Author: Gilmo
Compiled by: Yuliya, PANews
Why do so many tokens listed on Binance fail?
Lately, while browsing cryptocurrency communities, you've likely become familiar with the phenomenon of "instant liquidation upon listing on an exchange." The days when listing on Binance meant instant success seem to be over. Instead, a "listing curse" circulates in the community, with many investors watching their account funds evaporate daily, heartbroken.
So, what exactly happened behind the scenes?
I. Overview
2025 revealed a harsh reality: most tokens listed on Binance Spot struggled to maintain their value.
89% of the tokens listed on Binance in 2025 had negative returns.
+Price performance
Approximately 89% to 94% of listed tokens are in a state of severe loss. The average drawdown after listing is between 71% and 80%. Many tokens do not experience a sharp collapse, but rather exhibit a slow decline pattern, with the price gradually decreasing over time, silently consuming funds.
+reputation
Binance's listing was once a significant milestone. Now, however, it's often seen as a liquidity event for early investors to take profits. Due to the massive selling pressure following the listing, many traders even refer to it as a "retail exit zone."
+Attention Cycle
Most projects garner significant attention in the first few days. However, interest quickly diminishes afterward. Without a genuine product or user need, this momentum will soon fade.
+Operations
Some projects slowed down their development after reaching the launch milestone. Subsequent sluggish activity and low liquidity led to their delisting from exchanges.
For example: A2Z, FORTH, HOOK, IDEX, LRC, NTRN, RDNT, SXP
In early 2026: ACA, CHESS, and DATA were also removed from shelves.
It's clear that Binance is no longer supporting projects that are underperforming.
II. Categories for Launch
In 2025, Binance listed 87 projects, covering 16 sectors.
+Network
Ethereum dominates with approximately 36%, followed by BNB Chain and Solana.
It's worth noting that Binance has begun supporting extremely new ecosystems like Nillion and 0G Labs, but this is also a high-risk group due to the lack of real users.
+section
DeFi leads with 18 projects, followed by AI and infrastructure.
Trend-driven platforms like Memes and RWA can quickly gain launch opportunities, but due to a lack of core products, they also have a higher failure rate.
III. So why did these tokens fail?
Several key factors can explain this pattern.
1. Insider liquidity events
The launch created deep liquidity, allowing the team and early investors to realize profits. Airdrop hunters also increased selling pressure immediately after launch.
2. Overvaluation
Some projects launched with valuations of billions of dollars, but had very small user bases. The gap between valuation and actual usage put significant pressure on prices.
3. Weak market fund flows
Funding in 2025 was primarily concentrated around BTC and ETH. New altcoins saw limited and short-lived inflows.
4. Emphasis on narrative over product
Many teams invest heavily in storytelling and marketing, while actual product development progresses slowly. Once the initial hype fades, user interest plummets.
5. Market saturation
By 2025, over 11 million tokens had been launched. Supply increased rapidly, while user attention remained limited. Simply listing on exchanges was no longer a sustainable driver of growth.
IV. Conclusion
Between 2025 and 2026, the listing of tokens on Binance will be more like the final round of insiders selling off their holdings than an opportunity for retail investors to get rich.
Only projects with genuine products and strong communities have a chance to survive.
You can refer to @defikadic 's list to see which projects are truly high-quality:
