PANews reported on June 21 that some users questioned whether Binance adhered to the principle of fairness in response to its recent frequent coin listing operations. Some users said that Binance listed a large number of high-market-value venture capital (VC) projects, and the market liquidity could not withstand such a huge influx of funds. Yi He, co-founder of Binance, said that the cryptocurrency market is a free market, and Binance's coin listing strategy does not affect the flow of funds. The trading volume and liquidity will be distributed throughout the industry, including between centralized exchanges (CEX) and decentralized exchanges (DEX).
In addition, she pointed out that some VCs are indeed the core reason for the inflated prices, but VCs generally raise funds from LPs with a 7-year lock-up period of 4+3, and collect management fees + dividends; VCs generally unlock one year after TGE (not all), so many VCs in the cryptocurrency circle are also going bankrupt, and some VCs’ LP investments in the cryptocurrency circle may also go to zero; and project parties that receive large amounts of financing have more possibilities to survive the bubble cycle, but the fundamentals of the currency price and governance model are determined by the project party. There is no standard answer, and we need to do a more in-depth analysis of project tokens.
