The platform has the right to withdraw funds for listing in case the price of an asset falls below a certain level or due to risks for users

Binance CEO refuses to return the Mithril deposit and reveals the conditions of delisting from the exchange

16.12.2022 - 11:05

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3 min

What’s new? Changpeng Zhao, CEO of crypto exchange Binance, in response to the Mithril platform’s demand for a 200 000 BNB deposit refund after delisting the MITH token, has revealed some of the caveats that lead to its withdrawal. According to Zhao, this is possible if the price of the asset has fallen more than 50% from $0,13 and held at that level for 15 consecutive days. In addition, Binance has the right to withdraw part or all of the insurance deposit in the event of any other token or project-related event (including suspected ones) that could have a negative impact on the exchange or its users.

Source: Twitter.com

What else did Zhao write? The businessman stated that the purpose of the insurance deposit is to incentivize the team to continue working on the project listed on the exchange. He noted that the price of the native token MITH has fallen well below the minimum mark. Thus, as of December 16, 10:50 UTC, the asset is trading at $0,00863608, up 8% in 24 hours, according to CoinGecko.

In addition, the Mithril website is down and the Twitter community has not been updated for almost 2 years, so Zhao believes that the Binance team made the right decision and acted within their rights.

The Mithril team emphasized in their appeal that Binance ended their cooperation unilaterally. The developers pointed out that in 2018, the project was the first to be listed on the BNB Beacon Chain (BEP2), as well as contributed to Binance Charity and supported other initiatives of the exchange. On behalf of the entire community, the team asked for the deposit to be returned in order for the project to continue operating normally. At the time of writing the news, 200 000 BNB equals approximately $49,88 million.

Mithril is a decentralized Ethereum blockchain-based social network platform that rewards users for creating content. Binance also announced the delisting of a number of crypto assets from the platform, including MITH, TRIBE, REP, and BTCST, on its blog on December 15. Deposits of these tokens are available until December 23, 2022, and withdrawals are available until March 23, 2023.

In October, Binance announced the delisting of four tokens: DNT, NBS, BTG, and TCT. Representatives of the exchange noted that the company periodically reviews each digital asset to ensure that it meets a high level of standards. If any of the assets fail to meet them, the exchange removes them from the list.

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