Imagine a big online store for special internet money called crypto. Binance is a very popular store. Recently, its co-founder, Changpeng Zhao, said they need to improve how they add new cryptocurrencies to their store.
He said the current process is too fast. People who know about new cryptos before they're added to Binance buy them cheaply then sell them quickly for a profit when Binance adds them, causing price drops.
- Binance adds new cryptos too quickly.
- Smart traders buy before Binance adds cryptos, then sell when the price goes up.
- A new crypto called TST went up, then fell by more than 50% after Binance added it.
- Some people think a better way is to add cryptos automatically, like smaller online crypto stores.
| Crypto | What happened | Prediction |
|---|---|---|
| TST | Rose to $489 million, then fell to $192 million. | Uncertain |
| Binance Listings | More than 80% lose value in the first six months. | A better system might change this. |
This all means that buying and selling crypto can be risky! It's like a rollercoaster - sometimes it goes way up, sometimes way down.
