Update: Feb 11, 2019: A lot has happened in the 8 months since we originally published this listing criteria. The way we evaluate tokens has evolved with the space. In an effort to be as transparent as possible we’re updating our criteria.
Ethex Listing Criteria in Three Questions
- Is the token useful right now?
- What’s the regulatory risk?
- What’s the supply and demand picture?
Criteria 1: Is the token useful now?
able to be used for a practical purpose or in several ways.
An ERC20 Token that’s useful on main net. It must be usable in some way beyond the standard ERC20 transactions. This can be an early feature or open beta, but it must be usable for something.
This has always been our fundamental criteria. If the token is still finishing an ICO or pre-sale, in early development, or otherwise pre-functional, we won’t list it.
Criteria 2: What’s the Regulatory Risk?
We list useful tokens with fundamental use case demand. We don’t list securities, derivatives or other “investment contracts”. We carefully evaluate the token marketing, economics, and team structure to make sure a project is a good fit for Ethex. One particular example: the lower a token scores on the Securities Law Framework for Blockchain Tokens the more likely we are to approve it for listing.
Criteria 3: What’s the supply and demand picture?
Even if a token is useful and working, if market demand is low, it’s a sign that people aren’t actually using it at meaningful levels. Another way to put it: if nobody is using it, is it really useful? We are more likely to approve tokens that have over $100K in ETH pair trading per day.
Once a token has been listed, we’ll re-evaluate it twice per year to make sure that circumstances have not changed. We may De-list tokens that no longer meet the criteria.
Steps to Apply
- Fill out the submission form.
- Send a small but usable amount of your token to this address (0x5FB8fBb0e7f22Ea024790b59555a04c21C244010). Send enough that we can use to evaluate it’s usefulness.
- We’ll begin evaluation of the project based on the above criteria.