If you are building a Web3 project in 2024, you may have wondered how a token is listed on an exchange. Well, in this educational article, the PlasBit team will clarify this question for you by explaining how to list a token on exchange.
Tokens are listed on top exchanges if they fulfill certain requirements. They must have good long-term possibilities, follow regulatory standards, have a serious and doxxed team, and have good fundamentals. Despite this, most exchanges are 'corrupt' and list tokens on an upfront payment, leading to speculation and manipulation. For example, a listing on a 'so called' top exchange, such as Kucoin, can cost between $200k and $300k. Another example is listing on OKX, which costs between $150k and $800k. It is also possible to list on low-level exchanges with prices ranging from a few hundred to thousands of dollars.
In fact, we can say that it is possible to trade cryptocurrencies on different types of exchanges:
- Serious and reputable centralized exchanges
- Corrupt and manipulative centralized exchanges
- Fake centralized exchanges (scams)
- Decentralized exchanges
But if you are building a crypto project, how do you actually get your token listed on an exchange? And what kind of exchange to choose? We will explain the various differences between the types of exchanges and how to successfully list your token on them.
How to List a Token on Exchange? Step-by-Step Guide for Top Exchanges
If you think your project has all the characteristics for long-term growth, your team is serious and professional, and you are gathering a large following in your community, then you might be able to list your token on a top exchange. But how to do this?
Step 1: Comply with Exchange Requirements
The most reputable exchanges will not list your token based on a payment but will do so if it meets certain standards. What standards?
- Doxxed and serious team: Exchanges analyze the team behind the project to ensure they are real and reliable individuals. This includes verifying the identities of team members, their experience in the industry, and transparency about their roles in the project. It is also analyzed whether they have made dishonest moves in finance and cryptocurrencies in the past in order to minimize the risk of a token scam.
- Legal and regulatory documentation: The project must comply with all applicable laws and regulations, including those related to tax compliance, investor protection, and anti-money laundering. This means that the project must have sold the token using a proper KYC (Know Your Customer) procedure and that it has modulated its offer according to the regulations of the various countries.
- Long-term prospects and fundamentals: Exchanges prefer to list tokens that have good long-term prospects rather than those that appear to be short-term or speculative projects. So, they also evaluate the fundamentals of the project, such as its technology, real-world applicability, use case, and community adoption.
- Security and protection: The project must ensure the security of users' funds and protect against potential vulnerabilities and cyberattacks. This means that the smart contracts, the website, and the entire project infrastructure follow strict security regulations and have been subjected to security audits by professional external agencies.
- Trading volume and community engagement: Exchanges may also evaluate the token's trading volume and community activity around the project as indicators of its popularity and acceptance in the market. This prevents the risk of limited market liquidity that would cause the token to collapse. To be listed on a tier 1 exchange, therefore, the token must have significant trading volume and/or a large community.
Step 2: Select the Right Exchange
Once the project meets the listing requirements, selecting the right exchange for your token is important. Some factors to consider include:
- Reputation and reliability: Choose an exchange with a good reputation in the industry to ensure the security of funds and the credibility of your token. Sometimes, as analyst ZachXBT's tweet also demonstrated, listing a token on an unreputable exchange can be remarkably counterproductive and ruin the project's identity.
- Size and liquidity: Larger exchanges with higher liquidity offer greater potential exposure and trading for your token. Conversely, exchanges with low liquidity can be a severe risk to your project, potentially leading to market manipulation and speculation. Those who suffer the most are the majority of holders.
- Listing Policies: Review the exchange's listing policies to ensure your token meets its listing requirements and criteria. Each exchange has different requirements for listing a token, but the most reputable and top-level ones generally follow the guidelines given above. Check the exchange's website to see if there are specific variations to the requirements.
- Listing fees: Evaluate the exchange's listing fees and compare them to your project's budget. Listing fees can be a problem for both users and the project. High trading fees create dissatisfaction, and users have no incentive to buy. Low trading fees, on the contrary, allow a higher volume and greater user satisfaction.
Step 3: Initiate the Listing Process
Once you've selected the appropriate exchange, contact the exchange's listing team and initiate the listing process. This may involve completing application forms, submitting legal and regulatory documents, and paying listing fees, if applicable. Remember to always be patient and respectful, considering that exchanges have dozens, if not hundreds, of daily listing requests. Don't put too much pressure, and don't try to find a manipulative shortcut, as your token may be blacklisted and never considered for listing again.
Step 4: Complete the Evaluation Process
After initiating the listing process, the exchange's evaluation team will review your project to ensure it meets all listing requirements. This process may take time, and you may need to provide additional information or documentation. Again, always be helpful and respectful, provide whatever is requested, and do not be brusque or arrogant while waiting.
