BNB/USD: BNB Chain Publishes List of 191 Suspicious Projects on the Network
- Binance’s BNB Chain has updated its suspicious project list to include an additional 191 projects.
- The projects have been added for various reasons, including suspiciously high fees or non-functional websites.
- Binance is in the dominant market position for crypto exchanges, but was sued by the CFTC last month.
BNB Chain’s so-called “red-alarm list”, which warns users of suspicious looking projects, has been updated to include an additional 191 projects on the network. Binance, the largest crypto exchange in the world, has been ramping up its crackdown on malicious crypto projects hosted on its own blockchain network – BNB Chain.
Since being launched, the network has garnered a reputation for being host to a disproportionately high number of malicious projects, partly due to the ease with which they can be launched. It would seem that the exchange is now serious about changing that.
What’s on the list?
The list is composed of protocols which raise any of a number of flags which Binance considers to increase the risk of using a given platform. These include an absence of functioning social media accounts/websites or to have issued tokens which have undergone artificial price inflation.
Suspiciously high fees are another aspect of a project which can land it on the list, which some projects such as ‘cake.monster’ and ‘The Bandit Project’ have been flagged for. Some projects, including ‘Shorter Finance’, have been flagged due to the fact that they receive funds from Tornado Cash – the coin mixer which was added to the Office of Foreign Assets Control (OFAC) sanctions list last year.
How’s BNB Chain doing?
BNB has been riding the wave of renewed crypto market optimism in 2023, with a 39% increase YTD. However, it’s still down significantly from its market highs near the end of 2021. Binance, the chain’s creator, has also been seeing its market dominance in the crypto exchange market increase since the collapse of FTX.
Binance could have a few regulatory hurdles to jump if it wants to retain its dominance, as the US arm of the company was sued by the CFTC just a few weeks ago for allegedly encouraging users to evade regulations to use its derivatives trading service.
(About Binance)
Binance is a cryptocurrency exchange that was founded in 2017. It has since grown to become the largest and most popular centralized crypto exchange in the world. Binance offers its own token, Binance Coin (BNB), which users can use to pay for trading fees and other services on the platform. In addition to its exchange services, Binance has expanded its offerings to include a decentralized exchange, a launchpad for new cryptocurrency projects, and a wallet amongst other offerings.