Following the large purchases made by an anonymous whale over the past 30 days, Binance has listed the local asset MAGIC, which has the same name as the Magic project, in the Innovation District. This situation caused users to ask a lot of questions, including that insider trading was carried out. It is not possible to tell market experts that insider trading was carried out by looking at the purchases made by the whale.
Whale Poured Money into MAGIC
On-chain analyst Nansen Intern reported that the price of MAGIC has doubled over the past month, mainly thanks to a whale that bought about $800 thousand worth of tokens in the last 30 days, mainly in the last 7 days. Following Binance’s listing of MAGIC, the data provided by Nansen International caused speculation that insider trading was taking place in the altcoin.
With an ENS address of 190416.eth’s regular six-digit purchases in MAGIC seem to be a normal trend for the token. Most importantly, the ENS address in question is not the only buyer on the market. Based on this situation, market experts say that the purchases are most likely not insider trading, and Binance’s listing of altcoin in the Innovation Zone makes it a consequence rather than a cause.
What is MAGIC?
MAGIC is a token for the Treasure gaming infrastructure project at Arbitrum, which includes core products such as Bridge world, The Beacon, and Trove. In this ecosystem, Magic acts as a governance and utility token.
After Binance listed MAGIC in the Innovation Zone, it started trading for tokens in a specific trading zone containing innovative tokens today at 11.00 TSI. Binance’s Innovation Zone separates tokens such as MAGIC from regularly traded assets, warning users of high volatility and risk.
Tokens listed in the Innovation Zone have a smaller market capitalization compared to top-tier assets such as Cardano, Ethereum and others. As expected, the cryptocurrency exchange expects users to know that they are risky and accept possible risks before allowing them to trade innovative assets.
Three new spot trading pairs have been added to Binance along with the MAGIC listing. MAGIC deposits are already open and users can start transferring their funds to Binance to trade in the listed spot trading pairs. Withdrawals for MAGIC will start on December 13 at 11.00 TSI.
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