Step 5: Announcement and Launch
Once the evaluation process is complete and your project is approved for listing, the exchange will officially announce the launch of your token on their platform. Make sure to inform your community and investors about the addition of your token to the exchange and encourage them to participate in trading. Remember that the listing day is very important for the project and the community. Preparing for a big launch can be stressful, but it is an exciting experience. Remember to prioritize the integrity of your project and do not use manipulative techniques.
Remember that the listing process may vary from one exchange to another, and you may need to tailor it to the specific policies and procedures of the chosen exchange. Additionally, make sure to maintain open communication with the exchange's listing team throughout the process to address any issues or questions that may arise.
How to List a Token on Exchange? Step-by-Step Guide for Paid Exchanges
Although having a token listed on top exchanges based on meeting certain requirements is the best way to go, most projects proceed by necessity to list first on smaller exchanges by payment. This is a common practice for many exchanges, but it can cause speculation and manipulation of the market and token price. How do you list tokens on a paid crypto exchange?
Step 1: Evaluating Exchanges and Prices
Although paying to list a token is an ambiguous practice, and we cannot define exchanges that accept reputable payments, many promoters contact the various projects that are potentially interested in listing their tokens to propose the various exchanges for listing. Here is a list of prices circulated by one such crypto-exchange promoter.
| Most Expensive Exchanges |
|---|
| Okx - 150k$-800k$ |
| Bybit - 150K-600K$ |
| Huobi - 175k-700k$ |
| Kucoin - 200k-300K$ |
| Gate.io - 200k USDT worth in tokens |
| Phemex - 50k -150k usdt worth of tokens |
| Bitrrex - 125k$-150K$ |
| Bitget - 70k-100k$ |
| Bithumb - 50K-70K$ |
| MEXC - 20,000 usdt + 50,000 usdt worth of tokens |
| Whitebit - 100k$ |
| BingX - 40K$ |
| Medium Expensive Exchages |
|---|
| BitMart - 30k$ |
| BKEX - 35K$ |
| CoinEX - 50K$ |
| BigOne - 25K$ |
| Hotbit - 20K$ |
| Bitrue - 30K$ |
| BTCEX - 15K$ |
| Probit - 24k$ |
| XT - 15K$ |
| Digifinex - 13K$ |
| Coinw - 20K$ |
| DeepCoin - 15K$ |
| Latoken - 15K$ |
| BitForex - 15k$ |
| Cheap Exchanges |
|---|
| Coinstore - 15K$ |
| P2B - 13k$ |
| CoinTiger - 10K$ |
| Coinsbit - 7K$-15K$ |
| IndoEX - 4K$ |
| Bilaxy - 4k$ |
| DEX Trade - 3K$ |
| Dsdaq - 4K$ |
| Azbit - 4K$ |
| VinDax - 650$-2000$ |
| GiftedHands Exchange - 500$ |
Prices vary a lot: higher prices ensure more traffic on the site, more possible buying users, and more volume; low prices mean that trading volume is probably low, and there are few users on their platform.
Step 2: Check the Specific Criteria of the Exchange
When considering listing your token on a paid exchange, it's crucial to understand and focus on the specific criteria set by these platforms. Unlike top-tier exchanges that prioritize stringent standards, paid exchanges may have varying requirements and considerations, often revolving around the payment for listing.
Here's how to navigate the criteria of paid exchanges effectively:
- Token Compatibility: Verify that the exchange supports the type of token you're looking to list, such as ERC-20, BEP-20, or others. Compatibility ensures seamless integration and trading functionality for your token on the platform.
- Listing Approval Process: Understand the exchange's listing approval process, which may vary from straightforward to more complex evaluations. Some paid exchanges may expedite listings upon payment, while others might require additional documentation or due diligence.
- Compliance and Regulatory Standards: While paid exchanges may be less stringent on compliance compared to top-tier exchanges, ensure that the platform adheres to basic regulatory standards. This helps mitigate legal risks and maintains the integrity of your token listing.
- Market Liquidity and Trading Volume: Assess the liquidity and trading volume of the exchange to gauge the potential market demand for your token. Higher liquidity and trading activity can lead to better price discovery and investor participation.
- Community Engagement and Support: Evaluate the level of community engagement and support provided by the exchange. While paid exchanges may not offer extensive community building initiatives, a responsive support team can address technical issues and inquiries effectively.
- Listing Fees and Costs: Compare the listing fees and associated costs across different paid exchanges. Consider the pricing structure, payment terms, and any additional charges to determine the overall affordability and value proposition for your project.
- Security Measures and Reputation: Despite being paid, prioritize exchanges with robust security measures and a positive reputation in the crypto community. Look for platforms with a history of safeguarding user assets and maintaining trust among traders.
