Binance Chain’s Assault on Ethereum Continues as Fusion Pumps 40% on Listing
Fusion (FSN) is the latest Ethereum-based cryptocurrency to migrate to Binance Chain – the exchange’s proprietary blockchain. Just last week a project related to Fusion – Fantom (FTM) – also moved to Binance Chain from Ethereum, in a continuation of a growing trend.
Could it be that these projects view Binance Chain as a superior technological home to Ethereum? Or could the related perks of joining the Binance ecosystem be acting as an enticement – namely, an immediate listing against major coins on the largest crypto exchange in the world?
One thing to note is that when these tokens join Binance, they gain trading pairs against the likes of BTC, USDT, BNB, USDC – but rather tellingly, not ETH.
Where other platforms have failed to dethrone the reigning “King of the DApps”, could Binance’s sustained assault result in it achieving the status of “Ethereum Killer”?
Fusion (FSN) Joins Binance Chain: “Welcome to the …. Side!”
The Fusion team announced their integration with Binance late on Sunday night, sending out a blog post titled “Fusion and Binance Chain are driving the next wave of interoperability, together”. Confirmed in the post is the immediate migration:
“Fusion is thrilled to announce that we are integrating into the Binance Chain ecosystem to bring great value to Fusionites and Binancians alike!”
In the fairly lengthy announcement, not a single mention is made of Ethereum, ERC-20 tokens, or anything related to Fusion’s former home. Rather, we’re given a reminder of the Binance’s valuable contribution to the crypto community. From the post:
“Fusion recognizes the value that Binance has contributed to the cryptocurrency community at large, and are looking forward to becoming an active participant in their new decentralized ecosystem. As the fabric of the digital economy, we believe that together with Binance we will be able to empower our Ecosystem of Economies to grow towards a level of adoption not been seen before in the blockchain industry.”
Binance founder Changpeng Zhao (CZ) sent out a congratulatory tweet, welcoming Fusion to his… side.
The most recent migrant to make the blockchain switch, Fantom, also sent out a tweet welcoming Fusion to the “family”.
No ETH Trading Pairs – The Slow Starvation of Ethereum
Speaking of Fantom, on June 10th, it was announced that its FTM token would be listed on Binance. Its immediate trading pairs consisted of FTM/BNB, FTM/BTC, FTM/USDT, FTM/TUSD, FTM/USDC and FTM/PAX.
If we go back to late May, when Theta Fuel (TFUEL) was added to Binance, we see the same BNB, BTC, USDT, TUSD, USDC and PAX trading pairs. Whereas once ETH was the second name on the team-sheet whenever new trading pairs were announced, Binance looks to be trying to scrub it out with red pen.
While other blockchain projects sought to be the prime Ethereum Killer by promising bigger, faster, better platforms – Binance is taking a different route. It has the money, and in this country (or in Malta for that matter), when you get the money, you get the power. And when you get the power, you get the…altcoins to come to your blockchain.
According to Fantom’s Chief Marketing Officer, Michael Chen, no fees were demanded for FTM’s listing on CZ’s exchange. That’s in direct contrast to claims made in the past by the likes of DigiByte’s Jared Tate. CZ sent out the following tweet in response:
King-Making Power, and Burning in Hell
Recently when asked about the delisting of Bitcoin SV (BSV), Ethereum founder Vitalik Buterin was unequivocal about the fact of “Faketoshi” Craig Wright’s pet project being a scam. However, he also took time to bemoan the moral murkiness that sees Binance granted the power of king-maker. A thumbs up or thumbs down from ‘Little CZar’ can decide the fate of a cryptocurrency in an instant. As Buterin said:
“They’ve asked for big listing fees. They influence which coins win and lose by deciding which trading pairs they have – so it’s weird to criticize that one decision (the delisting) without looking at all their others.”
Now, it appears Ethereum may have been given the thumbs down by CZ. There’s plenty of reason for hostility between the two. In 2018, Buterin slammed the accumulation of power by exchanges like Binance, fuming:
“We can really take away this stupid king making power that these centralized exchanges have where they have this ability to just decide which tokens become big by deciding to list them and then charging these crazy $10 million to $15 million listing fees. The more we can get away from that world and into something which actually satisfies the blockchain values of openness and transparency the better.”
Nothing Stops A Good Price Pump
The effort to kill Ethereum naturally went unnoticed by traders this week, as both Fusion and Fantom underwent generous price pumps on the news of their Binance listings.
Between Friday’s low of $1.25, the value of FSN surged 40% in the run up to Sunday night’s official migration confirmation. Perhaps someone knew something that everyone else didn’t?
Only hosted on nine exchanges as of yet, including Bittrex, FSN volume shot to $4.3 million over the course of Monday morning. That’s Fusion’s highest volume since shortly after launch in August 2018.
Fantom was given a glowing review by one of Hacked’s ICO analysts when it launched in 2018. Now placed around the top 120 projects by market cap, FTM’s fate was no doubt helped by last week’s Binance listing.
Seven days on from the listing, and Binance trading pairs make up more than half of FTM’s daily volume. When trading commenced last week, FTM’s value jumped from $0.020650 up to $0..039194 in 24 hours.
That marked 89% growth in a flash. After the subsequent pullback, FTM was still left with 37% more value than this time seven days ago.
The recently migrated Fusion is a product of Dejun Qian of the blockchain incubator, BitSE. The team has helped develop other blockchain projects such as VeChain (VET) and Qtum (QTUM).
Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
Featured image courtesy of Shutterstock. Chart via CoinMarketCap.