Binance has launched a whistleblower bonus of up to $5 million as part of a comprehensive crackdown on fraudulent third-party “listing agents.”
The exchange warns crypto projects that any individual claiming to be able to influence listings on the exchange is operating illegally.
Binance offers $5 million in whistleblower rewards when they crack down on fake listing agents.
The announcement, published Wednesday in a transparency update, comes at a sensitive time for the world's largest cryptocurrency exchange.
Binance faces increased scrutiny of its listing procedures following alleged insider trading related to leaked token information.
In the message, Binance reiterated that all token listing applications must be submitted exclusively through their official channels, including Binance Alpha, futures, and spot markets.
The exchange emphasized that they do not grant permission to external brokers, consultants, or intermediaries to negotiate, facilitate, or guarantee listings.
“Any party claiming to represent Binance or offering listing services for a fee is engaging in fraud,” the company stated.
Blacklist and internal audit findings
The exchange stated that an internal audit has revealed repeated instances where individuals and firms impersonated Binance-affiliated facilitators while demanding fees from project founders.
As a result, the exchange has blacklisted seven individuals and entities, including:
BitABC
Central Research
May/Dannie
Andrew Lee
Suki Yang
Fiona Lee, and
Kenny Z
According to Binance, these parties have been identified for improperly implying relationships with the exchange or for offering to pay for listing services. The company states that legal action will be taken “where appropriate.”
Blockchain data provider RootData shows that one of the blacklisted groups, Central Research, has previously supported several crypto projects, including Fireverse, Nebula Revelation, AKI Network, Fusionist, and Artyfact.
Of these, only Fusionist (ACE) is currently trading on Binance. The exchange has not drawn any connection between the findings on the blacklist and previous listing decisions.
To encourage whistleblowing, Binance states that whistleblowers providing verifiable evidence of fraud can receive bonuses of up to $5 million, depending on the quality and significance of the information.
Binance tightens listing rules following consequences of insider trading.
As part of the update, Binance has posted a detailed overview of how projects go through their listing process, from early exposure on Binance Alpha to futures and finally spot listing.
The exchange emphasized that no fees are required for listing applications, and all communication must come directly from the project's core team.
Projects found to have used intermediaries will be immediately disqualified from current and future assessments, warns Binance. However, teams actively reporting fraudulent agents may receive priority treatment.
The announcement comes after Binance earlier this month confirmed that an employee leaked confidential listing information related to the meme coin “year of the yellow fruit.” The exchange's co-CEO, Yi He, commented on the incident.
“Right now, the community is engaged in activities unrelated to Binance, such as issuing coins based on Binance's official Twitter, my statements, or excerpts from posts. But we cannot stop posting just because someone might try to exploit it,” she stated.
Binance also states that it has distributed $100,000 in bonuses to five whistleblowers who helped expose the irregularities.
Overall, the blacklist, bonus program, and stricter enforcement signal a broader effort from Binance to build trust around the listing process.
This occurs simultaneously as exchanges face increased pressure to demonstrate transparency, internal control procedures, and fair market practices.
