Changpeng Zhao Responds to TST Listing, Exposes Flaws in Binance’s Token Process

• CZ clarifies TST listing, emphasizing Binance’s process flaws and need for automation.
• CZ highlights meme coins’ rise due to regulatory issues and speculation in crypto.
• Binance’s TST listing reflects the competitive nature of exchanges for popular tokens.

Changpeng Zhao, co-founder and former CEO of Binance spoke about the exchange controversy regarding its adoption of the TST token. The BNB Chain team developed the TST token for tutorial purposes, yet it became popular when associated with meme coins. Zhao announced on X that he opposed the TST token and the video tutorial, which were only for educational purposes without being promotional.

Concerns Over Binance’s Listing Process

Zhao shared his worries about how Binance accepts new tokens for its platform. According to him, decentralized exchanges (DEXs) experience price variations that occur after less than four hours between listing announcements. DEX token prices increase quickly before Binance listings but this sudden popularity creates large selling pressure once the token moves to CEX platforms. He admitted the solution could be challenging to find but warned traders to exercise caution given this situation.

However, Zhao stressed that he was not directly in charge of decision regarding which cryptocurrencies get listed on Binance. According to him exchanges like Binance tend to list popular tokens with high trading volumes due to the nature of the market. Zhao also emphasized that focus should be placed on the projects build their value rather than depending on the exchange listings for reaching success.

According to Zhao, CEXs should consider adopting automation methods for their listing system since decentralized exchanges (DEXs) operate with automated systems. Zhao recommended that CEXs establish automation in their token listing framework instead of maintaining traditional manual procedures. Zhao explained that his departure from operating a CEX prevents him from executing these improvements.

Meme Coins and Speculation in Crypto Markets

Meme coin community members have sparked discussions about the market presence of TST and other such assets. In his post, Zhao raised his speculation regarding why meme tokens are gaining popularity. According to Zhao, the regulatory issues with utility tokens caused projects to move towards launching meme-based assets since many faced legal challenges. Zhao explained how meme coins attract traders through their volatile nature and high liquidity, which is similar to their market provision.

Zhao stated that his opposition to meme coins remains neutral because he has never bought any meme coins yet. His stance on meme coins shares similarities with investments in sports cars, art, and NFTs because he neither participates nor opposes these markets. He acknowledged the cultural importance of meme coins because they have support from communities attached to them.