Exchange "Listing Curse" Investigation: Why do 89% of new Singapore dollars ultimately become retail investors' harvest?

Author: Gilmo
Translation: Yuliya, PANews

Why do many tokens launched on Binance fail?
Recently, while browsing X or crypto communities, you might be familiar with the phenomenon of “liquidation immediately after listing.” The days of skyrocketing after listing on Binance seem to be a thing of the past. Instead, there’s a circulating “listing curse” in the community—many investors watch their account funds evaporate daily, heartbroken.
So, what exactly is happening behind the scenes?

1. Overview
   2025 revealed a harsh reality: most tokens listed on Binance spot trading struggle to maintain their value.
   

89% of tokens launched on Binance in 2025 had negative returns.

+Price Performance
Approximately 89% to 94% of listed tokens are in serious loss. The average retracement after listing ranges from 71% to 80%. Many tokens didn’t crash dramatically but showed a slow decline, with prices gradually falling over time, quietly draining funds.
+Reputation
Listing on Binance used to be a significant milestone. Now, it’s often seen as a liquidity event for early investors to cash out. Due to the huge selling pressure after listing, many traders even call it the “retail exit zone.”
+Attention Cycle
Most projects garner high attention in the first few days. But interest quickly wanes afterward. Without a real product or user demand, this momentum fades fast.
+Operations
Some projects slow down development after reaching the listing milestone. Subsequently, declining active users and low liquidity lead to delisting from exchanges.

For example: A2Z, FORTH, HOOK, IDEX, LRC, NTRN, RDNT, SXP

Earlier in 2026: ACA, CHESS, DATA were also delisted.

Clearly, Binance is no longer supporting underperforming projects.
2. Types of Listings
In 2025, Binance listed 87 projects across 16 sectors.
+Networks
Ethereum dominates with about 36%, followed by BNB Chain and Solana.
Notably, Binance has started supporting emerging ecosystems like Nillion and 0G Labs, but due to a lack of real users, these are high-risk groups.

+Sectors
DeFi leads with 18 projects, followed by AI and Infrastructure.
Trend-driven sectors like Memes and RWA can quickly get listed, but their failure rates are higher due to a lack of core products.

3. Why do these tokens fail?
Several key factors explain this pattern.
1. Insider liquidity events
Listing creates deep liquidity, allowing teams and early investors to realize profits. Airdrop hunters also increase selling pressure immediately after listing.
2. Overvaluation
Some projects are valued in the billions at launch but have a small user base. The gap between valuation and actual usage puts heavy downward pressure on prices.
3. Weak market capital flow
During 2025, funds mainly concentrated around BTC and ETH. New altcoins received limited and short-lived capital inflows.
4. Narrative over product
Many teams invest heavily in storytelling and marketing, while actual product development progresses slowly. Once the initial hype fades, user interest drops sharply.
5. Market saturation
In 2025, over 11 million tokens were launched. Supply increased rapidly, but user attention remained limited. Relying solely on exchange listings no longer sustains growth.
4. Conclusion
Between 2025 and 2026, token listings on Binance are more like the final round of insiders selling their holdings rather than opportunities 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 quality: