Original | Odaily (@OdailyChina)
Author | He Yi (@vincent 31515173)
Today, the Binance Chinese community officially introduced the new features of the Binance Web3 wallet - Binance Alpha, in a Space event.
In this event, Binance co-founder He Yi and Binance Wallet business leader Winson appeared together to answer users' questions about the new features and conduct an in-depth analysis of the latest industry dynamics. This Space event invited several Web3 Chinese media and well-known KOLs to participate in the discussion and ask He Yi and Winson questions about hot topics such as Binance's token listing policy.
In the event, He Yi shared his views on the current industry situation, responded to recent controversies over Binance's token listings, and elaborated on the future development plan of Binance Alpha.
The following is a transcript of the Space event, organized and edited by Odaily.
Q: Binance has faced many controversies over token listings in the past year. How do you view this phenomenon? What are the reasons for Binance to launch Binance Alpha? Can you describe the background and process of selecting projects for this new feature, and whether it is the same as the process for listing on the spot or futures market?
He Yi: Binance's token listings indeed have higher user expectations, as everyone hopes that every listed token will pump. But the reality is that the market value surges in the short term after listing, and then falls back. This situation has led us to constantly seek optimization solutions, such as using pre-market pricing to suppress the token price, but the effect is limited.
The industry also has some structural problems:
Project token issuance cycles are short, lacking real users and solid business models. Much of the on-chain interaction data is artificially "washed", lacking value support.
The current market enthusiasm is more about distributing "air", and the projects themselves lack labor output and profit models, making it difficult to support long-term development.
The global regulatory environment is complex, and the participation cost and risk for excellent entrepreneurs are very high, leaving the industry in an awkward period.
The purpose of launching the Binance Alpha zone is to provide users with an "observation area" to list popular but not yet mature projects, including hot meme coins, VC-backed projects, and local chain projects. Users can trade these tokens through the wallet, but their inclusion in the Alpha zone does not mean they will ultimately be listed on Binance's spot or futures markets. Because most meme coins will go to zero in this wave, only a few memes will survive, which is a rather cruel reality.
The significance of the Binance Alpha zone is to provide users with a tool to screen for high-probability projects, while reminding everyone to participate in new projects rationally and do sufficient research. Ultimately, we hope to find projects that truly have social value, can generate labor output, and reward holding users. Nevertheless, whether it's the Binance Alpha zone, spot, or futures listings, it is an ongoing process of screening and elimination, and we cannot guarantee that every token will survive in the long run or make users money.
For the market's hot meme coins, we understand their appeal and will include them in the Alpha zone, providing users with opportunities to capture early value. But the ultimate healthy development of the industry still depends on whether excellent projects can truly create social value and realize the sharing of labor output.
Q: Regarding Binance Alpha, are there specific project screening criteria? Will the projects listed in Binance Alpha potentially be listed on Binance's main board in the future? Will Binance Alpha be more inclined towards projects in the BNB ecosystem?
He Yi: The project selection for Binance Alpha is not entirely dependent on whether they will ultimately be listed on Binance's main board. The selection criteria focus on the project's heat and attention, rather than just because a project has entered Binance Alpha, it must necessarily be listed. In other words, while many projects entering Binance Alpha have relatively high exposure and potential, not all of them will ultimately be listed, as it depends on more market and internal evaluation factors.
As one of the hottest public chains in the industry, BNB Chain is indeed a key focus for Binance's support. Due to the strong competitiveness and high attention of the BSC ecosystem in the market, its projects are more likely to be included in Binance Alpha. But this does not mean that Binance Alpha is limited to the BNB Chain ecosystem, as other excellent projects will also be considered.
Q: Industry competitors have invested a large amount of resources in wallet business (with team sizes reaching 500-1000 people). What is the current size of Binance's wallet team? Facing such strong competitive pressure, is Binance adopting a defensive or offensive strategy?
Winson: The Binance wallet team currently has just over 100 people, but the team is still in the process of continuous recruitment, especially for technical positions, and welcomes excellent engineers to join.
Regarding the huge investment and achievements of competitors in the wallet field, the Binance team expressed great respect and actively studied and learned from their strengths. However, Binance will not simply copy the competitors' models, but explore a differentiated development path.
From the market demand perspective, users do not need two completely identical wallet products, so blind imitation is not feasible. Binance believes that the wallet track has enough space to accommodate different differentiated products. Based on years of practice, the team has clearly defined its own development path and is full of confidence.
Binance's wallet strategy is neither purely defensive nor purely offensive, but focused on exploring new paths:
Provide simple, feature-rich, secure and reliable wallet services to meet the on-chain operation needs of most users.
With user experience as the core, make the user's usage process more "smooth" and provide security and data support.
