Binance Introduces Voting Mechanism for Users to List or Delist a Token, Gamifying the Platform
Binance will introduce a mechanism for users, holding a minimum of 0.01 BNB, to vote on whether a token is listed or delisted on the exchange. The new approach will be used on new listings and will be a way to engage with their customers positively.
The announcement was made on Friday. The new system will have a vote to list and vote to delist option for users to decide what tokens are allowed on the exchange. Despite a large following promoting the Pi network, it hasnt been approved yet.
Before this system was introduced, Binance used information from social media to decide which coins were popular. However, this method was riddled with problems because people could artificially inflate a tokens popularity. Further, Binance has improved its standards for making such important decisions.
Binance users will be able to vote on their favourite tokens and research whether a token should be on the exchange. Critics point out, however, that large groups could abuse the system by mass voting one way or the other. There is also a risk that bots could be used to promote faulty tokens.
With this new approach, Binance will be able to ascertain what its customers want rather than relying on social media data. It can also airdrop tokens for eligible users to provide incentives to use its exchange.
Binances Monitoring Zone will be used to list potential tokens to delist. Reasons to delist could include slow updates, inactive communities, and inflated token prices. Projects with high levels of risk could be candidates for the voting system. Tokens that do not provide relevant information could also be voted upon.
The proposed system will also include options to trade early for upcoming tokens and to benefit from mega drops.
These features aim to balance between regulatory requirements and increased usability for clients.
Binances Alpha Observation Zone will be integrated with the voting system so that tokens launched exclusively through Binance can benefit from the user interaction.
After the FTX exchange collapsed, Binance introduced Proof-of-Reserve (PoR) to prevent a complete exchange collapse in the event of limited funds. Binance is one of the best exchanges providing token pair liquidity and hopes to continue providing such a service safely.
User engagement, such as with the voting system, will allow for better access to smaller tokens and increase market flow in the cryptocurrency economy. One would expect this trend to continue with additional features added in the future, further gamifying the platform.
The exchange encouraged projects to list their tokens if they have long-term industry partners, strong community backing, and an innovative concept.
Binance has a listings team to monitor new tokens and assess whether they are suitable candidates for the exchange.
Text source: ZyCrypto
