Binance To Monitor Four Tokens Closely Over Heightened Risk Concerns
In Brief
Binance will be monitoring four tokens – Beta Finance (BETA), BarnBridge (BOND), Waltonchain (WTC), and NEM (XEM) – to determine associated risks.
Binance, a leading cryptocurrency exchange platform, announced the addition of four tokens to its Monitoring Tag list.
The tokens, specifically BETA, BOND, WTC and XEM, failed to adhere to the exchange’s listing criteria which they conformed to when initially listed. Their continuation on Binance now hangs in the balance – pending improvements, or they risk delisting.
Binance’s Monitoring For Volatile Tokens
Tokens that carry the Monitoring Tag typically display higher volatility and associated risks compared to others. As a result, Binance conducts rigorous periodic assessments of these tokens. The onus is primarily on these tokens to ensure they remain compliant with Binance’s listing standards. Failing to do so could lead to their eventual removal from the platform.
For users keen on trading these tokens, Binance has introduced an added layer of caution. They must successfully complete a quiz every three months on the Binance Spot or Binance Margin platforms. This step is designed to ensure traders understand the risks associated with such tokens.
Additionally, they must accept the platform’s Terms of Use. Binance has strategically placed Monitoring Tags on the respective trading pages, and the Markets Overview page, ensuring users are well-informed. Tokens under this tag will also feature a risk warning banner, emphasizing their volatile nature.
Criteria for Review
When evaluating a token’s position on its platform, Binance takes into account the dedication of the project’s team, the quality and volume of its developmental activities, and its trading volume and liquidity. Moreover, the stability of the network against threats, the reliability of the network and associated smart contracts, and the degree of public communication are also assessed.
How promptly the token’s team responds to Binance’s periodic due diligence requests plays a role, as does the absence of evidence suggesting unethical actions, fraud, or negligence.
Lastly, a token’s contribution to a thriving and sustainable crypto ecosystem is also a determining factor.
Disclaimer
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About The Author
Nik is an accomplished analyst and writer at Metaverse Post, specializing in delivering cutting-edge insights into the fast-paced world of technology, with a particular emphasis on AI/ML, XR, VR, on-chain analytics, and blockchain development. His articles engage and inform a diverse audience, helping them stay ahead of the technological curve. Possessing a Master's degree in Economics and Management, Nik has a solid grasp of the nuances of the business world and its intersection with emergent technologies.
More articlesNik is an accomplished analyst and writer at Metaverse Post, specializing in delivering cutting-edge insights into the fast-paced world of technology, with a particular emphasis on AI/ML, XR, VR, on-chain analytics, and blockchain development. His articles engage and inform a diverse audience, helping them stay ahead of the technological curve. Possessing a Master's degree in Economics and Management, Nik has a solid grasp of the nuances of the business world and its intersection with emergent technologies.