Binance Chain is Failing and Letting Down Tokens

[Danumsigwasan]

Binance’s mainnet called Binance Chain was released to much fanfare this year. With numerous tokens now on its books, it is now time to get a good reading on its success. Unfortunately, for CEO Changpeng Zhao, Binance and the tokens listed on the Chain, it does not make pretty reading.

The analysis of Binance’s Chain came from Chinese company, Caijing on Chain. The company analysed 37 projects which had been listed on the project. The company found that many of them have poor statistics.



What was most shocking from the report was that the vast majority had an extremely negative return on investment (ROI). The biggest declining token is eBoost (EBST), with its opening price of 0.033BNB falling to 0.00022745 BNB, a decrease of 99%. Other poor performers were BLOC platform token, MDAB, who had an opening price of 0.02 BNB with the current offer at 0.00074 BNB, a decrease of 96%.

These exceptionally bad ROI’s were not an anomaly. Infact, just ten of the 37 tokens saw a positive return of investment. This has to be a serious concern for a major exchange and company like Binance. Yet, despite this, Zhao and Binance will be sitting pretty as their own native token appears to be doing well, despite the failure of the tokens listed.

Other investors have lashed out at Binance’s latest initial decentralized offering (IDO) for their DEX, decentralized exchange. Some investors have called it a scam and fraudulent.  @Babaganush111 sent a tweet, saying:

“Hi @cz_binance! today i got scammed at Raven Protocol IDO. At 9:00  i see 404 error, after DEX page loaded, after a second set price exact 0.0005 BNB which is huge scam every people think that 0.00005 BNB (because i FCFS and you and you don’t have time to check). I lost 40 BNB”

CZ responded saying that the decentralized offering was different to the IEO and this meant it was not under their control so sometimes these things can happen. Speaking at an event, he said:

“IDO is very different from IEO (first trading platform release). IDO is not under our control, we actually It has zero control and zero participation……If you are involved in IDO, you need to make sure that you understand all the rules and how DEX works, and what its technology is all about. You must rely on yourself, all should be very cautious. IEO is completely different.”

https://www.youtube.com/watch?v=xXmYxN8g2TQ&t=1s

Binance’s BNB flying high as others fall

So what about the token’s listed on their Launchpad? Clearly Binance is profiting from this exposure and usage of the token alongside others, but it does not appear to be a two way street. How long will this last for before smaller tokens start to look elsewhere? Let us know in the comments.

Source of article: https://www.bitcoin-original.com/binance-chain-is-failing-and-letting-down-tokens/

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[jvdp]

I have really lost any respect that I had for Binance when they changed their policy last month regarding U.S. I am not against that but to do it suddenly is just not good!

[Mehr Sher]

Any quality tokens will for sure go for better options instead of this thing.

[liuqi]

Shocking!!! I am not sure what has gone into Binance, because they are doing some very very weird things

[gabbello]

Although I have no sympathy for these tokens, as they are equally bad but still this is a very poor show down by Binance....

[Andrew Parker]

I am confused here.

Is this Binance fault or these companies are bad?

[WalkerIVIV]

I am confused here.

Is this Binance fault or these companies are bad?

Those companies are bad, remember this majority of them migrated from another blockchain and i thought that they never created any partnership with binance but they are only interesting to get volume and a chance to be listed on binance cex through issued binance chain token. But they are all having very bad charts.

[bozo333]

Lol, thanks for sharing. A good example of how big name is not necessarily good, always!

[Hung Yu So]

I am confused here.

Is this Binance fault or these companies are bad?

Those companies are bad, remember this majority of them migrated from another blockchain and i thought that they never created any partnership with binance but they are only interesting to get volume and a chance to be listed on binance cex through issued binance chain token. But they are all having very bad charts.

I also agree with this.

It's unfair to just talk about Binance, these companies are no Bitcoin. But yeah such companies shouldn't be listed in first place like Binance, so this is where I will say Binance made a mistake. Not sure if it's done intentionally or what

[Freddy11]

Binance is terrible to say the least. I hate it!!!!

They already made life hell of people like me from U.S and this news is nothing surprising…

[Sony.UK]

If a company is good, it’s nothing that exchange can do to downgrade it…..

[Olatunjex]

I believe binance is not responsible for the performance of the token listed on their chain, as you can see some have fierce very well and some have performed badly, the token in question should be responsible for the price and not binance chain.

[bartolo]

There is nothing strange in that graphic, the projects that are moving to binance chain are doing it for the hype, looking for a quick pump, but after the quick pump comes a quick dump and, at the end, the real value of the coin shows itself.

[CryptoIyke]

It is called dex, meaning decentralized exchange and Binance has no right or much influence over the coins listed there, instead the blame should be on the developers as a lot of them will want to cash out some fund to refund part of their expenses

[Bearier]

many dead tokens have already accumulated on Binance, when will there be delisting?

[rosezionjohn]

While it is true that many of these tokens dropped in price after getting listed on Binance DEX, it is still too early to judge the performance of the exchange. It is amazing that many here are pro decentralization but keeps mocking dex's.

[Red-Apple]

as much as i dislike Binance and their biggest lie which they are calling "decentralized" while it is fully centralized, i have to say your discussion has nothing to do with Binance itself.
these tokens are like all the other tokens and they were doomed to fail as they get dumped sooner or later. you shouldn't have had any more expectation from them than they were capable of delivering.

[Classica35]

We all know that Binance DEX has just started and that a lot still need to be done. Although, at the initial stage, when new listings began with the early lunch, they were pumping the altcoins, which is normal. I still believe it will be the best with increased trading volume. I think the exchange needs our support despite all odds, except anyone is against it.

[el kaka22]

First of all you have to calculate the losses and profits by making it look like you invest all of them with the same amount of money. For example if you were to put 1000 dollars into all these projects (all of them equally) how much money you would have right now, that is a good method of calculation.

I know there are ones that lost around 99% and 96% but there are ones that made 200%+ as well and there are tons of 10%-20% losses too, so saying there was only 10 good ones and all others lost money would be true but not projecting the truth on how much you would lose, it would probably still be a minus but not as much as some people think it would be. Plus they built a "DEX" and you expect them to do something about it?

I mean why would they list it on their DEX and not on binance itself if you wanted them to do anything about it, dex is literally the decentralized untouched place where everything goes, CZ is right on that one.

[yangongear]

A project to issue a BEP-2 token on Binance Chain requires a large amount of money, and an additional fee to be listed on Binance. Commercially, CZ actually did too well. The price of the token on Binance DEX is decided by the project team, I don't think it should be used to evaluate Binance dex.