Binance introduces new modifications that may affect alternative currency traders
The Binance platform announced additions and modifications to its program, including the listing of the currencies NEWT and SAHARA as lendable assets under the VIP loan service, designated for high-net-worth clients and institutions, with flexible terms and competitive interest rates.
Although the listing of cryptocurrencies on a major platform usually enhances their market value, both currencies have seen a notable decline; the price of the cryptocurrency NEWT dropped by 7% and SAHARA by 11% over the last 24 hours.
In the same context, Binance announced the suspension of the following spot trading pairs on July 4:
ACT/EUR, FIO/BTC, TNSR/FDUSD, and TST/FDUSD.
Binance advised users to cancel or modify their trading bots to avoid losses.
Delisting decisions usually lead to decreased liquidity and exposure, undermining trust in the affected cryptocurrencies.
The price of the cryptocurrency FIO dropped by 8% following the announcement, amid expectations of further declines if full support is terminated.
Historically, the market has experienced sharp declines after similar decisions from Binance, as occurred last April when several cryptocurrencies were delisted, and coins like CREAM faced declines exceeding 60%.
