Binance To Delist And Cease Trading For Helium (HNT), Here’s Why

Binance To Delist And Cease Trading For Helium (HNT), Here’s Why

Binance, the popular crypto exchange, decided to delist Helium (HNT). The crypto token HNT powers the Helium network, a decentralized blockchain for internet of things (IoT) devices. It enables the communication between the devices sending data across the network nodes.

In Binance’s account, Helium HNT is no longer adhering to its standards and, as such, will no longer exist in its market. Notably, the exchange carried out a periodic review to reach this conclusion.

Binance Finds Helium As Unsuitable For Its Customers

The crypto exchange posted a press release disclosing its plans to cease trading for Helium (HNT). It will remove the HNT/BUSD trading pair from the marketplace and stop accepting deposits for the tokens from March 25. 

Also, the exchange disclosed that it will allow users to withdraw their tokens until April 17, when it will stop. Then on April 21, users can withdraw HNT again until June 24. Regarding its reasons for delisting and ceasing trading support for HNT, Binance stated that crypto is no longer acceptable.

Notably, the exchange shared that it followed specific criteria to review HNT. Some of the critical factors are trading volume, liquidity, and smart contract stability. Also, it checks the developmental activities on the network and how the team commits to the project. 

Other factors include the level of responsiveness to its periodic due diligence requests, the level of public communication, and how the projects contribute to the general crypto ecosystem. Further, it also checks if shreds of evidence point towards negligence, fraudulent, or unethical conduct by the project’s team.

Most importantly, Binance mentioned that it only carries out an in-depth review when a crypto project fails to meet its standards or if there are critical industrial changes that could affect assets. So, after checking these factors, HNT and another asset, Teal (WABI), failed to meet its expectations. 

HNT Price Plummeted Amid Solana Migration Plans 

After the announcement by Binance, HNT lost its price gains over the past few days. As of press time, HNT price is down by 13.10% in 24 hours. It has lost hold on the $2 price level it enjoyed since January, despite some rallies to $3 on specific days in February

HNT price plunges on the chart l HNTUSDT on Tradingview.com

Its market cap has also lost 12.26% in the same time frame. Looking at its current price trend, HNT lost 96.94% from its all-time high of $55.22 on November 12, 2021.

This recent announcement has affected investors’ sentiment on HNT, as seen in the price. But it hasn’t dampened the HNT community looking forward to its migration to Solana as the activities with the coin show massive usage. 

The latest update about its migration appeared yesterday in an official Medium post by the Helium Foundation. It tweeted about it the same day, disclosing that the migration would now occur on April 18.

 Featured image from Binance and chart from Tradingview.com

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