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Understanding the Altcoin Delisting Process on Binance

Mon, 14 Oct 2024 22:17:34 +0000

Binance, one of the world’s largest cryptocurrency exchanges, delists certain altcoins from their platform from time to time. This may seem alarming to traders and investors, but this process follows specific guidelines and is critical in maintaining a high standard for the listed tokens. Understanding why Binance deletes an altcoin, how the process works and how it affects those that are holding the deleted tokens is essential for making informed financial and investment decisions.

Why does Binance delist an altcoin?

Binance chooses to delist altcoins for a variety of reasons. Here are some of the most common:

Low trading volume of an altcoin

The most frequent reason for deleting tokens is low trading volumes. If a token is not actively traded, this can lead to liquidity issues. This means that it becomes harder for users to buy and sell the coin for market value. As trading volume slows down and dries up, there may not be enough buyers or sellers to match the demand. This leads to wider spreads and trading conditions that are not efficient. Binance wants to make sure that the coins that are listed on their platform offer a smooth trading experience, and tokens that don’t match this criteria are often delisted.

Security risks

Security is one of Binance’s top priorities. If an altcoin has vulnerabilities, or if the underlying technology is compromised, Binance may choose to delist the token. Examples of this include hacks, weak encryption or other security flaws that can put investors assets at risk. Binance try to avoid any association with coins that have shown themselves to be risky from a technical point of view.

Security risks can also involve coins that fail to comply with local laws. Binance may choose to delete coins to avoid legal problems. This is especially true in cases where a coin is linked to illegal or sketchy activities, like fraud or money laundering.

Inactivity or project issues with the altcoin

In some cases, a project may fail to meet its milestones or to show any significant progress. Cryptocurrencies are more than only tradeable assets. They are often tied to projects with underlying technologies. If a project like this becomes stagnant and does not show future plans, Binance can decide that the coin no longer meets its standards. By delisting these coins, they can maintain the overall quality of coins that they offer on the platform.

The delisting process of an altcoin on Binance

If Binance decides to delist an altcoin, the process is usually transparent and clear. They regularly review all the tokens on their platform. After these reviews, certain tokens can get flagged for potential delisting. Binance usually issues warnings ahead of time, and these warnings can include updates about the coin’s performance, future plans or legal challenges they may be facing.

Once Binance announces that they are going to delete a coin, they provide a timeline. This gives users time to take action, like selling their holdings, or transferring them to external wallets. During this period the coin can still be traded, but after this period passes, the trading is stopped. Users then get given a small amount of time to withdraw their funds before the coin is completely removed from the platform.

How delisting affects traders and investors

For traders and investors, the delisting of a coin can lead to several challenges.

Liquidity issues and panic selling

When an altcoin is delisted, the liquidity slows down and dries up quickly. This means that it becomes much more difficult to buy or sell the coin at a favourable price. The immediate reaction of a coin’s delisting is often a big drop in the coin’s value, because traders rush to get rid of the coin. This is also called panic selling.

Limited trading options

After a coin is delisted, it can be difficult to find another trading platform that still offers it. Many exchanges follow Binance’s lead in matters like these, especially if the situation is based on legal or security concerns. This leaves investors with limited options to trade their holdings of the coin.

What to do if you are holding a delisted coin?

If you are holding an altcoin that is soon going to be delisted, or is already delisted, it is critical to act smart. Here are a few steps you can take.

Withdraw your funds

In the period before the coin is going to get delisted you can still withdraw your funds to a private wallet or another exchange. After the delisting happens, Binance disables trading and withdrawals, so you will have less options.

Find alternative exchanges

If you strongly believe in the future of this project, or in the potential that they offer, look for other exchanges that still offer the trading of this coin. Smaller platforms may continue to list is. But keep in mind that they don’t have the same level of security and liquidity as Binance. Keep an eye out for updates from the team that own the project and see if the project regains momentum or relists on a major platform in the future.

Examples of delisted altcoins

In the recent future we have seen some altcoins getting delisted. We have for instance seen that very recently the coins from PowerPool (CVP), VGX token (VGX) and ForTube (FOR) have been removed. There have also been some famous instances of big coins getting removed. Two good examples of this are BitTorrent (BTT) and Terra (LUNA). Both of these coins were delisted in 2022. BitTorrent had a large community, but legal uncertainty led to its delisting. After the Terra ecosystem collapsed in 2022, Binance delisted the original LUNA token to protect investors from the sudden crash and instability.

