Listing on crypto exchanges is a process of adding new tokens to a trading platform, often accompanied by the growth of an asset’s price, sometimes even in minutes. Listing on top-tier exchanges is an indicator of a project’s quality. This is why it takes a lot of time and effort to receive a positive answer on a listing application. To list your cryptocurrency on exchange, you need to provide a bunch of documents related to the project’s whitepaper, roadmap, compliance with regulations, token status, legal entity review, etc. The larger the exchange, the greater the chance that the token’s price will soar right after the news about its listing.
Is It Possible to Profit During Listing Token on Exchange?
Yes, it is! It works by the following scheme:
- Announcements of the token listing are usually rolled out in the morning. As soon as the token is listed on a crypto exchange, it makes a post on Twitter or other exchange’s social networks.
- Once the official information about the listing is posted, you may find a platform where you can buy tokens. It’s quite possible you will find it on a decentralized platform, as many projects first list on DEXs. Track the price, don’t rush to buy if it has already surged high.
- Once bought, move the tokens to an exchange that announced listing, wait for trading to begin, and sell tokens on the first candle (first price surge) or the next candle if you bought later.
The scheme may look like an easy way to gain a profit, but only at first glance. Inexperienced traders or those guided by emotions, may be too late to sell tokens, resulting in funds loss. A smart trader tends to sell earlier and take a 10-30% profit rather than give in to greed and lose everything.
Disclaimer: any information posted about a token listing before an official announcement is considered insider information and is illegal to be used for personal gain or sharing.
Wrapping Up
To list token on exchange, you need to go through a lengthy process of assessing your project and checking its compliance with an exchange’s requirements. However, once a token is listed, it begins to be traded, which boosts its price in the first minutes after listing. This allows traders to catch the moment and make a profit. To keep track of announcements rolled by exchange listing crypto, traders monitor news and official social networks. Timing is crucial. Once late and buying tokens at the peak level, traders risk ending up in the red and losing funds.
