Coinbase CEO’s ‘free listing’ claims face backlash from Justin Sun, Andre Cronje

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As a seasoned researcher and observer of the cryptocurrency scene, I find myself constantly amazed at the intricacies and nuances that unfold within this dynamic industry. The recent exchange between Justin Sun and Brian Armstrong, both prominent figures in the world of crypto, has caught my attention.

Justin Sun, the founder of TRON, recently countered claims by Coinbase CEO Brian Armstrong, who asserted that Coinbase provides free listings for assets. 

Sun revealed that his encounter with Coinbase was marked by financial requests, which contradicts the latest public assertions made by the Coinbase CEO about the company’s operations.

The creator of TRON (TRX) claims that Coinbase demanded a fee of 500 million TRX, approximately $80 million, to list their native token. Yet, he emphasized that Binance did not charge any listing fee for this asset.

Binance charged us $0.

Coinbase required us to pay 500 million TRX (worth $80 million) and demanded a $250 million BTC deposit in Coinbase Custody to boost their performance.

Lots of respect. But this is simply not true.

— H.E. Justin Sun🌞(hiring) (@justinsuntron) November 4, 2024

Moreover, TRON’s creator asserted that Coinbase requested a $250 million Bitcoin (BTC) deposit be made into Coinbase Custody as a means to boost the platform’s liquidity. However, Sun emphasized his admiration for the exchange, but argued that listing on Coinbase was not a free process, suggesting it came with substantial costs.

Andres Cronje, a co-founder of Sonic Labs, supported the statements made by the Sun and additionally pointed out his own encounters with Coinbase’s procedure for listing digital assets.

Binance charged us $0.

Coinbase has asked us for; $300m, $50m, $30m, and more recently $60m.

Lots of respect. But this is simply not true.

— Andre Cronje (@AndreCronjeTech) November 3, 2024

Cronje pointed out that the teams at Coinbase had reached out, seeking a range of sums, from $30 million up to $300 million.

The conversation picked up momentum following Simon Dedic, CEO of Moonrock Capital, bringing attention to this matter. Dedic expressed his discontent with the high cost of listing on Binance, providing an example where Binance reportedly demanded 15% of a project’s entire token stock.

In the past few days, I had a conversation with a significant project that nearly reached the billion-dollar mark. After spending over a year on Binance’s thorough evaluation process, they were presented with a listing offer.

— Simon (@sjdedic) October 31, 2024

For some projects, this demand could equate to an amount between $50 million and $100 million. Dedic described this coast as unaffordable and detrimental to the projects’ financial health. 

He argued that such high fees contribute to market volatility and liquidity issues, especially for emerging projects.

Armstrong presented an alternative strategy for Coinbase, emphasizing that they don’t impose fees for asset listings. Yet, the claims made by Sun and Cronje were intended to challenge or refute this claim.

Simultaneously, Luke Youngblood, a previous engineer at Coinbase, contested the assertions made by Sun and Cronje, highlighting that Coinbase had not levied any fees for listing assets.

Coinbase doesn’t charge for listings. They never have and never will.

— LukeYoungblood.eth 🛡️ (@LukeYoungblood) November 3, 2024

As a crypto investor, I’ve recently become aware of a troubling trend – scammers posing as Coinbase representatives. This is a significant issue that our community is facing, and it’s important we stay vigilant to protect our investments.

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2024-11-04 12:32