Binance in trouble over listing scam defi token

[shakesbear]

I will not believe that CZ does not know the Sushi team,how can it be, lists shitcoin which is a week old, do not worry about their reputation at all ?

[Jawhead999]

-snip-

I see the requirement has been updated many times and when I checked the forms, actually you can still submit Other position instead of CEO nor Founder of the token. Probably this project mentioning as DeFi project, so it make CZ hurry to list this token without properly checking the token first.


source

Honestly, Cz ruined the credibility of the exchange. He's afraid of losing traffic and listing a scam project, he doesn't even know who its founder is. It is too risky for us to invest in Defi projects in this market, they can become scammer at any time.

I don't think people will said "Binance is scam","Avoid Binance","Binance is sucks" bla bla bla. Actually the name of the project is obviously shady, Sushi is a name of food made from japan, not a token LOL.
Even though Binance still listed this scam token, many (probably all) still believe Binance as a trusted and popular exchange.

[Krislaw]

I honestly don't think that SUSHI will be an exit scam more like pump and dump is expected but advertising such a coin on an exchange especially Binance where many users trust will surely affect their credibility and reputation among traders, although it is listed on their exchange no one also expected that the founder or SUSHI will exit with the profits, He's right we're responsible for our actions but he can prevent it from happening tho. That's why you need to expect the unexpected in crypto.

[ecnalubma]

I don’t think CZ still care about reputation anymore, listing an untrustworthy project is a very bad move that they had done. Its about profit and money after all, but off course its also due diligence of the investors. The lesson here is don’t trust a coin or token even if they are listed in big exchanges.

[Tomohisa]

Come on... let's be honest, the guy was upfront from the start. He said they are listing it because it is generating huge interest.. and for them interest is when a lot of trading volume is being generated.

The problem comes in when they are listing tokens that has no identifiable team, but if that was the rule.. nobody would be listing Bitcoin (BTC) ..because nobody knows who Satoshi Nakamoto is. 

They are in the business to make profit and if people are asking for a specific token.. and it shows large trading volume, then they would surely list it to get those fees. 

Yeah, what an excuse "if we don't list it, other exchange will so don't blame us over its exit scam". Thank you for making Binance, the most trusted exchange becomes no different than some B-tier exchange out there who will list anything because "muh traffics". Also, what do you mean by "people are asking for a specific token"? If it was a scam but since people have a demand for it then it's okay to list a scam coin on their exchange as well? The crypto has gone mad because of "muh profit", right or wrong, scam or legit doesn't matter anyone.

[Jackl87]

Binance wants to make money. When they noticed that they missed out on all that crazy volume that those new DeFi projects generated on Uniswap they began to list new DeFI project pretty quick to get a piece of the cake.
It was only a matter of time until one of those projects turned out to be a scam, but if you look at the prince of the Binance Token it didn't hurt them.

[target]

People trusted them so much that any tokens listed on Binance will be scam free and come this Sushi DEFI that turned out a scam. Whichever CZ explaination is, its going to be about them listed a scam project while the investors trusted them. You can't just risk our money all because yor company wants to earn from the hype.  

They have to list it otherwaise they'd be obsolete, Binance are now panicking because decentralize exchanges like the uniswap is about to take over them.
They should be feeling it now that the swapping platforms are getting bigger in terms of liquidity.

[distr@yopmail.com]

I don’t think CZ still care about reputation anymore, listing an untrustworthy project is a very bad move that they had done. Its about profit and money after all, but off course its also due diligence of the investors. The lesson here is don’t trust a coin or token even if they are listed in big exchanges.

I still can't believe it was done by the binance developers. so far they are doing very well and they have a strong trader and investor support. now there will be many different views for new assets listed there as well as their IEO.

[bitcoindusts]

They might be the biggest exchange but that doesn't mean we always trust what they will list there.
It is also our job to look deeper if the coin will have a good product or end up in the sewers.
Besides, it is our money that is on the line and not Binance.

I don't think they will be in trouble for this.
They might battle it with a disclaimer just like that tweet.

