In an interview, Changpeng Zhao stated that the number of users performs a vital role in a token's ability to be listed on Binance
Binance's CEO, the world's leading cryptocurrency exchange by volume, has revealed some details about how to get listed on the trading platform.
The number of users is the most significant factor for listing a cryptocurrency on Binance, according to CEO Changpeng Zhao in a Forbes interview on Nov. 29.
CZ continued by stating that there are other more factors to consider, such as the number of active addresses on blockchain, social media engagement, and code allocation. However, the count of users is "the key metric," according to him:
“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 several aspects to consider while listing a token on the crypto exchange. "Your product has value if it has a huge number of consumers." That is the simplest to quantify. Incorporate user statistics into the application form. It will be really beneficial," states the CEO's comment on Binance listings.
According to Sergei Khitrov, the founder of the crypto listing platform Listing. Help, huge crypto exchanges like Binance don't require to list minor tokens since they earn primarily from trade volumes than listing fees.
“This is one of the main problems that many projects do not understand. They should start with building a community. And that means no 500 or 10,000 people in a Telegram channel, but a much larger audience,” Khitrov said. He also advised coin issuers to begin with smaller exchanges.
As per data, the Binance exchange offers 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 on Binance is expected to be $28 billion.
OKEx, the second-largest crypto exchange by trading volume, with 312 coins listed and a trading volume of almost $7 billion. Coinbase, a cryptocurrency exchange based in the United States, serves just 123 tokens and has a daily trading volume of around $6 billion.
Some significant centralised exchanges (CEX) list more tokens than Binance, with Bittrex listing over 450 cryptocurrencies currently.
Decentralized exchanges (DEX) are the world's largest platforms in terms of the number of listed cryptocurrencies, as DEXes like as PancakeSwap do not involve contacting an exchange or seeking approval.
As a result, PancakeSwap, a DEX based on the Binance Smart Chain, has over 3,200 tokens listed, whereas Uniswap has over 1,800 cryptocurrencies listed.
PancakeSwap listed the Squid Game (SQUID) token last month, a crypto scam based on the famous Netflix show, which had a 45,000 per cent increase in a few days after release. The coin is listed on Binance-owned crypto website CoinMarketCap, but opponents such as CoinGecko have removed SQUID from their listings because it is "most likely a scam."