The cryptocurrency exchange known as Binance has recently made updates to its Watch Tag list, effective starting from July 1, 2024. This list serves to highlight specific altcoins that exhibit higher volatility and associated risks compared to others on the platform. The recent changes include the addition of 11 new altcoins and the removal of two existing altcoins from the Watch Tag list.

New Altcoins Added to Binance’s Watch Tag List

As of July 1, 2024, Binance has included Balancer (BAL), Cortex (CTXC), PowerPool (CVP), Convex Finance (CVX), Dock (DOCK), Kava Lend (HARD), IRISnet (IRIS), MovieBloc (MBL), Polkastarter (POLS), Status (SNT), and Sun (SUN) to its watch list. Simultaneously, Enzyme (MLN) and Horizon (ZEN) have been removed from the watch list.

Altcoins categorized under the Watch Tag undergo strict monitoring due to their higher volatility and overall risks. Regular evaluations are conducted by Binance to assess if these altcoins align with the platform's listing standards. Failure to meet these criteria may lead to potential delisting. The Watch Tag serves as a warning to users regarding the increased risks associated with trading these particular altcoins.

To engage in trading activities involving altcoins marked with the Watch Tag, users are required to pass a test on Binance Spot and/or Binance Margin platforms every 90 days. This assessment ensures that users comprehend the associated risks before commencing trading and also necessitates accepting Binance's Terms of Use. A risk warning header, alongside the Watch Tag, is prominently displayed on relevant Binance trading pages and the Market Overview page.

Criteria for Watch Tag Reviews

Periodic reviews are carried out by Binance based on a set of criteria to determine whether to retain or remove the Watch Tag for an altcoin. These criteria encompass the team's dedication to the project, development activity levels and quality, trading volume and liquidity, network stability, security against potential threats, smart contract and network robustness, public communication level, responsiveness to due diligence inquiries, absence of unethical or fraudulent actions, contribution to a healthy crypto ecosystem, transparency, and adherence to commitments made to Binance.

In addition, Binance assures its users that the alterations to the Watch Tag list will not impact other associated services related to these altcoins. The objective of Binance's Watch Tag application is to uphold high standards and ensure the integrity and sustainability of the crypto ecosystem. Users are strongly advised to stay informed and uphold awareness of the risks entailed in trading altcoins labeled with the Watch Tag.