Conclusion

Binance’s delisting process is designed to protect its users from risky or low quality coins. While delisting can be quite inconvenient or stressful for traders, it is often necessary to maintain the quality and security of the platform. Understanding why coins get delisted, how the process works and what to do if you are holding a delisted coin can help you navigate the cryptocurrency world more effectively.

By keeping an eye on the altcoins that you hold, being up to date with their future plans and following Binance’s announcements, you can minimize the risk that is associated with delistings and make smarter and well thought out decisions.

References

Binance delisting altcoins 2024

What to do when your altcoin is going to get delisted

Why does binance delist altcoins

steps to take when your altcoin got delisted

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How to trade on a Leading Crypto Exchange (HTX)

Thu, 06 Jun 2024 11:39:04 +0000

Hello Cryptocurrency Enthusiasts! You are about to dive into the exciting world of HTX Trading Cryptocurrency. This is not just a cryptocurrency exchange. Actually, it’s a passport to a future where finance and innovation come together. Are you ready to embark on a journey with us? Let’s kick off!

What exactly does HTX stand for?

With operations in more than 100 nations, HTX is a global digital asset exchange. Established by Chinese entrepreneurs in 2013, the website collaborates with international customers and offers investment and trading services to users all around the world. In particular, it has more than four billion dollars in daily trading activity.

Features and Services Offered by the Centralized Exchange (CEX)

The site of the centralized exchange (CEX) lists around 500 currencies and 300 trading pairings, and it facilitates the issuance of tokens for initial coin offerings (ICOs). For example, users can secure their assets with an insurance policy, and they can contact the support service via many channels at any time.

Advanced Trading Features and Security Measures of HTX

However, among the many services offered by the ecosystem are crypto loans, staking, futures spot, margin, and derivatives trading. HTX distinguishes itself with an easy-to-use and intuitive trading interface that can be used by both novice and seasoned traders. Since HTX (HTX Trading Cryptocurrency) is equipped with sophisticated trading tools and capabilities, users may make informed decisions by executing trades. Therefore, they set limit orders, and utilize real-time market data. Consequently, HTX prioritizes security and implements severe steps to secure user payments and personal information.

In order to detect and prevent potential dangers, these methods include the use of cold storage for offsite fund storage, two-factor authentication (2FA), and frequent security audits.

The Evolution of HTX Trading Cryptocurrency

HTX traces its origins to Leon Li, an early Oracle developer who purchased the HTX domain in 2013 and commenced live Bitcoin trading the same year. This crypto exchange quickly capitalized on the momentum generated by China’s developing Bitcoin market.

With this exact way, they accomplished to attract investments from notable investors such as the Sequoia Capital organization. Besides, shortly after going live, HTX (HTX Trading Cryptocurrency) demonstrated that taking a piece of the cryptocurrency industry is not difficult!

In just three months, the exchange generated over $4 billion in revenue. Eventually, by 2014, the exchange’s turnover had doubled, demonstrating that it would finally meet Asia’s digital asset market needs.

Unveiling the HTX Token: A Closer Look at HT

In order to conduct business, HTX introduced its Ethereum-based token, HT. Thus, HTX distributed the HT value (HTX token price) to users through an initial coin offering (ICO) as a reward for being account holders.

To add with, HT issued tokens valued at $300 million within the first 14 days of its introduction. Furthermore, HT also grants customers the ability to cut the cryptocurrency trading fees on board by half . The reason why it does so is in order to allow users to take part in multiple IEOs and participate in exchange governance decisions.

HTX Charges and Transaction Limits: What You Need to Know

Due to its shift to a native token-based ecosystem akin to KuCoin, Bibox, and Binance, HTX offers highly competitive trading costs, allowing account holders to conduct both USD and Fiat Yuan transactions on the platform.

Furthermore, there are no associated fees because it happened before the Chinese government enacted the cryptocurrency ban. Additionally, trading fees are extremely fair, as the exchange charges both takers and makers a flat 0.2% fee without distinguishing between them. However, the platform can decrease trading fees to 0.1% on an increasing scale based on trading volume.

