BNB
In a recent analysis, Binance Alpha, the innovative feature of Binance’s Web3 wallet, completed the listing of 29 new tokens over the past week. The value of the tokens has dropped by more than 40%, and investors are now “raising eyebrows” as to whether Binance Alpha’s projects are worth looking into.
According to an insight shared on X by @sankin_eth on X, 17 of the 29 tokens that debuted on Binance Alpha have generated returns for investors, while 12, representing 41% of the total, have shown a decrease in their fully diluted valuation (FDV) from their initial listing values.
The market cap of these tokens at the time of listing ranged widely, with the highest value being less than $1 billion and the lowest over ten million.BinanceSmart Chain (BSC) accounts for 41.4% of listed assets.
In terms of matic or “narrative” classification, the tokens are categorized into six sectors, with artificial intelligence (AI) agents, animal-themed memes, and DeFi being the most prominent.
Tokens Drop After Binance Alpha Launch
While some coins saw significant gains following their launch announcement, several saw sharp declines. BOB saw the biggest drop, falling 23.2% in 24 hours, while BANANA dropped 14.4%. PSTAKE also saw a decline, albeit a less severe one, falling 7% over the same period.
12-23-2024#BinanceAlphaSource
: Binance Web3 Wallet, Binance Alpha 3, Accessed 29 days ago (9 days ago) Does this mean it could be the case?
#Riyadh
29… pic.twitter.com/rgV4AZ0mva
– Maker Xiao Guo (@sankin_eth) 23 ديسمبر 2024
According to an analysis cited by Wu Blockchain on X, Solana memecoin Fartcoin (FARTCOIN), which was released in the project’s second batch, suffered a 16% drop in FDV. DeFi tokens SYRUP and SD, which were released in the same batch, also suffered the same fate, with their FDV values dropping by 15% and 21%, respectively.
Moreover, smaller market cap tokens showed significant volatility, with Shoggoth, FROG, BOB, TERMINUS, and GNON all posting leading gains, each rising by more than 100%. Conversely, APX and GRIFFAIN recorded the biggest declines, dropping 28% and 25%, respectively.
According to the analysis, BinanceAlpha has yet to have a significant impact on wealth, suggesting that the true potential may only be realized once selected projects are listed on Binance’s main spot market. Crypto enthusiasts recommend BinanceAlpha to consider tokens with higher FDVs, ideally over 1 billion, to provide significant growth opportunities for secondary market investors.
Binance US, the American subsidiary of global cryptocurrency exchange Binance, is preparing to re-introduce USD services, with a target of launching in early 2025. The update was shared by interim CEO Norman Reed in a recent blog post, who believes the exchange is making significant progress toward restoring the platform’s USD offerings in the US.
The cryptocurrency exchange first appeared in 2019, offering regulated cryptocurrency trading to US users. However, its operations faced a major challenge in June 2023 when the US Securities and Exchange Commission (SEC) filed a lawsuit against Binance. The SEC accused the company of failing to properly register Binance US as a securities exchange, and that it violated several regulatory laws.