They are boasting that they are the best and also claiming that they are reviewing every project before they list it. But this time they list all coins/tokens even if it is an obvious scam. They should be liable at some point because they let them list this coin even though they know how risky is it.

If every scam project listed on binance exit scam then they give this same shit of statement then it will reflect on there image when time comes. I personally use binance because they only list trusted project before but right now. They are just turning into a shady exchange like P2PB2B and Coinsbit which list any project without further research about it as long as they receive listing fee.

Indeed, exchanges should take responsibility if ever they listed a scam project.  They somehow advertise that project through their announcement.  Aside from that, they take fees from these scam project to be a tool to scam people.  What CZ stated is not a reason for them to just list any scam projects.  Aside from that, if it is true that they claim that they review every project before listing it on their exchange just to get the people trusts but in truth they don't, then they really have to face consequences of of being a fraud.

[jekanmasin]

It was not binance fault to list scam projects that has a big volume of trade.. Binance list their project because they paid binance for listing their projects which mean they have money for listing. So we need to be careful as now we cannot think all project listing at binance is all legit now.

[john_nautica]

As much as it sounds displeasing to hear I think cz is making sense when he said nobody was forced to invest and all investment comes with high risk, people should learn to take responsibility of their action and stop looking for who to blame, those who invest in this Defi hype are greedy as well and should also be blame, already they knew the risk involved and yet they went ahead to invest but now putting the blame on an exchange.

Indeed. We are all responsible for our own decision. We are liable for the arising consequences of our investments.

Indeed, exchanges should take responsibility if ever they listed a scam project.  They somehow advertise that project through their announcement.  Aside from that, they take fees from these scam project to be a tool to scam people.  What CZ stated is not a reason for them to just list any scam projects.  Aside from that, if it is true that they claim that they review every project before listing it on their exchange just to get the people trusts but in truth they don't, then they really have to face consequences of of being a fraud.

But, exchanges are also responsible for releasing such information since this would encourage people to invest more.

[electronicash]

It was not binance fault to list scam projects that has a big volume of trade.. Binance list their project because they paid binance for listing their projects which mean they have money for listing. So we need to be careful as now we cannot think all project listing at binance is all legit now.

it means that whenever a team can pay for it, they can be listed on the big market and can take advantage of it despite not showing the profiles.  it could just be one in a million situation for binance but it can happen again if the project is a defi that many of the people will think it has potential because of the hype. i really think binance will once again add defi tokens soon. reputation is at stake now.

[Jekanpusuk]

It was not binance fault to list scam projects that has a big volume of trade.. Binance list their project because they paid binance for listing their projects which mean they have money for listing. So we need to be careful as now we cannot think all project listing at binance is all legit now.

it means that whenever a team can pay for it, they can be listed on the big market and can take advantage of it despite not showing the profiles.  it could just be one in a million situation for binance but it can happen again if the project is a defi that many of the people will think it has potential because of the hype. i really think binance will once again add defi tokens soon. reputation is at stake now.

The world are controlled by the money. They are a businessman by the way.. Even a scam that get hype can pay a big listing fees at binance so i think the scammer did has a big vision to do at binance.. Just watch what will happen soon. 

[Dewi89]

it means that whenever a team can pay for it, they can be listed on the big market and can take advantage of it despite not showing the profiles.  it could just be one in a million situation for binance but it can happen again if the project is a defi that many of the people will think it has potential because of the hype. i really think binance will once again add defi tokens soon. reputation is at stake now.

Any hype project so easily registers on a major exchange like Binance. They don't want to miss the crazy volume on uniswap and don't care if the exchanges reputation will decline. Hype Defi is an exception to all the strict requirements and he will feel the impact of the real hype madness.

[luckyflop]

It’s just strange that good projects like Swipe (SXP) do not receive the necessary investment, and fraudulent projects like sushi receive large investments.

Because it's getting the hype coming from Defi, and it looks like scam projects do a great job of marketing  . I have also seen a lot of scam projects being fomo and causing many people to lose money, but meanwhile good projects are too quiet and too few people know about it.

[goinmerry]

Exchange has requirements before listing a project, pretty sure before they list SUSHI it has already passed all the requirements, so I think exchange here should not be blame, people should understand that there's a risk in investing and this is already part of the risk.

