Changpeng Zhao, the CEO of the largest cryptocurrency exchange platform, Binance, has laid out what it takes for a token to be listed on the exchange. Zhao stated that the number one factor for a token listing on the giant exchange is the number of users.
During a Forbes interview, Zhao noted that while there were other factors considered to get a token listing, the number of users was the “key metric”.
Binance considers the number of users to list tokens
“If a coin has a large number of users, then we 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,” Zhao stated.
Zhao also noted that if the token has a large number of users, it shows that it has value. He also urged developers who want their tokens to be listed on the exchange to include the number of users on the application form.
Binance currently supports 346 cryptocurrencies. It supports major cryptocurrencies such as Bitcoin and Ethereum, and it is popular with meme tokens such as Dogecoin and Shiba Inu. Recently, Floki Inu lodged a petition to be listed on Binance, but this is yet to happen. The average daily trading volumes on Binance are around $28 billion.
Exchanges focus on numbers
Sergei Khitrov, the founder of Listing.Help, crypto listing focused platform, has supported that numbers matter in the token listing. He noted that major exchanges such as Binance do not need to list small tokens because their revenues mainly came from trading volumes.
“This is one of the main problems that many projects do not understand. They should start with building a community. And that means not 500 or 10,000 people in a Telegram channel, but a much larger audience,” Khitrov stated.
OKEx, the second-largest exchange by trading volumes, currently supports 312 cryptocurrencies. The exchange’s trading volumes come at around $7 billion. Coinbase, the largest exchange in the US, supports around 123 tokens, with trading volumes of around $6 billion.
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