Behind the Changes in Binance Strategy: Epic Strategic Restructuring After finishing the previous article this morning, I drove to the brick moving road to reorganize my thoughts and connect various events. I think behind Binance's recent strategic shift is a highly logical game breaking strategy. There are experts behind Binance, it's not just about "matcha making". Let me explain it slowly. I found a coffee shop and started writing words. I typed the entire text on my phone, and if you find it helpful, please feel free to like, comment, and share it. The full text is over 2000 words, worth spending 5 minutes reading. ～～～～～～～ Once upon a time, the standards for listing coins on Binance were extremely high, and every new coin was a 'cognitive wealth feast'. But now, the frequency of coin listing has significantly increased, not only through Alpha channel, Launchpool, BN wallet to make new coins, but even spot stocks have been continuously listed, and the pace has greatly increased. At the same time, the overall market value of the new currency has also significantly decreased. I have been thinking about the motives behind this and can currently see several levels: 1. The impact of Abu Dhabi's 2 billion dollar gambling style investment Binance has received large investments from mature funds in Abu Dhabi, often accompanied by "betting clauses". The most critical performance indicators are nothing more than two: market share and potential earning power. This money is not just a capital supplement, but also a pressure and commitment. In this context, accelerating the pace of coin listing and covering users at different levels is an extremely practical choice. Incremental, incremental! This is what financial vultures care about the most, otherwise how can we further attract Wall Street connoisseurs? So you can see that Ersheng is living on Twitter, you can see the major internal adjustments of Binance, and everyone is returning to the entrepreneurial atmosphere. We can't just lie flat anymore. 2. The rise of new narrative on the chain forces CEX to adjust The outbreak of the previous Meme Season broke the fate of "no chance without CEX", and behind this is likely the strategic layout of Solana Foundation: Raise the ceiling on the chain, weaken dependence on CEX, and gain greater control over the initiative. The result is that the high-end market dominated by Binance has been eroded, while middle and downstream users have been absorbed by on chain projects and small and medium-sized exchanges. Besides, how did the 50 month year-end bonus come for the small and medium-sized enterprises that have no problem standing in line and are eating oily food? Because Binance was unable to access projects from home in the early stages, such as the once popular Virtual, they had to rely on contracts to make a profit. The hastily launched Alpha did not actually reverse the situation, and even became a traffic tool for home (Okx Wallet opens Alpha list) 3. The high-end positioning is in a dead end, and Binance needs to break through In the past, Binance was positioned as a high-end platform, which gradually made it the "last stop" - if a project is only launched on Binance at the end, people feel that "it is already the peak", so individual investors become the buyers. The internal coin listing team has also become constrained, worried about damaging the brand. At that time, I suggested building a "secondary board" like Alpha, which was helpful but still did not solve the problem of high motherboard expectations. This issue became extremely weak after VC firms colluded to raise prices in this cycle, causing a significant deterioration in Binance's reputation. The high valuation of VC coins combined with the premium of spot stocks has reached its peak, and all new coins have plummeted, leaving retail investors on the brink of collapse and having to short to save themselves. Although I haven't seen specific data, I sense a significant decrease in user activity and a serious loss of retail wealth. The current strategy is to proactively lower expectations and reconstruct market order Binance's decision to frequently list a large number of coins is to proactively lower the market's expectations and valuation premium. After the expectations are lowered, truly high-quality projects have the opportunity to stand out in the secondary market, no longer relying on "Binance Guarantee", but allowing projects to strive in the market on their own. The recent crackdown on market makers is actually to some extent a crackdown on project parties. Don't just think about making a big cut at the opening and then lying flat. But the tangible hand effect is ultimately limited, it is a ride down, using the market to regulate the market is the right way. The valuation of the second tier online platform has decreased, and project parties are engaging in fierce competition, supplemented by an active delisting mechanism. As a result, retail investors have greater upward potential, which is much healthier than "high premium online platforms directly breaking through". 5. Fully mobilize upstream and downstream, build a closed-loop ecosystem Binance has now successfully built an ecological loop through Alpha, wallet updates, contract and spot trading. The top-level investment institution (@ yzilabs Lab) has actually had a large number of investment projects that have not been able to obtain Binance's own launch in the past, after all, the pit space is limited. The once glorious and neglected @ BNBCHAINZH needs ZTE, hotspots, and even more support from Binance, which is the biggest reliance to compete with Solana. Wallet @ BinanceWallet needs exclusive resource support even more. This is the future of shipping tickets and the easiest place for Binance to inflate its valuation. It is impossible to give up. But compared to Okx Wallet, which started late and has fewer resources, constantly sending money to update is a bit like during the Didi Wars. Compared to strategic returns, giving you 100 Ido is just a small amount of money. By investing in this way, Cex users, projects, and underlying on chain assets form a complete traffic loop. Retail investors use their own wallets to update and directly buy Alpha hotspots on the chain from the exchange, creating a traffic machine that can continuously generate hotspots. It will become increasingly difficult for small and medium-sized exchanges to survive in this ecosystem. 6. Binance is achieving "matchification" at a very high cost Binance is actually actively bearing the stigma of "matchification": lowering barriers, diluting premiums, and frequently listing coins. But what it brings is a real and decentralized market competition mechanism. Projects are no longer guaranteed to be the pinnacle, but rely on work, community, and street intelligence to compete in the secondary market. For individual investors, this is also a fairer path to wealth creation. ～～～～～～ This is not a single action, but a coherent set of tactics. From breaking the game to sinking, from decentralization to restructuring order, Binance is completing a historic level of self restructuring. The article is all based on my own thoughts, and there may be some biases in some areas. Feel free to comment @ cz-binance @ heyibintance.