According to an announcement made by the stock exchange on Tuesday, Binance brought in approximately $2.5 million by completing the public sale of ARKM tokens on behalf of chain analytics provider Arkham Intelligence.
The exchange stated that the sale collected 10,288 BNB tokens from a total of 114,454 participants. Each ARKM token was sold for 0.00020576 BNB or approximately $0.05, and a total of 50 million ARKM tokens were sold. One commentator described this as an “existential threat” and “bootless” for DeFi. They also included the following statements in their comments:
Imposing control responsibility for a $25 million investment will deter VC investment in DeFi because passive token holding is not equal to control.
The token launch garnered significant interest from investors who committed a total of 10.18 million BNB (valued at $2.45 billion) and resulted in 990 times more demand than supply. Binance stated that three investors reached the fixed allocation limit of approximately 300,000 ARKM, equivalent to $14,865, for individual participants, and therefore, their allocations were transferred to remaining users.
ARKM was offered for sale through Binance Launchpad, the exchange’s own platform for initial exchange offerings (IEOs). Following the initial token launch, ARKM was listed in the “innovation zone,” a designated category for low-liquidity and high-risk cryptocurrencies on Binance.
Trading of ARKM/BTC, ARKM/USDT, ARKM/TUSD, ARKM/BNB, and ARKM/TRY pairs is available with zero fees for limit orders (maker trades). In addition to the launch on Binance, ARKM tokens can be claimed as airdrops by some existing Arkham users.
As of the press time on Wednesday, ARKM was trading at $0.64 on Binance and decentralized exchange Uniswap. It significantly increased from the initial Launchpad sale price but dropped nearly 7% for the day.
ARKM is described as a “token earned from AI that enhances blockchain transparency” on the launch page of Binance Launchpad. Binance’s own research team had the following to say about the project:
Arkham’s token economy earned from AI encourages the widespread supply of data intelligence and offers it for everyone’s use to provide more clarity and transparency in the cryptocurrency industry.