Just to be clear, that requirements didn't follow in terms of listing those shitfood names DeFi tokens.

Binance just listed it "to make money" according to CZ itself.  It's obvious of course that there's a risk in trading or so whatever investment but it's not the point here.

They are trustworthy but not following their own terms is unprofessional. In other words, scam projects can just easily be listed by the number 1 and the biggest reputable trading platform right now as long as these scam owners pay the listing fee. When exit scam happened, Binance will just say, invest at your own risk then they are safe now from the blame.

[hatshepsut93]

People should take responsebility for their own actions. People made the decision to invest in high risk DeFi, just like people made the decision a few years back to invest in high risk ICO's. Greed is the reason that people invest in these scam projects, let it be a lesson to them that greed rarely pays off.

And exchanges have responsibility to filter scams and useless projects, because it harms the reputation of crypto as a whole, and their own exchange too. But they too get blinded by greed and choose to take short-term profit in the form of fees over the long-term benefits. Ideally, we would have 2 types of exchanges - shitcoin exchanges like YOBIT, which list everything, and some good exchanges that list only a very small amount of coins, like maybe top 5 or top 10 altcoins, minus scams like bcash and bsv.

[Findingnemo]

There is the defi token called "SUSHI" which was listed on binance a while ago. Unfortunately the founder reportedly exit scam leading to the price dropped 60% off just within 24 hours. https://news.bitcoin.com/sushiswap-founder-reportedly-exit-scams-as-sushi-token-price-tanks/. A lot of traders has gone nut on CZ Binance on Twitter claiming that he deleted some of his post about the project
 

CZ Now he thinks of himself as the boss of the crypto market. Because he has the biggest crypto exchange binance and websites like Coinmarketcap. We have contributed to getting him to this stage, but he is now abusing that power. Listing scam projects does not result in any loss when a huge listing fee is available. Binance has been saying listing fee zero in their announcement for the past few months, but I think they must have hidden fees, otherwise such shit projects have no power to be listed. So don't trust any exchange and the owner of the exchange, they will always be waiting to see how you can be trapped.

If the community is not careful, the owners of the exchange will do whatever they want. So before buying any coin you have to be extra careful and do good research about the project. Otherwise the owners of the exchange will take away your funds with  scam projects.

Btw. Cz have the habit of deleting tweets is old. He keeps tweeting nonsense, and deletes tweets when criticized by the community.

We can't blame Binance for this exit scam because exit scams can happen at any time but binance listed those shitcoins a bit early that is why it got so much hype around it.Why people are going made over the project which was just listed on the finance, even if there is no exist scam there could be hard dump for sure and that is what actually happened.Get mature and start to act like a trader not a chaser.

[pixie85]

Personally, I think projects like "SUSHI" don't have real use cases and real utilities. Traders only buy because of hype and instant profit, after the market collapse there are no fundamentals that are able to sustain the price which eventually drops like hell.

99% of all altcoins don't have any utilities and use cases. It's time to wake up.

On one hand I feel like it's not the exchange's fault that the coin team pulled an exit scam. Sometimes you strike a deal with a company and they bail on you. People are different some can be trusted and some can't.

On the other hand they should put more effort into screening these tokens or they'll become another shitcoin exchange like yobit.

[7788bitcoin]

And exchanges have responsibility to filter scams and useless projects, because it harms the reputation of crypto as a whole, and their own exchange too. But they too get blinded by greed and choose to take short-term profit in the form of fees over the long-term benefits. Ideally, we would have 2 types of exchanges - shitcoin exchanges like YOBIT, which list everything, and some good exchanges that list only a very small amount of coins, like maybe top 5 or top 10 altcoins, minus scams like bcash and bsv.

If you trust exchanges to have moral values then we will not be talking about this, CZ himself said that binance added these coins without any proper background check because they feared that they would miss the traffic if some other exchange is user friendly in perpetuating a scam. Their reputation as an exchange was damaged when they lost millions of dollars worth of bitcoin in the form of hack  and now this exit scam.