We acknowledge that Binance's own start in on-chain services was relatively late, and the team has spent a lot of time in the past year recruiting excellent talents, rebuilding the wallet team, and reconstructing the system from the bottom up. Although it is still a "rough house" at the moment, the team has clearly planned for the future, aiming to gradually improve the functions on the basis of meeting user needs.
Q: What is the long-term development positioning and plan for Binance's new Web3 wallet? What are the differences in positioning between it and Binance's ecosystem wallet, Trust Wallet?
Winson: The positioning of Binance's new Web3 wallet is "new user friendly", but it is not limited to serving new users. The team believes that if a product can be very simple for new users to use, then experienced users can also easily get started, although they may be a bit unfamiliar. Therefore, Binance's wallet aims to serve the industry's veteran users, while focusing on new entrants, committed to promoting the mass adoption of Web3, especially contributing to the popularization of the mainstream user group.
The team also plans to implement specific improvement measures in stages to solve the key user experience challenges in using the wallet, ultimately eliminating all barriers and allowing users to use Web3 products seamlessly.
Differences from Trust Wallet:
Platform integration:
Binance Wallet is deeply integrated with the Binance main site and is part of the same app, while Trust Wallet is a relatively independent product.
Compliance:
Binance Wallet is designed based on KYC (Know Your Customer) requirements and is compliant, while Trust Wallet is a more independent product without direct deep compliance integration with the Binance main site.
User group:
Binance Wallet serves a relatively broad user group, including Binance's existing users and new Web3 users, while Trust Wallet focuses on providing an independent wallet experience for a wider decentralized user base.
Here is the English translation of the text, with the specified translations applied:
Although at the current stage, there is some competition between the Binance Wallet and Trust Wallet, this is not an "either you live or I die" competition within Binance, but a "differential competition" aimed at providing differentiated services for different user groups and promoting the popularization of Web3. The team stated that such competition will help the development of the entire industry, and the goal of the Binance Wallet is to enable more people to enter the Web3 field smoothly and simplify the user experience.
Q: Are the projects in the Alpha section launched by Binance selected by Binance itself, or through other means such as community voting or open registration? If a project successfully "graduates" and is listed on the Binance main board, what aspects will the main board review cover? How to avoid the problem of brushing volume and fabricating data?
He Yi: The project selection for Binance Alpha includes both active screening and external active registration or community recommendation. Binance's screening not only relies on the industry's heat, but also conducts detailed research and analysis, covering multiple areas such as public chains, infrastructure, DeFi, Non-Fungible Token (NFT), etc. These screening contents combine on-chain data tracking and the daily submission information of the projects. Therefore, projects may enter Alpha through registration and community recommendation, but whether they are ultimately selected still depends on their heat and market performance. Alpha section is actually a relatively broad pool.
For those projects that successfully "graduate" and have the opportunity to go online on the main board, the review standards will cover multiple aspects. The main ones include the quality, compliance, and development potential of the project, to ensure that the project not only has heat, but also has the ability to develop in the long term. To avoid the problem of brushing volume and fabricating data, Binance will strictly review the authenticity of the project's data during the screening process, including the source of the data and transaction behavior, to ensure that it meets the compliance requirements of the platform and maintains the fairness of the market. Binance is also exploring whether to introduce more interesting gameplay in the Alpha section and welcomes the community to provide innovative ideas or opinions.
Brushing volume and fabricating data are difficult to completely avoid in the industry, especially for some projects that use airdrops or brushing tools to increase heat. Binance believes that the key is to continuously make value judgments and industry experience to identify which data is real and which is brushed.
Binance has launched the Alpha section as a screening mechanism, allowing projects to first display and accumulate data, and observe which projects can continuously attract users and create value, and which are just brushing volume. This is the core purpose of Binance launching the Alpha section, aiming to screen out truly promising projects.
Q: How does the Binance Web3 wallet's airdrop platform screen airdrop projects? Can early participation in airdrops generate more returns?
He Yi: Airdrops are a tool provided by Binance to project parties and users, with the main purpose of attracting users for project parties and providing more opportunities for retail investors. Airdrops may be the goal for retail investors, but for project parties, it is more a means of acquiring users. Binance hopes to connect more high-quality projects and users through this platform, avoid brushing volume, and ensure that projects can interact with real users.
In addition, Binance is also thinking about how to allow users to obtain more benefits through on-chain operations, and ensure that these operations are simple and safe. In addition to airdrops, Binance also plans to open the platform and cooperate with the industry to jointly promote the development of Web3, and create more valuable scenarios and projects.
Winson: Binance's airdrop platform is a sub-section of its open platform, aimed at connecting Binance's users with project parties. The core value of the platform lies in helping project parties promote their products to suitable users through accurate user data. Binance does not intend to over-screen projects, but will adopt an open approach, allowing any project party to initiate airdrops on a self-service basis.
In the future, Binance's open platform will be further expanded, allowing more project parties to promote on the platform without limiting the choice of projects. In this way, Binance's goal is to create a diversified platform that provides more opportunities for project parties and users.
