In a move to enhance the transparency of the cryptocurrency market and empower users, Binance has introduced two groundbreaking new features: Locked Addresses and the Platform Concentration Indicator. These additions are designed to provide users with deeper insights into the dynamics of token supply and potential volatility risks, helping them make more informed trading decisions.

Locked Addresses: A Clearer View of Circulating Supply

Many cryptocurrency projects choose to lock a portion of their tokens for strategic reasons, such as encouraging long-term commitment from team members, investors, or the community. These tokens are kept in locked addresses and cannot be accessed until a pre-defined 'vesting' period ends.

Binance's new Locked Addresses feature will directly display important supply details in the platform interface. Users can now verify whether a portion of the project's token supply is actually locked, track the relevant amounts, and factor that into their trading decisions. Displaying information about locked addresses helps users distinguish between circulating tokens and inaccessible tokens, thereby avoiding misunderstandings about market capitalization or liquidity. You can find this information by accessing the token's 'Info' tab and hovering over 'Circulating Supply'.

Platform Concentration Index: Volatility Risk Warning Signal

An important question that traders often ask is: How concentrated is this token? If a few holders control a large portion of the supply, the risk of sudden price volatility can be much higher.

With the new Platform Concentration Indicator, users will gain an overview of the ownership distribution of a token, based on a weighted formula focusing on concentration within the Binance platform. Scores from 0 to 100 will be displayed.

  • A relatively high score (35 or above) means a greater level of concentration, indicating that a small number of holders may have a significant influence on the token's price.

  • A relatively low score (below 20) indicates a broader distribution and, potentially, lower volatility risk.

  • A score ranging from 20 to 35 can be considered an average level of concentration.

This index measures market concentration by assessing two key factors: the distribution of assets among Binance users and Binance's market share in the total circulating supply of the token.

Greater Commitment to Transparency

These new features are not individual updates but part of a multi-phase effort to elevate transparency standards across the industry. Since 2024, Binance has continuously added tools to provide users with deeper insights without requiring them to leave the platform. Features that have been introduced include:

  • Unlock Schedule and Token Allocation (September 2024): Integrating data from CoinMarketCap for users to directly view the upcoming unlock schedule and token allocation on Binance.

  • Token Methodology Update (February 2025): Improving the calculation and display of market capitalization and circulating supply.

  • Financial Reporting (April 2025): Starting to link to the project's financial reports directly on their token information pages.

Binance believes that transparent tokenomics is key to building trust, encouraging healthy market behavior, and minimizing the risk of misinformation or manipulation. The goal is not only to inform but also to educate and empower users, helping them make better decisions and build a healthier ecosystem.