Crypto: Binance tightens its regulatory compliance on listing
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One year of listing, Binance’s new essential standard
More guarantees for crypto market makers
In a bold move aimed at restoring its image, Binance has announced a major tightening of its listing criteria. This decision comes after a particularly trying year 2023 for the crypto exchange platform. Indeed, Binance has had to face heavy regulatory proceedings and significant internal turmoil. Now the company appears determined to regain lost trust by drastically strengthening investor protections.
One year of listing, Binance’s new essential standard
Among the most notable changes, Binance has significantly extended the listing period required for new tokens. Previously, this period during which cryptos were locked could not exceed six months. Nonetheless, the platform now requires a minimum of one year before tokens can be gradually released. This draconian measure aims to discourage unscrupulous crypto projects involved in “carpet pulling” schemes. Indeed, such scams, where developers walk away with the funds after selling tokens, have caused huge losses to crypto investors in recent years.
Therefore, by imposing a long downtime period, Binance intends to ensure real and lasting commitment from the development teams. In addition, this requirement will allow better visibility on the long-term viability of the projects listed. However, the move could deter some startups looking for quick cash. But for the platform, the price to pay seems reasonable to restore the credibility of its trading environment.