Arthur Hayes Gives Crucial Player vs Player Expose in Crypto Context

Arthur Hayes has once again shared his deep thoughts on the player versus player concept.

Key Notes

Arthur Hayes just enlightened the community on Player-Vs-Player concept.This concept hinges on accruing gains at the expense of others.While traders are mostly guilty of this, projects are as well.

Arthur Hayes, a co-founder and former CEO of the BitMEX cryptocurrency exchange, recently discussed the concept of PvP, otherwise known as “player vs. player” in crypto. He identified the terms as one that “Shitcoin” traders use to describe the current market cycle. Under the PvP, a player’s win is at the expense of another player.

New Crypto Projects Struggle to Survive Post-Launch

For perspective, the American investors cited the crypto bull market and its effect on Bitcoin (BTC), Ethereum (ETH), and Solana (SOL). While these top crypto projects record positive results, other tokens that launched this year are barely thriving in retail. According to Hayes, “the same can not be said for Venture Capital (VC) firms.”

Furthermore, Arthur Hayes described most new crypto projects as having many high, Fully Diluted Value (FDV) but with a low circulating supply. As a result, the prices of their tokens dropped almost immediately after their launch.

Beyond traders, token launchers also exhibit the player-versus-player concept. To understand the need for crypto projects to curry traders’ acceptance, Researchers from Maelstrom attempted to answer two questions:

Is it worth paying listing fees to exchanges so your token has a better chance of pumping?

Are projects launching at valuations that are too expensive?

The study involved 103 projects listed in 2024 across the major shitcoin exchanges. Most of these projects usually search for Centralized Exchanges (CEXs) that can list their token to boost prices. Hayes thinks that such listings are optional. He believes creating a useful product or service with increasing numbers of paying customers is the secret sauce to a successful Web3 project.

Arthur Hayes on Binance Listing

He shared a table showing how most tokens fared on exchanges like Binance. Over time, he discovered that most of these tokens did not perform as expected.

Unfortunately, some crypto projects pay these exchanges huge listing fees, which may eventually be for nothing. The BitMex co-founder thinks something other than a listing on the Binance is worth it.

Based on the data from the table, the tokens on Binance haven’t necessarily performed better than those on other exchanges. On an absolute scale, Hayes noted that the tokens still slumped. Therefore, in Hayes’ opinion, a listing on Binance is no guarantee that a token will rise.

“To clarify, a primary listing where Binance is the first-ever exchange where your token is listed is not worth it,” Arthur Hayes explained. “If Binance lists your token as a secondary listing because of your project’s traction and engaged community for free, that is definitely worth it.”

One of the recently listed cryptocurrencies on Binance is the Hamster Kombat native token HMSTR. The token’s airdrop went live on September 26 and was immediately listed on Binance, OKX, Bitget, KuCoin, Bybit, Gate.io, MEXC, and Bitfinex. The popular opinion is that such listings will translate to a boost. In HMSTR’s case, the listings have not stopped its market value from dropping significantly.

At the time of this writing, HMSTR traded at $0.004532 from a listing price of $0.013.

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