Key Takeaways
Justin Sun and Andre Cronje assert that Binance does not impose listing fees, while Coinbase demands up to $300 million.
According to the CEO of Moonrock Capital, Binance requests a substantial proportion of a project’s total token supply as a fee for listing.
Justin Sun, the founder of Tron, and Andre Cronje, the founder of Fantom Network, maintain that Binance did not levy fees for listing their tokens. In contrast, Coinbase asked for millions of dollars for similar services, contradicting the public statement of Brian Armstrong, Coinbase’s CEO, that listings are free.
The controversy over listing fees on Coinbase and Binance originated from a post by Simon Dedic, the CEO of Moonrock Capital. Dedic expressed dissatisfaction with the practices of crypto exchanges, specifically Binance.
According to him, projects wanting to list on Binance had to undergo “a year of due diligence.” Once they cleared this step, they were asked to provide a substantial proportion of a project’s total token supply as a fee for listing.
“Not only is this unaffordable for projects, but these tokens are also the main cause for bleeding charts,” he stated.
In response to Dedic’s post, Armstrong claimed that “asset listings on Coinbase are free,” inviting projects to apply via their Asset Hub.
However, Cronje, commenting on Armstrong’s post, revealed that his experience was different. Coinbase had approached his project, Fantom, with requests for listing fees ranging from $30 million to $300 million, with a recent quote of $60 million.
Sun supported Cronje’s assertions, revealing that Coinbase requested 500 million TRX (approximately $80 million) to list TRON on its platform. He also noted that Coinbase required a $250 million Bitcoin deposit to be held in custody to increase liquidity.
Binance’s He Yi says not all projects can secure a listing simply by paying a fee
Binance’s co-founder, He Yi, stated that if a project does not pass the exchange’s stringent review process, it will not be listed, regardless of the financial offer or percentage of tokens provided.
Yi clarified that Binance assesses projects based on their overall quality and potential, rather than just their willingness to pay. She also mentioned that while Binance has clear rules regarding airdrops and collaborations, simply offering tokens or airdrops does not guarantee a listing.
In reaction to Yi’s statements, Dedic expressed doubt about her claims of not charging exorbitant fees for token listings.
“So you are saying those are pure lies and Binance never asked a project for 15% or more tokens? Eventually it doesn’t matter how you call those fees as long as you are taking it from hard-working founders,” he remarked.