Final Thoughts on HTX Trading Cryptocurrency: A Comprehensive Review

The HTX exchange assessment validates the platform’s reliability. For this reason, the platform’s other distinctive characteristics, the user’s Protection Fund is deserving of special attention. It’s admirable for companies like HTX to reserve funds to insure users against unforeseen breaches or hacks.

As we wrap up our exploration, may your efforts with HTX be marked by success and prosperity!

References List

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Is it the right time to buy Bitcoin?

Wed, 13 Mar 2024 11:43:55 +0000

This post may contain affiliate links, which means I may receive a small commission, at no cost to you, if you make a purchase through a link.

Before, bitcoin has made a “comeback.” Following a low point in 2019, prices experienced a strong recovery throughout the first year after the outbreak of the Covid-19 epidemic, but then they experienced another sharp decline in the early months of 2021. Later that year, it recovered, but with the historic FTX crisis in 2022, prices fell.

The majority of the current price increase has occurred after January 10, when the Commission on Securities and Exchanges permitted the sale of spot traded funds (ETFs), allowing well-known companies like Fidelity, Invesco, and BlackRock to consumers. And when regular investors wonder if they should include cryptocurrencies in their portfolios, some advisors are sounding a little more upbeat.

Changing Scenery

Many traditional financial advisors, portfolio managers, and financial researchers have quickly written off cryptocurrency due to its dangers and volatility. That seems to be changing, if only a little. Money managers have witnessed millions of dollars being made on Bitcoin by both professional Wall Street traders and ordinary investors, despite the fact that they do not believe that customers should follow a “diamond hands” approach mindlessly. And some do believe that a little amount of Bitcoin might fit into the typical investor’s portfolio if managed properly.

The director of portfolio research at Northern Trust Wealth Management Peter Mladina stated, “People in a market that’s competitive are selling it and they see potential in it for whatever reason, so we need to respect that.”

The suggested portfolio of Northern Trust does not include Bitcoin. Additionally, Mladina refutes some widely accepted myths regarding cryptocurrencies. He contends that it falls short of meeting all the requirements to be considered a currency and that its volatility renders it an inadequate store of value.

Although he advises against investing a significant portion of a portfolio in Bitcoin, he did say that “maybe for certain individuals there might be a small allocation.”

According to recent research, 2024 will see Bitcoin hit a new all-time high.

According to a recent report, Bitcoin (BTC) is predicted to establish a record-breaking high of $88,000 (€82,000) during the year before settling at roughly $77,000 (€71,000) at the end of 2024.

At the moment, the cryptocurrency is valued at about $43,000.

The UK fintech company Finder conducted a study on the performance of Bitcoin through 2030 based on the professional price forecasts of forty experts in the field.

The research revealed that analysts expect the typical peak price of Bitcoin to reach $87,875 in 2024, with some forecasting as high as $200,000. Conversely, they anticipate the typical lowest price of Bitcoin by the end of 2024 to be $35,734, with projections as low as $20,000.

Is today the ideal time to invest $1,000 in Bitcoin?

Think about the following before purchasing Bitcoin stock:

Bitcoin was not one of the ten stocks that the Motley Fool Stock Advisor analysis team recently named as the best ones for investors to purchase right now. In the upcoming years, the ten equities which received the cut might yield enormous profits.

Stock Advisor gives investors a clear road map for success that includes monthly stock recommendations, regular analyst updates, and advice on constructing a portfolio. Since 2002, the return on the S&P 500 has been more than tripled by the Stock Advisor service.

What might stimulate growth for Bitcoin in 2024?

Nearly fifty percent of the specialists Finder polled predicted a price rise following a purported “BTC half event” in April 2024.

During a “halving event,” the mining reward for Bitcoin transactions reduces by 50% annually. Currently, individuals validating transactions receive 6.25 bitcoins, but this number could drop to 3.125. Halving events decrease coin’s supply, leading to price increases. Six months after the split event, approximately half of the 40 surveyed panelists (47%) anticipate Bitcoin hitting a new all-time high.

Click here to join Binance and receive a 100 USDT cashback voucher!

Reference List

Is Now the Right Time to Invest in Bitcoin?

Bitcoin price predictions: How much more could the cryptocurrency rise in 2024? | Euronews

Should You Buy Bitcoin While It’s Rising? | Nasdaq

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How to Make Trading on a Leading Crypto Exchange (HTX)

Wed, 07 Feb 2024 11:11:38 +0000