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crypto.news 2025-02-10 10:35:06

CZ calls for automatic token listings on CEXs following TST listing on Binance

After the recent listing of the BNB Chain’s Test Token on Binance, co-founder Changpeng Zhao criticized the token listing process on centralized exchanges, calling it “broken” and suggesting that exchanges should adopt a more automatic listing approach similar to decentralized exchanges. Binance co-founder and former CEO Changpeng Zhao, widely known as CZ, has shared his thoughts about the recent listing of the Test Token (TST) on Binance, one of world’s largest crypto exchanges. When questioned about the rationale behind TST’s listing on Binance, CZ explained in his post on X that exchanges often list coins based on popularity and demand, rather than personal involvement in the listing process. “Exchanges must compete to list popular coins as early as possible,” he said, adding that projects with significant trading volume are naturally prioritized. https://twitter.com/cz_binance/status/1888593393275777491 Zhao’s comments come shortly after Binance listed TST, which had been created as part of a BNB Chain’s walkthrough tutorial on how to create a meme coin on the Four.Meme launchpad platform on BNB Chain . On Feb. 9, TST saw its market cap soar to nearly $489 million before dropping to around $170 million at the time of writing, according to Coinmarketcap . In a series of tweets, CZ clarified the circumstances behind TST’s listing, emphasizing that it was never intended to be an endorsement of the token itself. “TST was not endorsed by me or Binance. It was simply a test token used for a video tutorial.” However, as Zhao explained, every clarification post just made TST go more viral.” Read more: BNB Chain hits 500m active addresses at the heels of TST frenzy and MEV concerns In his follow-up post , he criticized the token listing process on centralized exchanges, calling it “a bit broken.” He explained that the issue is with the short time gap between an announcement of a new listing and the actual listing itself, which is typically just a few hours. According to Zhao, this brief notice period causes significant price fluctuations, with tokens often seeing a spike in value on decentralized exchanges after the announcement. Traders, who often monitor DEXs, then sell the token on CEXs once it gets listed, leading to immediate selling pressure. https://twitter.com/cz_binance/status/1888594165896032453 Zhao then suggested that CEXs could benefit from a more automatic listing process, similar to how tokens are listed on DEXs. He proposed that exchanges could list almost any token automatically. https://twitter.com/cz_binance/status/1888680094736240919 In addition to his comments on CEX listing processes, the former CEO also addressed concerns about his stance on meme coins, which have been the biggest narrative in crypto in 2024 . When asked if he was shifting away from focusing on “fundamentals” in favor of meme coins, CZ maintained that his priorities remained unchanged. “I am a builder. I always focus on fundamentals.” However, he clarified that while he personally has not invested in any meme coins, he is not opposed to them. “Not ‘into’ something doesn’t mean I am against it,” he explained. You might also like: BNB Chain soars in 2024: market cap doubles, revenue up over 200%

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