- Token Exposure and Marketing Opportunities: Explore the exchange's marketing channels and promotional opportunities to amplify the visibility of your token. Paid exchanges may offer token exposure through featured listings, announcements, and targeted marketing campaigns.
By focusing on these criteria specific to paid exchanges, you can strategically assess the best platform for listing your token. Balance the costs, benefits, and potential risks associated with each exchange to make an informed decision that aligns with your project's goals and resources.
Step 3: Contacting the Exchange
Once you've identified a paid exchange that aligns with your project's goals and meets your listing criteria, the next step is to contact the exchange's listing team. This stage is crucial as it sets the first stone of your collaboration with the exchange and kickstarts the listing process.
Be sure to provide everything necessary to properly evaluate your token. Provide links to documents about the team, token economy, social profiles, website. Ask about waiting times and the procedure for listing, explicitly asking for listing costs and trading fees. The exchange will send you a contract to read and, if correct, approve by signing: Your partnership with the exchange begins and you can list your token for a fee.
Step 4: Launch of the Token on a Crypto Exchange
Once the contracting process with the crypto exchange is complete, you can proceed to launch your token to the general public. It will be a big moment, and you will need to prepare properly! There will be fibrillation, and you will have to do your best to ensure a smooth listing.
Another Type of Token Listing: The Fake Exchanges
As you can see, there is a lot of money in crypto and token listing, and scammers have prepared themselves to exploit this situation in their crimes. There are real criminal organizations that kidnap and traffic humans in scam factories. For example, in the KK Park prison, thousands of people are held captive who work tirelessly to perpetuate online scams against Western users. One of the most common scams is the pig butchering scam. In these crimes, scammers convince unsuspecting victims to deposit on seemingly legitimate fake exchanges. In reality, users can no longer withdraw money from the platform; it is fake!
Similarly, in tokens listings, scammers try to convince project teams to list on new and emerging exchanges, promising great exposure, new users ready to buy, co-marketing collaborations, and more. Unfortunately, in reality, the exchanges do not really work and are just a tool to steal money from uncaring users. So, if I want to list my token on a paid crypto exchange, how can I make sure it is not fake and a scam?
To determine if an exchange is authentic and not a scam, consider the following tips:
- Thorough Research: Conduct thorough research on the exchange, checking user reviews, discussions in cryptocurrency forums, and ratings from cryptocurrency analysis platforms. Verify if the exchange has an authentic and active online presence.
- Company Information: Look for information about the company operating the exchange, including contact details, physical location, and legal registration. Ensure that the company is registered with competent authorities and provides transparent information about its management team.
- Security and Protection: Assess the security and protection measures adopted by the exchange to safeguard users' funds and prevent fraud or security breaches. Look for information on infrastructure security, implementation of encryption protocols, and data protection policies.
- Transaction Traceability: Verify the traceability of transactions on the exchange platform, ensuring that operations are recorded transparently and verifiably on the blockchain. Watch out for any signs of suspicious activity or price manipulation.
- Communication and Support: Evaluate the quality of communication and support provided by the exchange, including response times to user inquiries and the availability of professional assistance. Ensure that the exchange provides reliable and accessible communication channels.
- Reputation and Feedback: Consider the overall reputation of the exchange in the cryptocurrency community and check user feedback on past experiences with the platform. Pay attention to warning signs such as negative reviews, reports of withdrawal issues, or unethical behavior.
- Regulation and Compliance: Ensure that the exchange operates in compliance with applicable laws and regulations in the cryptocurrency sector. Verify if the exchange has obtained necessary licenses and authorizations from competent authorities to conduct cryptocurrency exchange activities legally and regulated.
- Legal Consultation: If necessary, consult with a legal advisor experienced in the cryptocurrency sector to assess the validity and safety of the exchange. A specialized lawyer can provide professional advice and guide you in making informed decisions about choosing a reliable exchange.
By following these tips and paying attention to warning signs and red flags, you can reduce the risk of falling victim to cryptocurrency scams or frauds and identify authentic and reliable exchanges to list your token securely and responsibly.
How to List a Token on a Decentralized Exchange? Step-by-Step Guide
The process for listing a token on a DEX is quite similar to that of a CEX, but it changes for a few things. In fact, you will have to provide liquidity to the pool before making the submission for official approval. Let's explore the process in more detail!
Step 1: Choose the Right Decentralized Exchange
First, you will need to search for the most suitable DEXs for your listings. If you have a good budget and good liquidity, you can also opt for multiple DEXs at once, but you need to be aware of how arbitrage works and how it will be handled on multiple platforms. To choose the DEX best suited for your token, consider factors such as user base, liquidity, trading pairs, and user experience when selecting the exchange.
