Binance launches an unprecedented program exclusively dedicated to altcoins, aiming to attract small and medium-sized market makers often overlooked by traditional setups.
Altcoins, Small Players, and Big Challenges
Called the Altcoin LiquidityBoost Program, this new initiative targets those specializing in alternative pairs to Bitcoin or ETH. The idea is to allow smaller market makers access to competitive incentives without having to spread themselves thin across all markets.
The program promises up to 1 basis point discount (0.01%) on certain pairs, surpassing the typical 0.8 bps offered on other platforms. Two tiers will be in place: 0.5 bps for a maker volume of at least 0.5% and 1 bps beyond 1%. Registrations open on June 9, with reimbursements starting on the 17th.
A Response to a Structural Need
Binance openly criticizes the limitations of current programs, often tailored for large institutions. By requiring overall activity on all assets, especially dominant crypto-fiat or BTC/ETH pairs, these initiatives effectively exclude specialized operators.
Catherine Chen, head of the VIP & Institutional division at Binance, explains:
We are meeting a growing demand from small and medium-sized providers who want to focus on altcoins. This new program allows them to compete on a level playing field, without being constrained by market heavyweights.
18 Pairs from Launch
At its launch, the Altcoin LiquidityBoost Program will support 18 pairs of tokens, including INIT/USDT, ICP/USDT, IOTX/USDT, TON/USDT, BABY/USDT, and SYRUP/USDT. Binance commits to adjusting this selection based on market demand, although the exact criteria for this adjustment are not detailed at this time.
Another requirement to apply is to have trading volume over $20 million in 30 days on Binance Spot, Margin, or other segments. In return, participants must demonstrate strong liquidity provision strategies.
