Binance Listing Process Critiqued by Former CEO Changpeng Zhao

2 mins mins

Key Points:

Changpeng Zhao critiques Binance listing, suggests DEX model for improvement.
Listing announcements lead to short-term price surges.
Test Token experiences speculative trading, highlights listing issues.

Changpeng Zhao, former CEO of Binance, criticized the exchange’s token listing process, highlighting its market impact, as shared on social media in February 2025.

Changpeng Zhao Calls for DEX-Like Token Listing Automation

Changpeng Zhao recently commented

on Binance’s token listing procedure, describing it as “a bit broken.” He noted the pattern where announcements followed by quick listings lead to price surges on decentralized exchanges, before stabilizing. Zhao suggested a more automated listing model similar to decentralized exchanges (DEXs).

The ongoing market volatility resulting from Binance’s current procedure is under scrutiny. The Test Token (TST) incident exemplifies this, where the educational token saw speculative trading due to listing-related hype. DEX comparisons suggest freedom for users to choose their tokens with lesser market manipulation.

“As an observer, I think the Binance listing process is a bit broken. They announce, then list 4 hours later. The notice period is necessary, but in those 4 hours, the token prices go high on DEXes, and then people sell on CEX… Not sure if there is a solution for this though. Just beware.”

Market and community reactions vary, with some industry players endorsing Zhao’s automation suggestion to counter price manipulation. Others argue for improved notice periods, indicating concerns about volatility within short intervals.

Historical Context, Price Data, and Expert Insights

Did you know? The Test Token’s unintended association with Binance underscores how speculative trading dynamics can rapidly sway crypto markets, highlighting the need for clearer industry protocols.

CoinMarketCap data shows Test Token (TST) priced at $0.06 with a market cap of $55.64 million. The token experienced a 24-hour trading volume of $71.50 million, a decrease of 9.17% in the last day, and a significant volatility history including a 32.09% dip over the last month.

test-daily-chart — Test(TST), daily chart, screenshot on CoinMarketCap at 06:26 UTC on March 28, 2025. *Source: CoinMarketCap*

Coincu research team suggests continued volatility without regulatory or internal process adjustments at exchanges like Binance. A shift towards greater transparency and automation could enhance market stability. Additionally, the potential technological integration of DEX model benefits needs thorough exploration.