CZ Acknowledges Flaws In Binance Token Listings After TST Launch

Binance founder and former CEO Changpeng Zhao (CZ) has acknowledged fundamental issues in the exchange’s token listing process following the addition of the TST token.

The Binance founder clarified his non-involvement in TST’s listing while addressing concerns about the platform’s listing criteria.

CZ denies involvement in the listing process

“Why did TST get listed on Binance? I don’t know for sure. I am entirely NOT involved in their listing process,” CZ stated in his post. He explained that exchanges often compete to list popular tokens with high trading volumes, regardless of their origins or initial purpose.

The Binance founder identified a major issue in the current listing system – the four-hour notice period between announcements and trading. During this window, traders drive up token prices on decentralized exchanges (DEXs) before selling on Binance when trading begins.

“The notice period is necessary, but in those 4 hours, the token prices go high on DEXes, and then people sell on CEX,” CZ noted.

CZ also addressed speculation about his position on meme coins, stating that while he hasn’t personally invested in any meme tokens, he maintains a neutral stance toward them. He holds primarily Bitcoin and BNB but supports the development of the crypto ecosystem.

CZ highlights rising regulatory pressure

CZ’s comments show how regulatory pressure has changed the token listing sector over the past four years. The Binance founder pointed out that aggressive actions by regulatory agencies against utility tokens have pushed projects toward creating meme coins instead. This shift happened as projects tried to avoid being classified as securities.

CZ highlighted that the crypto market now forces major exchanges to list popular tokens quickly, regardless of their fundamental value. According to CZ, when traders actively seek a specific token, projects don’t need to approach exchanges directly.

CZ also addressed how assets with clear, tangible value often face liquidity challenges. He mentioned that real-world assets, like tokenized buildings, struggle to maintain active trading due to their stable valuations.

The Binance founder stated that memes are fun. He also stressed that “it’s a cultural thing. I am not an expert in this area. There are plenty of die-hard defenders of memes. Don’t go against the community.”

CZ mentioned that the crypto market now has a lot of money, which is ready to be invested in the market. He also mentioned that there are a lot of opportunities, and builders need to create things that people want.

Binance listed TST on 9 February 2025. While the coin hit an all-time high of $0.5244 on the same day, its price has plunged close to 69% in the last 24 hours to $0.1622.