Step 2: Add Liquidity to the DEX
Most decentralized exchanges operate on automated market makers. Most DEXs work with liquidity pools and automated market makers (AMM) models. As a result, before you make the final application to list your token, you will need to ensure that you provide the liquidity pool to make trading possible for users.
Step 3: Submit a Listing Request
When you are sure you meet DEX's listing criteria, when your token's smart contract is ready, when you have a good community, and when you have provided liquidity to the pool, then you know you are ready to proceed to make the official listing request submission. You will then need to provide details such as contract address, symbol, and a brief description. The approval process may vary depending on the exchange's policies and community governance mechanisms.
Step 4: Announce the Listing
The time has come: Your token is about to be listed on a DEX! You can announce the listing date to your community, and you can do some promotions to get the word out and get new people into your project. You can use a variety of social channels and strategies, but be sure to always prioritize the integrity of your project and use consensual and permissible practices.
Step 5: Provide Support and Maintain Liquidity
After listing, the mission is not over, because you will have to keep checking the liquidity of the pool and add liquidity if necessary. Consider having a sound strategy for managing the liquidity pool otherwise you could face a rapid burn of cash. Continue to be more and more present in your project's community, interact with members, and continue the growth of your project.
CEX vs DEX: Which One to List Your Yoken?
Choosing between a CEX and a DEX is not necessarily a forced choice, and it is often possible to list on both at the same time, although more complicated. It is however essential to have a clear overview of the advantages and disadvantages of using one or the other.
Centralized Exchange (CEX)
- Reputation and Trust: Centralized exchanges are often much more controlled than DEXs, are managed by doxxed and verifiable teams, and are more compliant with regulations (they tend to be).
- Liquidity: CEXs generally ensure higher liquidity, which makes it easier for buyers and sellers to trade the token on the platform. There will be less slippage, trades will be executed more quickly, and, in general, the market will be more efficient. Good liquidity is also a key parameter for attracting large investors and whales.
- Listing Requirements: The token scrutiny process, if one chooses a non-paying exchange, is more restrictive and ensures that only the most promising tokens are listed (this only applies to the most reputable exchanges). This ensures greater reliability of the token and greater investor confidence.
- Control: Although centralization is not the goal of cryptocurrencies, it can help in some cases. Indeed, as CEXs are governed by central companies, the structures and processes for token approval are more defined and clear, and there is much more control over the process and management, as well as assistance if needed.
- Security: As far as security is concerned, on the contrary, CEXs may have inherent vulnerabilities, since they are governed by a central authority. This does not allow the risk to be spread over a larger number of actors, and may be a potential risk.
Decentralized Exchange (DEX)
- Decentralization: Decentralized exchanges operate in a decentralized manner, and there is no central actor to manage the platform. This ensures greater resistance to censorship and, in general, greater democracy.
- Listing Process: DEXs typically have a more open and decentralized listing process, where anyone can create a liquidity pool and list tokens without approval from a central authority.
- Privacy: DEXs often do not require KYC procedures, allowing greater privacy and anonymity for users. Nevertheless, this also entails greater risks, as the DEX does not take responsibility for users' funds and operations.
How to List a Token on Exchange: Key Takeaways
In this analysis, we delved into how to list a token on a crypto exchange, evaluating the possibility of listing on different types of exchanges.
- Top Crypto Exchanges: If you want to aspire to be listed on a top crypto exchange, then you have to follow the strictest procedures to be approved. Exchanges such as PlasBit, for example, prioritize user security and the safety of the products offered. So, the platform will never accept a payment from a project to list a token, automatically making us much safer and more trustworthy than most exchanges. If you want to have long-term success with your token, prioritize an organic and well-organized growth process so that it can be listed on top-quality exchanges like PlasBit.
- Paid Crypto Exchange: If you have smaller ambitions, and are forced to list quickly, then you can choose a paid exchange. Prices for listings range from a few thousand euros to even millions of euros, but consider that listing your token in this way can be counterproductive, as these types of exchanges often apply manipulative and speculative tactics to profit from both the project and the users, not guaranteeing safe trading.
- Decentralised Exchanges: If your project is based on decentralization and you are not going to prioritize security, then you can opt to list on a DEX. They are certainly more inclusive than CEXs, but they provide a lot less security and liquidity, which can be a problem.
In conclusion, we hope that in the future, more and more exchanges and projects will adopt the core values we have at PlasBit, focusing on security and the best possible experience for users, rather than focusing on mere speculative profit from paying for the token listing. We believe that in a more honest future, exchanges will no longer accept payments for listing tokens and that only secure assets that meet predetermined security and credibility prerequisites will be offered.
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