Binance, the largest cryptocurrency exchange in the world, announced that it will delist four digital tokens from its platform. These tokens include Alpaca Finance (ALPACA), PlayDapp (PDA), Wing Finance (WING), and Viberate (VIB).
The three tokens PDA, WING, and VIB saw a significant drop in their values immediately after the delisting announcement. However, ALPACA defied this trend, recording an increase in value despite the anticipated delisting from the platform.
Delisting details and timelines
According to the official announcement, the delisting decision will take effect on May 2 at 03:00 AM GMT. Starting from May 3, users will not be able to deposit these tokens on the Binance platform.
Additionally, the ability to withdraw these tokens will be halted after July 4. Finally, all open positions related to these tokens on the Binance Futures platform will be closed on April 30.
This decision comes as part of Binance's periodic review process, which assesses digital tokens based on several factors such as trading volume, liquidity, project team activity, compliance with regulatory requirements, and others. The platform stated that these tokens no longer meet the required standards, prompting the decision to delist them.
Motivations behind the decision and platform statements
Binance clarified in its statement: When any of the currencies or tokens do not meet our standards, or when the industry environment changes, we conduct a thorough review and may decide to delist the asset. Our priority is to ensure the best services and protection for our users while continuing to adapt to changing market dynamics.
This move came shortly after the conclusion of the second round of the delisting voting campaign, where 8.2% of participants voted in favor of delisting the PDA token. Meanwhile, the ALPACA token received 6.3% of the votes, and the WING token received 3.8%. The VIB token was not included among the seventeen tokens that were part of the community vote.
Notably, the FTX Token (FTT) received the highest voting percentage at 11.1%, but Binance did not include it in its latest list of tokens to be delisted.
The rise of ALPACA despite the delisting raises concerns
Following the announcement, the values of the tokens PDA, WING, and VIB fell by double digits. Data showed that the WING token experienced the largest percentage drop, losing 31.8% of its value. It was followed by the VIB token with a decrease of 29.7%. The value of PDA also fell by 17.0%.
Unexpectedly, the value of the ALPACA token rose by 71.3% after the announcement. Its trading volume also increased by 417.2%. This rise is unusual for a token that has been announced for delisting, raising concerns among followers.
Generally, delisting announcements lead to a significant drop in prices..... #BinanceAlphaAlert $BNB
