Mithril (MITH) Demands $53 Million Refund from Binance for Unilateral Delisting
Mithril, a blockchain-based social network on the BNB Chain, has demanded a refund of approximately $53 million from Binance, after the exchange unexpectedly decided to delist the MITH token on December 15.
Update - December 16:
By 2 PM on December 16, CZ officially responded to Mithril's request. After reviewing the agreement and evaluating the project’s “appeal,” he affirmed that his team made the right decision and was fully entitled to proceed as they did.
I reviewed this after seeing your post. Here is the contract clause for your (and community) reference. We usually observe confidentiality, until you broke it. The Insurance Deposit is there to encourage builders to continue to build. 1/2 pic.twitter.com/OX34TOmD1g
— CZ 🔶 BNB (@cz_binance) December 16, 2022
CZ argued that MITH’s price is significantly lower than its listing price. The project also has minimal activity on Twitter, with the last post dating back nearly two years, and its website is inaccessible. Therefore, delisting was deemed necessary.
Original Article:
Mithril, a blockchain social network on the BNB Chain, has requested Binance to refund 200,000 BNB (approximately $53 million) following the exchange’s surprise decision to delist the MITH token on December 15.
1/ Today, Binance has announced that it will delist MITH. As part of the MITH listing, Binance required a 200,000 BNB deposit, which was never returned.
— MITH (@mithdotio) December 15, 2022
⁰On behalf of the Mithril community, we ask @cz_binance to return this deposit so that Mithril may continue to operate.
The project claims it submitted 200,000 BNB to Binance for the initial listing in November 2018. At that time, this BNB deposit was worth about $1 million. Mithril stated:
“Due to Binance’s unilateral termination of this partnership, we respectfully request the return of our 200,000 BNB deposit.”
Mithril asserts that it has been a long-time partner of Binance. MITH was initially an ERC-20 token on Ethereum, but in April 2019, the project migrated to Binance Chain. Since then, MITH has been the first token on Binance Chain, and MITH/BNB was the first trading pair on Binance.
According to Mithril, the project has also contributed to Binance Charity and collaborated on various initiatives as part of a long-standing business relationship with the company since 2018. The 2018 listing announcement indicated that Mithril had donated 20,000 BNB to the Blockchain Charity Foundation.
Mithril emphasizes that the refund is critical for continuing its operations. The project appears to have been inactive for nearly two years, with the last tweet on its channel dated January 7, 2021, and its website currently disabled.
As reported by Coin68, MITH is among four tokens being delisted by Binance on December 22, due to failing to meet the exchange's listing standards.
According to CoinGecko, MITH has fallen out of the top 1000 cryptocurrencies by market capitalization. The token has also been on a downward trend since Binance announced it would no longer support it, currently trading around $0.0088.
