Binance refutes claims to make profits from token listings, calling the allegations false and defamatory in light of legal threats from the CEO of Limitless Labs.
The exchange makes it clear that listing deposits are refundable and the right to legal action remains. The world’s largest cryptocurrency exchange, Binance, has publicly denied making any profits through its token listing process.
It was clarified on posted what he called Binance’s listing requirements, including significant token allocations and cash deposits.
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Hetherington’s post claimed that Binance was asking for approximately 8% of Limitless Labs’ total token supply, as well as large cash and token security deposits.
Limitless Labs, which has developed blockchain and artificial intelligence, counts Coinbase Ventures and the Base Ecosystem Fund among its investors.
Surprising legal threats and confidential leaks
Binance denied such claims, describing them as false and defamatory, noting shock that Hetherington disclosed private communications without Binance’s permission.
The exchange claimed that such leaks have damaged the integrity of the industry and reserves the right to take legal action.
Binance emphasized that it does not collect traditional listing fees, but added that deposits created by projects can be repaid within one to two years under specific conditions. The exchange also denied claims that its executives sold tokens in listed projects.
The controversy has sparked a new debate in the crypto community, with some traders and insiders on Binance’s social forum confirming that other listing proposals would involve similar terms, which would see project owners distribute around 8 percent of their tokens through airdrops and other Binance-sanctioned events.
Mike Dudas, the founder of 6MV, publicly verified Binance token displays statements similar to Hetherington’s, suggesting Binance has been using this playbook throughout the year.
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Indirect costs and industrial speculation
While Binance denies making a direct profit from the listing, market participants estimate indirect costs, such as token distribution and marketing requirements, at around 7 percent of a project’s token issuance.
Certain individuals consider such terms as a compromise to reach Binance’s huge user base.
This move by Binance to question these allegations shows that there is a tension behind the scenes between crypto efforts and exchanges in terms of transparency and fair market practices.
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