix show of the same name, which grew by over 45,000 percent in just a few days.
The coin is listed on CoinMarketCap, which is owned by Binance, but competitors like CoinGecko have removed SQUID from their listings because it is “most likely a hoax.”