Tuesday, June 24

Binance, a leading global platform, takes a decisive step in transparency by introducing two new features: Blocked Addresses and Concentration Indicator.

These tools are designed to offer users a clearer view of the distribution of tokens and the potential risks of volatility, thus strengthening confidence and security in trading operations.

Why is transparency crucial in the crypto world? The news from Binance

The tokenomics of crypto projects can be complex, often not easily accessible even to the most experienced investors.

Understanding the actual circulating supply of a token or evaluating how distributed the ownership is are key elements to avoid surprises and make informed decisions.

Binance, aware of these needs, has decided to equip its platform with tools that simplify the reading of essential data, making the market more transparent and accessible to everyone.

Many cryptocurrency projects choose to lock a portion of their tokens for strategic reasons, such as incentivizing the long-term commitment of teams, investors, or communities.

These tokens, held in locked addresses, remain inaccessible until the end of a predetermined “vesting” period. However, the lack of visibility on these details can lead to misinterpretations regarding the actual liquidity or market capitalization of an asset.

With the new Blocked Addresses feature, Binance makes this information immediately visible within the platform.

Users can verify if a portion of a token’s offering is actually locked, monitor the amount involved, and take it into account in their own trading strategies.

Simply access the Information tab of a token and hover over Circulating Supply to get precise details on how the locked addresses affect the overall distribution.

This innovation allows for a clear distinction between tokens that are actually in circulation and those that are temporarily inaccessible, providing more accurate data to assess the real value of a project.

The key question: how distributed is the token?

Another often overlooked aspect concerns the concentration of ownership of a token. If a few holders control the majority of the supply, the risk of sudden price movements increases significantly.

Until today, however, there was no simple and immediate tool to evaluate this parameter.

The Concentration Indicator provides users with a snapshot of the distribution of a token’s ownership, using a weighted average formula that takes into account both internal and external data to the Binance platform.

The result is a score from 0 to 100: the higher the score, the greater the concentration and therefore the potential risk of volatility; a lower score indicates a wider distribution and, potentially, greater stability.

This indicator thus becomes a valuable tool for those who wish to quickly assess the risk associated with a specific asset, integrating it with other factors in their investment decisions.

The new features are part of a broader strategy by Binance, which since 2024 has progressively enriched the platform with tools dedicated to token transparency:

Token unlocking and vesting schedules (September 2024): integration of CoinMarketCap data to display upcoming unlocks and vesting timelines directly on Binance.

Update of the token methodology (February 2025): review of the calculation criteria and display of market capitalization and circulating supply, including unlock programs for greater accuracy.

Financial reports (April 2025): direct linking of the financial reports of the projects to the informational pages of the tokens, offering an even more comprehensive overview to users.

The objective: inform, educate, empower

According to Yi He, co-founder of Binance, “users want more transparency and tools to better understand the tokens they are trading.”

The commitment of the platform is not limited to providing data, but aims to establish new standards for market transparency, educating and empowering its community.

The more users understand the structure of a token – who holds it, when it unlocks, how it circulates – the better decisions they will be able to make.

At the same time, the growing demand for transparency pushes projects to be more accountable, improving the entire crypto ecosystem.

The introduction of Blocked Addresses and Concentration Indicator represents a further step forward in Binance’s mission to make the cryptocurrency market safer, more transparent, and accessible.

These tools, integrated directly into the platform’s interface, allow users to assess risks and opportunities with greater awareness, contributing to a healthier and more informed trading environment.

Binance thus confirms itself at the forefront of innovation and in safeguarding the interests of users, ready to welcome suggestions and feedback to continue improving.

In a constantly evolving sector, transparency remains the key to building trust and ensuring a sustainable future for the entire bull and bear crypto world.

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