- Binance has listed two new tokens ACT and PNUT; Act I: The AI Prophecy (ACT) and Peanut the Squirrel (PNUT).
- Trading for these tokens has begun today, available against USDT. Both tokens carry a Seed Tag, they are high risk and volatile.
Binance Lists ACT and PNUT
As Binance listing these two tokens, which are based on the Solana blockchain, a network known for fast transactions and low fees. Second, they come with a “Seed Tag,” which means these tokens are early stage projects with high risk. The Seed Tag is a warning for traders, indicating that these tokens may lack a developed product or user base, which can lead to high price swings.
Binance lists ACT and PNUT with two stablecoins, USDT and USDC. These stablecoins are meant to stay close to the value of the US dollar, which helps keep trading more stable. However, trading tokens like ACT or PNUT, which can change in price a lot, can still be risky, even with a stablecoin.
Seed Tag
The Seed Tag is important when Binance lists a new token. It highlights that the token is still in its early stages and could be unstable. Tokens with this tag are often subject to high volatility, which means their prices can change quickly. Binance warns users about the risks involved, and to trade these tokens, users need to pass a quiz every 90 days. This quiz helps ensure that traders understand the risks before they start trading these high risk tokens.
Price increase
Soon after Binance listed ACT and PNUT, both tokens saw notable price increases. PNUT, for example, rose by over 250% in just one day,
while ACT saw an even bigger jump of over 1,000%. While this might look impressive, These price increases are usually based on social media and the hype created.
Restrictions on ACT and PNUT
Binance has made it clear that not all users will be able to trade ACT and PNUT. Due to regulatory issues, users in certain countries, including the United States, Canada, and Iran, will be restricted from trading these tokens. This is a part of Binance’s effort to comply with various global regulations and ensure that its platform operates legally in different regions.
Once the tokens are listed, Binance will also support trading bots and spot copy trading features for ACT and PNUT.
Conclusion
As Binance has listed ACT and PNUT to offer more token options. However, these tokens come with a lot of risk, as shown by the Seed Tag it’s important to understand the risks and be ready for price changes.
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