Q: Regarding whether the wallet will turn to chain abstraction or intent wallet in the future? If so, will it adopt its own technology or other project's technology?
Winson: Binance Wallet will indeed adopt chain abstraction and intent wallet related technologies, but will not completely shift to these two approaches. The goal is to lower the user's usage threshold and achieve a more convenient user experience through these technologies.
In terms of technology selection, Binance Wallet will not simply copy the existing solutions in the market, but will conduct in-depth technical research, combine its own user needs, and design a suitable solution. Although technology serves the product, Binance emphasizes that technology should be combined with user scenarios, ultimately bringing higher value to users, rather than simply following technological trends.
Q: Will Binance adjust the screening criteria or display list based on user feedback on the displayed tokens? If the displayed tokens encounter widespread negative feedback, how will Binance respond?
He Yi: In the arrangement of project display, Binance will follow its own arrangement logic, such as considering factors like token price fluctuations and listing time. Users can sort according to their own needs, and Binance's focus is to maintain the transparency and flexibility of the platform, allowing users to sort by themselves.
For negative feedback on on-chain operations, Binance will remind users through notifications, especially when high-risk projects occur. Since Binance is a pure on-chain operation, it cannot close deposit or withdrawal functions like a CEX platform, so it mainly relies on the early warning mechanism to remind users. As for the feedback channel, Binance is considering establishing a Telegram group to facilitate users' timely feedback and ensure timely response to project risks.
Q: Binance Wallet is positioned as the largest airdrop platform. What is its core idea? How can Binance Wallet help new users lower the threshold of on-chain interaction, or what are the advantages and considerations of Binance Wallet as an airdrop distribution platform?
Winson: Binance Wallet's strategy is not solely focused on becoming the largest airdrop platform. Although the airdrop platform is an important means for Binance Wallet, it is not the only core strategy. The platform's goal is to build a bridge between users and project parties, capturing user value through the airdrop platform, while helping to achieve a win-win situation for both sides. The positioning of the airdrop platform is to provide users with a convenient airdrop participation experience, rather than just being a distribution platform.
In terms of guiding new users to lower the threshold of on-chain interaction, Binance Wallet has made a lot of optimizations, mainly reflected in the following aspects:
1. Guidance experience: Provide user-friendly tutorials to guide them through each step.
2. Airdrop management: Through the Reward Center function, help users manage airdrop earnings, avoid manual management, and improve user experience.
3. User full life cycle management: From project release to airdrop claiming, and then to earnings management, provide a one-stop solution, allowing users to operate as little as possible, and leaving the rest to the platform.
Through these optimizations, Binance Wallet strives to simplify the user's participation process and enhance the user experience.
From the perspective of project parties, Binance Wallet is not only an airdrop platform, but also a precise marketing platform. Project parties can ensure that airdrop tokens are distributed to the target user group through Binance Wallet, which is also the direction of Binance Wallet's future product iteration.
Q: How does Binance Wallet define its own growth? What experiences and lessons has Binance Wallet learned in its past development process?
He Yi: The growth definition of Binance Wallet is not only an extension of the wallet platform, but more importantly, an important entry point for the entire Web3 ecosystem. The goal of Binance Wallet is to become a convenient channel for users from fiat currency deposit, registration, KYC completion to on-chain operations. Its core idea is to simplify the operation process, provide a smooth cross-platform experience, so that users can smoothly complete on-chain operations or use centralized exchanges (CEX) for financial management.
Binance Wallet positions itself as the entry point of Web3, helping users understand the hot topics in the crypto circle and eliminating the boundaries between blockchain and traditional finance. Whether users choose to interact on-chain or invest on CEX, Binance Wallet hopes to provide the most convenient solution to improve the user experience.
In the growth process of Binance Wallet, the biggest experience and lessons are mainly concentrated in the following aspects:
Insufficient professional talent reserve: In the past, the Binance wallet did not have enough reserves in Web3 technology, mainly leaning towards the Web2 operating model. Although it could operate efficiently, there were still shortcomings in deeply understanding and applying Web3 technology. This is an important point of reflection, and Binance hopes to attract more professional talents to join and promote the further development of the platform.
The detours taken: Binance has faced challenges in both compliance and technology. For example, in the past, it experienced difficulties and setbacks in the use of Compass, the compliance and license application process, especially in the Web3 technology solutions, there were some mistakes. Through these experiences, Binance has become more focused on compliance and has made large-scale investments and adjustments.
The process of transformation to Web3: Binance has gradually transitioned from a traditional Web2 platform to Web3, and this process is not easy. Although the company's operating model has been very successful in the Web2 environment, the thinking and technology requirements of Web3 are different, and Binance has certain technical shortcomings in this regard. These detours have helped the team understand that to truly become an industry leader, they must break through in Web3 technology and thinking.
