Fellow Binancians,
Binance is committed to fostering a healthy and sustainable market environment and always prioritizing our users’ interest. In recent months, we have observed a trend of tokens launching at high valuations with low initial circulating supplies. We addressed this trend and highlighted the implications in our report titled “Low Float & High FDV: How Did We Get Here?”.
To foster a healthy industry with a variety of market participants, including projects with lower to medium valuations, Binance is taking the lead to engage small to medium projects. We would like to invite such high-quality teams and projects to apply for our listing programs, including direct listing, Launchpools, Megadrops, and more. We hope to enhance the development of the blockchain ecosystem through our support to small and medium sized projects with strong fundamentals, an organic community base, a sustainable business model, and a dedicated team acting as responsible industry participants.
Why Is This Important?
Launching tokens at a high fully diluted valuation and low circulating supply can result in dilutions from future unlocks which can place selling pressure on tokens. Such a market structure can be unfavorable for retail investors and loyal community members of the project. We are committed to reshaping this trend and fostering a more diverse market environment for our users and for all market participants.
What Projects Are We Looking For:
Sector: All sectors are welcome to apply for listing
Valuation: Small to medium valuation relative to competitors in their respective sectors
Tokenomics:
Significant token allocation reserved for community users (airdrops, community rewards, and more)
Moderate token float during token generation events (TGE)
Less allocation to non-community users
Business & Product:
Good product-market-fit (PMF)
Self-sustaining business model
At least a minimum viable product (MVP)
Innovation in technology or design is preferred
Social Engagement & Community Base:
Organic user base
Sustainable user growth
Compliance:
What Are the Benefits:
Organic and sustainable industry growth based on more reasonable valuations and token allocations
Better alignment with retail users and the community through a fairer TGE
Binance Launchpool and Megadrop can help bring awareness and attention to projects
How to Apply:
Closing Note:
In pursuit of sustainable development of the cryptocurrency market, we are committed to delivering value to our users whilst safeguarding their interests. Actively supporting small to medium capitalization projects is one of our approaches to mitigate some of the risks that we have observed in certain aspects of the market. We invite all eligible projects to apply for listing with Binance, as we collectively strive to foster a more balanced and robust market environment.
Important Note:
Further Reading
Thank you for your support!
Binance Team
2024-05-20
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