Global exchange giant, Binance, has announced the listing of two viral memecoins, Simon’s Cat (CAT), and Pudgy Penguins (PENGU).

The announcement has created a frenzy among memecoin enthusiasts as listings on major exchanges like Binance often trigger a price surge because of exposure to a massive global audience.

Listing Details for CAT and PENGU

In an official blog post, Binance disclosed that both CAT and PENGU would be launched on the same day, December 17, at 09:00 UTC, and 14:00 UTC respectively. The listing comes at a time when the entire crypto market is experiencing a significant rally.

Added to the potential price impact Binance’s publicity would bring, the memecoins would likely benefit from the positive sentiment surrounding the market.

In fact, CAT already enjoyed a price boost following Binance’s announcement. Its price moved up by 60% to reach a new all-time high of $0.00006811 with a live market cap of $439 million.

While PENGU would make its market debut on Binance, its initial circulating supply would be 62,415,951,646 (about 70.2% of its total supply of 88,888,888,888), which includes the HODLer airdrop token rewards.

Pudgy Penguins initially announced the introduction of its native token PENGU earlier this month without an actual launch date. This was done to gather investors’ attention, creating anticipation for its eventual release.

As per Binance’s announcement, CAT and PENGU would trade against USDT, BNB, FDUSD, and TRY with the seed tag applied. For context, a seed tag is a disclaimer put by Binance on new tokens that are not yet established. It is simply a warning of high volatility and risks associated with the token compared to other fully established ones.

CAT has a maximum supply of 9 trillion tokens with a circulating supply of 7.89 trillion.

Crypto Community Questions Binance’s Listing Strategy

Meanwhile, members of the crypto community have voiced concerns about Binance’s alleged price manipulation tactic associated with token listings.

Recently, the exchange introduced the Magic Eden (ME) token which gained significant traction only to be met with a massive sell-off after launch. At debut, the ME token traded at $17 but crashed by over 70% afterward.

A prominent member of the crypto community, Tracer, alleged that Binance is pumping the already-established CAT token with its listing because it is “profitable for the exchange. Moreover, he suggests that the trend signifies a growing interest in the “top-1 exchange” in listing memecoins.

Source: Tracer/X

Another community member, Leonidas, questioned the rationale behind Binance memecoin listings. He outlined an alleged strategy by the exchange which includes buying low cap memecoins like NEIRO and ACT, listing them so that the price would pump over 50%, and then dumping them on the market, sending its price crashing hard.

He echoed the frustration experienced by global Binance users who rush into a project because of its presence on the app, only to lose significantly because of the steep decline that follows.

Is this @binance’s new business strategy in the post-CZ era?1. Buy up low cap memecoins like $NEIRO ($15M) and $ACT ($20M)2. List them so they 50x3. Dump on their own usersPeople deserve to know what is going on inside the largest crypto institution @_RichardTeng

— Leonidas $DOG OKX (@LeonidasNFT) November 12, 2024

Meanwhile, in a previous post on X, former Binance CEO, Changpeng Zhao, criticized memecoins, calling them “weird” while calling for support of “real blockchain applications.”

His comment attracted critics referring to him and his exchange as hypocrites since they apparently do not practice what they preach.

Notably, about 80% of the memecoins listed by Binance in 2024 have seen similar price movements, rising and dropping significantly after listing. Community members have likened the situation to a typical pump-and-dump scheme.

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