The delisting of certain cryptocurrencies is a phenomenon that is far more common than what people might expect. It happens when the transaction of a given cryptocurrency is closed on a crypto exchange. As the global interest in cryptocurrency has risen, new projects in the field have emerged rapidly. Nothing drives a sector’s growth like interest in the sector. However, the cryptocurrency market is one of the most volatile markets in the world and it’s not a great idea to trust it fully. For every successful crypto coin, there are many that fail. Such coins are referred to as “delisted” coins. In this post, we will find out more about delisting in the crypto world. Let’s get started.
Delisting: All You Need To Know
What does delist mean in cryptocurrencies?
Exchanges are the places where cryptocurrencies are traded. Some exchanges have a large number of altcoins. One of them is Binance, the other is Huobi Global and the other is Gate.io exchanges. When you examine these exchanges, you will see that many more cryptocurrencies are listed compared to other exchanges. However, after the market’s extreme volatility, the market’s recovery and the quality of crypto money projects such as the emergence of trash after the rain, and the news that some cryptocurrencies were delisted began to spread. Like the delisting of the BCPT coin on Binance in the past.
Being delisted means that an altcoin is removed from the stock market lists, that is, it becomes untradeable. Cryptocurrencies become delisted when they fail to meet the requirements of exchanges. In other words; Promises made while producing cryptocurrencies are important for exchanges to support altcoins. Projects that can somehow prove that their project is successful are also listed on major cryptocurrency exchanges such as Binance. However, after a while, with the fluctuation of the market or the emergence of other conditions, the success or failure of the project begins to be seen. This causes the cryptocurrency to become delisted if the project is not robust.
Why are some cryptocurrencies delisted?
Not every cryptocurrency is delisted, we have also witnessed that many altcoins have been delisted since the history of crypto money. So, why does a cryptocurrency become a delist?
For an asset or cryptocurrency to be delisted, certain factors must be involved. The reasons such as the quality and level of development activities, smart contract stability, public relations level of the project team, inability to respond to requests after the change are considered as the biggest reasons for an asset to be delisted. Apart from this, the fact that altcoins are not able to deliver what they promise to the exchanges where they are traded is among the situations that cause them to be delisted.
Why are some failed projects still listed?
In fact, whether an altcoin will be successful or not is obvious from the beginning. But still, sometimes even very large exchanges do not hesitate to list such altcoins. For example, it is widely known today that he does not have a project for DOGE Coin, but on the other hand, DOGE coin is on the lists of almost all the world’s giant stock exchanges. So what is the reason for this?
The biggest reason why unsuccessful projects or non-project-based cryptocurrencies are listed on exchanges is the high balance of supply and demand against cryptocurrencies. For example, the fact that crypto money like DOGE coin is supported by a world rich like Elon Musk causes its price to rise constantly and the demand balance to be high. The listing of such a cryptocurrency on the exchange obviously affects the increase in the trading volume of the exchange. Therefore, such projects can easily take place in the stock markets.
What happens to coins that are delisted?
Cryptocurrencies to be delisted are not delisted at once. Users must be notified in advance. A warning was also issued for coins that were previously delisted from Binance and other cryptocurrency exchanges. When a cryptocurrency is delisted, some trading pairs become inoperable. For example, after BCPT is delisted, it is no longer exchanged for BTC or ETH. But for a while, it can be exchanged with USDT, BUSD or some other cryptocurrencies determined by the exchange. However, it is necessary to know that this time is also limited and it is necessary to withdraw the remaining money by acting on time.
Which are some of the well known delisted coins?
Since the history of crypto money, many cryptocurrencies have been delisted from exchanges because they did not meet the necessary conditions. Some of these are:
- AirSwap (AST)
- Aventus (AVT)
- Contentbox (BOX)
- Cindicator (CND)
- Cortex (CTXC)
- DragonChain (DRGN)
- DATA (DTA)
- Dragon Token (DTX)
- DAOstack (GEN)
- Hydro Protocol (HOT)
- IOS (IOST)
- MATRIX (MAN)
- MobileGO (MGO)
- MedicalChain (MTN)
- Nucleus Vision (NCASH)
Is crypto usage difficult?
The story of the introduction of cryptocurrencies into our lives began to occur after the developments with the introduction of Bitcoin in 2009. Ethereum was the first project that rolled up its sleeves for the creation of other projects by making Blockchain technology open source. Since then, more than 10 thousand cryptocurrencies have been created until today.
It is actually not very difficult to produce or design crypto money. In a sense, it is enough to fulfill the necessary conditions and pay the money that must be paid to Blockchain. However, the important thing is not to design crypto money, but to keep the designed crypto money alive. In other words, it is extremely important that the project development team is successful, has a high level of communication with the public, and the CEO is successful in his field, as well as meeting the promises made to the stock markets. The chief reason why delisted alt coins are delisted is that they do not fulfill these conditions.
Is it possible for any cryptocurrency to be delisted?
One of the most important issues that long-term investors should pay more attention to is the possibility of delisting the altcoin they will invest in. Well, is it understandable that a cryptocurrency will become delisted? Although it is not correct to say “understandable” for sure, it would be healthier to evaluate crypto money by considering the following conditions:
- Examine the transaction volume and consensus algorithm.
- Examine the total supply, the circulating supply in the market, and what the supply limit is.
- Find out if the project can be improved by reviewing GitHub activities,
- Follow the project owners from their social media accounts,
- Evaluate the comments about altcoins from social media accounts,
- Check the software security and compatibility with the ecosystem,
- Learn about usage areas.
When you invest or examine a coin by paying attention to the items mentioned above, you can make a little comment about the future of the altcoin and thus decide whether to invest or not.
Is there a way to avoid investing in a cryptocurrency that might get delisted in the future?
While there is no set way to predict whether a given cryptocurrency will be delisted or not, you can make your crypto journey a little safer and more predictable by trading on some of the world’s most well known and reliable crypto exchanges. These crypto exchanges like Binance, Bitlo, Bitpanda, Coinbase Pro, etc. are reliable, offer fast buy and sell, come with a wide range of coins, and an easy interface to boot.
What are the things to consider when choosing a cryptocurrency exchange?
Cryptocurrency exchanges should be evaluated on the following characteristics before you choose one; reliability, transparency, speed, volume and number of coins. We recommend that you stay away from low-volume sites that have not taken the necessary precautions at the security point.
This checklist of things should come in handy:
- Reliability
- Volume
- Number of Coins
- Speed
- Interface
What are the commission rates on cryptocurrency exchanges?
Different commission payments are determined according to the transaction you will make on crypto exchanges, the volume and position of the transaction. You can visit the official website for detailed information about the commission amounts of the transactions you will perform on the crypto currency exchange. You can generate some good income by trading through apps like 1k daily profit.
Is it mandatory to give identity details to cryptocurrency exchanges?
Users who subscribe to reliable cryptocurrency exchanges are obliged to send their credentials first. The main purpose of this is to make sure that the crypto money wallet you will have belongs to you and to secure your personal information. In addition, this security measure can give you a special advantage in protecting your account against possible attacks.
Are cryptocurrency exchanges reliable?
Cryptocurrency entered our lives step by step since the launch of Bitcoin 2009 and which most people prefer as a new investment area. In such a scenario, the first thing to do is find a reliable stock market. Exchanges are both places where cryptocurrency is traded and areas that you use as a wallet. Therefore, when choosing a cryptocurrency exchange, you should choose sites that have a high reputation, have proven their reliability, provide good customer support and do not have overwhelmingly negative reviews.