- Binance, the world’s largest crypto exchange by trading volume, has announced that 11 altcoins are facing a potential delisting.
- On Monday, Binance extended its “monitoring tag” to Balancer (BAL), Cortex (CTXC), PowerPool (CVP), Convex Finance (CVX), Dock (DOCK), Kava Lend (HARD), IRISnet (IRIS), MovieBloc (MBL), Polkastarter (POLS), Status (SNT) and Sun (SUN).
- Binance users who want to trade tokens with monitoring tags have to pass quizzes every 90 days, designed to make users aware of the risks associated with the digital assets.
Discover the latest developments as Binance considers delisting 11 notable altcoins, highlighting the critical aspects of trading in volatile crypto assets.
Binance Introduces Monitoring Tags to 11 Altcoins
In a significant development, Binance has updated its platform by extending the “monitoring tag” to a set of 11 altcoins, including notable names such as Balancer (BAL), Cortex (CTXC), and Convex Finance (CVX). This move aims to flag these digital assets as more volatile and risk-prone compared to other cryptocurrencies. Binance conducts frequent reviews of these tagged tokens to ensure compliance with its listing standards. The platform’s intention is clear: assets that fail to meet these criteria might face delisting.
Implications for Traders
This tagging approach by Binance brings several implications for traders. For one, users interested in trading these tokens must now pass a quiz every 90 days. This requirement is structured to ensure that users are fully aware of the risks involved in handling these volatile assets. The quizzes are part of Binance’s broader initiative to enhance user awareness and safety within the trading environment.
Tokens Removed from the Monitoring List
In the same announcement, Binance also declared the removal of Enzyme (MLN) and Horizen (ZEN) from its monitoring list. Both these tokens have met the necessary criteria to avoid the potential delisting threat. Enzyme, a platform known for its on-chain asset management systems, saw a significant price surge of nearly 30% within 24 hours of the announcement. Similarly, Horizen, a blockchain network focusing on privacy, experienced a gain of over 5% in the same period. These upward price movements reflect positive investor sentiment following their removal from the monitoring list.
Conclusion
The decision by Binance to place monitoring tags on certain altcoins underlines the continually evolving landscape of the cryptocurrency market. It serves as a caution to traders regarding the inherent risks involved with these tagged assets. Traders must stay informed and exercise due diligence, keeping in line with Binance’s guidelines for a secure trading experience. Looking forward, Binance’s actions might drive other exchanges to adopt similar measures, further shaping the dynamics of the crypto trading ecosystem.
