The cryptocurrency exchange Binance recently announced an expansion of its Tracking Label application for certain altcoins, while also removing the Seed Label from others. The newly included altcoins are Bluzelle (BLZ), CLV (CLV), SelfKey (KEY), Prosper (PROS), and VITE (VITE). Simultaneously, the Seed Label will be removed from Pendle (PENDLE) and Sei (SEI) altcoins.
Understanding Tracking and Seed Labels
Tracking Labels signify altcoins on the Binance exchange that carry higher volatility and risk compared to other altcoins. Altcoins with a Tracking Label are regularly assessed and may face the risk of being delisted from the exchange.
On the other hand, the Seed Label represents innovative projects that exhibit higher levels of volatility and risk than other altcoins.
The changes in Tracking and Seed Labels for Bluzelle (BLZ), CLV (CLV), SelfKey (KEY), Prosper (PROS), VITE (VITE), Pendle (PENDLE), and Sei (SEI) became effective immediately. Furthermore, Binance clarified that there will be no alterations in other services related to these altcoins.
Regular Reviews and Label Changes by Binance
To help users better understand risks, Binance mandates a quiz for altcoins carrying Tracking or Seed Labels every 90 days. Users who successfully complete these quizzes can continue trading the respective altcoins.
The labels applied to altcoins are regularly reviewed by Binance based on various criteria, including team commitment, development activities, trading volume, liquidity status, and network security.
These changes in the Tracking and Seed Labels aim to better inform users and contribute to a healthier and more sustainable cryptocurrency market.
