A recent report commissioned by Bloomberg has highlighted a significant surge in the listing of crypto tokens during the first half of 2024, marking an increase of 11.6 per cent to 2,066 listings on major exchanges.
The analysis, conducted by CCData for Bloomberg, focused on higher-volume exchanges like Binance and Bybit, where the bulk of the listings were recorded. Conversely, lower-volume exchanges including CoinJar and BTC Markets saw a notable 32 per cent rise to 488 token listings.
The report emphasised that these figures exclude the plethora of memecoins trading on decentralised platforms like Uniswap, where users retain control over their assets. It noted that over one million memecoins have already been issued this year.
The surge in token listings on centralised exchanges has been attributed to a robust rally in crypto prices this year, led by Bitcoin’s more than 50 per cent increase. Additionally, optimism around regulatory developments has grown following the approval of Bitcoin and Ether ETFs in the US, coupled with speculation about a potentially crypto-friendly stance from Donald Trump, if elected president in November.
Cosmo Jiang, a portfolio manager at digital-asset firm Pantera Capital, expressed optimism about the evolving regulatory landscape, stating, “With regulatory clarity improving, tokens backed by strong fundamentals will likely thrive, while memecoins and others lacking real value may face challenges.”
Bloomberg also noted a resurgence in token launches by startups, ranging from memecoins to gaming tokens, aimed at funding operations and expanding community support. This marks a significant shift from 2022, when the crypto market suffered setbacks due to scandals and bankruptcies like the collapse of the FTX exchange.
According to Kaiko, a research firm cited in the report, while the increase in new listings on centralized exchanges is notable, it remains below the levels seen in 2021. Listings had declined by over 50 per cent in 2022 and further by 20 per cent in the subsequent year.
Among major exchanges, Bybit emerged as the most prolific lister, with an 83 per cent increase in listings since the beginning of 2023, as reported by CCData. In contrast, Coinbase has been more conservative, with an 8.2 per cent uptick in listings over the same period.
Another report released by Coingecko highlighted memecoins as the primary market movers in the second quarter of the year, amid a broader decline in the total market capitalization of cryptocurrencies by 14 per cent. The S&P 500 outperformed the crypto market during this period, underscoring the volatility and dynamics within the sector.
While the crypto market continues to witness robust activity in token listings and trading volumes, the landscape remains influenced by regulatory developments and market trends, shaping investor sentiment and market outcomes.
