Arthur Hayes says high-FDV tokens no longer pump on Binance

Arthur Hayes has a message for the token launch playbook the industry has run for years: it’s broken. The Flop Labs CEO said high-FDV, low-float tokens no longer pump on Binance. He also argued that crypto has abused tokenomics through venture capital presales that leave retail investors holding the bag. What Hayes is actually complaining about Some quick vocabulary first. FDV, or fully diluted valuation, is what a token would be worth if every token that will ever exist were already circulating. Float is the slice that’s actually tradable today. A high-FDV, low-float launch means a big headline valuation sitting on a small pile of tokens people can actually buy. In token terms, those new tables are unlocks. Early backers, often VCs who bought in at presale prices, gradually receive tokens they can sell into the market. According to the research findings on his remarks, Hayes argued this structure incentivizes those early investors to take profits. The people on the other side of those trades are retail buyers in the secondary market. The model has dominated the industry for more than a decade, going back to the ICO boom, per the same findings. Hayes’ point is that the market has s...