TechFlow News: On March 25, according to Binance’s official blog, Binance released the “Red Flag Guidelines for Market Makers in the Cryptocurrency Market,” warning users and projects about the following risky behaviors: aggressive sell-offs conflicting with token release schedules; one-sided sell orders; coordinated sell-offs across platforms; abnormally high trading volumes inconsistent with price movements; and unusual price volatility caused by insufficient liquidity.
Binance advises projects to conduct rigorous due diligence when selecting market makers, clearly define contractual terms, prohibit profit-sharing models, and continuously monitor market maker activities post-listing. Binance stated it will impose penalties—including blacklisting—on non-compliant market makers and has opened a reporting channel.
