Scroll Justifies Binance Ties Amid SCR Airdrop Backlash

Scrollโ€™s leadership defends the projectโ€™s partnership with Binance for SCR airdrop.

Robot handing over a golden scroll to a huge hand reaching down from the sky.
Created by Gabor Kovacs from DailyCoin
  • Scroll has addressed criticism surrounding its partnership with Binance.
  • The project collaborated with the exchange to distribute 55 million SCR tokens.
  • Some users found this arrangement โ€œunfairโ€, prompting Scrollโ€™s response.

Scroll co-founder Ye Zhang has defended the projectโ€™s partnership with Binance despite criticism from community members.

Scroll recently partnered with Binance to distribute 55,000,000 SCR (5.5% of the tokenโ€™s maximum supply) to users via the exchangeโ€™s Launchpool program between October 9 and October 10.

Sponsored

Community members expressed discontentment with this arrangement, citing unfair token distribution favoring large Binance investors over the projectโ€™s loyal supporters. One user on X, zjj.eth, compared the partnership to โ€œkneeling to CEX,โ€ noting that it was โ€œreally disappointing.โ€

Scrollโ€™s Response

In response to the criticism, Ye Zhang said in an October 12 X (Twitter) post that Scrollโ€™s tie-up with Binance was a โ€œtoughโ€ but strategic decision to build a partnership for growth and broader support in the crypto industry.

Zhang noted that Binanceโ€™s on-ramp and off-ramp support for stablecoins was big, positioning Scroll to build a competitive ecosystem that could rival Justin Sunโ€™s Tron and onboard different categories of users to the Ethereum blockchain.

โ€œWe take the aggressive path to open this for long-term growth. If we didnโ€™t have the ecosystem and builder demand, I would be 1000% against doing this for just a listing. There's additional support that I canโ€™t disclose yet, but this move is much more than just a listing,โ€ Zhang wrote.

Commenting on SCR airdrop via Binance Launchpool, Zhang said the programโ€™s allocation came from Scrollโ€™s ecosystem and growth category, which doesnโ€™t affect how much the projectโ€™s community will get.

Zhang asserted that Binanceโ€™s SCR airdrop intended to acquire new users.

โ€œItโ€™s similar to an airdrop for new user acquisition, though some Binance whales will earn more during this process - but thatโ€™s a trade-off we accept,โ€ Zhang added.

Per the co-founder, over one million users participated in the program, and pre-market purchases were capped at 2,500 SCR per user to โ€œensure fairness.โ€

Stay updated on why Binanceโ€™s tax evasion case in Nigeria was delayed:
Binanceโ€™s Tax Evasion Case in Nigeria Delayed Again: Hereโ€™s Why

Read about Changpeng Zhaoโ€™s first statement after prison release:
Changpeng Zhao Breaks Silence After Being Released from Prison

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Brian Danga

Brian Danga is a crypto reporter at DailyCoin covering breaking news. Brian has minor holdings in Bitcoin and Ethereum.

Read more