Blockstack Paid $250,000 to List STX Token on Binance

October 28, 2019, by Marko Vidrih on ALTCOIN MAGAZINE

Last week, the Binance exchange announced the listing of Stacks (STX), Blockstack’s native utility token. According to the announcement, the STX listing fee was 0 BNB. Nevertheless, the reporting issued by Blockstack to the US Securities and Exchange Commission (SEC) indicates that the project still failed to avoid costs.

According to The Block, before listing, Blockstack transferred 833 333 STX to Binance, which corresponds to approximately $250,000 at the rate of the campaign conducted with the permission of the SEC in accordance with the “A +” (general offering price of $0.30 each). Blockstack also agreed to annually pay Binance 833,333 STX “for current and future listings.”

Binance, for its part, stated that the information on the payment received was not disclosed in its announcement since it only lists fees related to the costs of technical integration of the token as “listing fees”. According to a company’s representative is a “long-term payment”, which was taken by the exchange from any project for the first time.

Last October, Binance reported that will make “all listing fees transparent and donate 100% of them to charity.” The decision was made amid several scandals when startup organizers announced the exorbitant appetites of the popular exchange.

“Project teams will still propose the number they would like to provide for a “listing fee,” or now more appropriately called a “donation.” Binance will not dictate a number, nor is there a minimum required listing fee,” the exchange explained then.

The representative of Binance also confirmed that the Blockstack payment will not be transferred to charity, as it does not apply to “listing fees”.

Author: Marko Vidrih