Safe (SAFE) cryptocurrency jumped from $0.94 to $1.81 following the new listing on Upbit.
SAFE is a blockchain project that offers a non-custodial smart contract wallet. It is compatible with EVM chains such as Base, Optimism, and Arabitrum.
Individuals or entities can create multi-sig wallets, requiring all entities’ approval before processing transactions. The app has over 50,000 downloads on the Play Store, and an iOS app is also available for iPhone users.
The project’s goal is to evolve EVM accounts through its smart contracts. MetaMask, Ledger, and Trezor can be used as signers for the SAFE wallet, which could increase its popularity and usage.
SAFE price spike | source
The price was unable to hold onto its gains. The most likely reason is that SAFE holders realized their profit, around +100% Return on Investment (ROI) for those who held the token before the listing news.
When listed on the biggest exchanges, most tokens experience a short-term spike. Some, however, recover, while others succeed in clinging to their gains.
Why did the listing on Upbit lead to a spike in SAFE?
Listing on major centralized exchanges (CEX) makes the token accessible to millions of traders. A large chunk of the crypto trading volumes are on CEXs rather than decentralized exchanges (DEXs).
It also acts as a trust signal. The top crypto exchanges audit the token’s smart contract, and some also conduct background checks on the project owners. Being listed on a top CEX is a positive signal that the cryptocurrency is legitimate.
Not every listing has such an impact on the cryptocurrency price. Currently, only listings on top-tier exchanges may lead to a price surge of the token.
These exchanges are often Binance and Coinbase (SAFE is already listed on Coinbase).
Is Upbit a major cryptocurrency exchange?
What differentiates Upbit from other exchanges is that the only acceptable fiat currency is Korean Wong (KRW). It is the biggest cryptocurrency exchange in South Korea and does not accept US-based or European traders.
As South Korea has many crypto enthusiasts, penetrating the market via Upbit is a strong, positive signal. Being listed on Upbit is challenging. The blockchain project must comply with 21 different categories.
Upbit listing checklist | source
A listing is not guaranteed even when a project checks all the requirements. Every CEX has its own set of rules for listing new tokens, some stricter than others.
Traders are searching for the next SAFE
Traders after short-term profit are ‘hunting’ tokens that have yet to be listed on the top exchanges. Unlike Ethereum, which is already listed across the board, other tokens may have a stronger potential for benefiting from new listings.
These tokens may have just launched their roadmap or made significant progress with notable volumes and active addresses.
Listings are not confined to decentralized finance (DeFi) or new protocols. Even meme coins such as BONK and PEPE can catch the attention of CEXs. It all boils down to the token’s popularity and ability to captivate traders from across the globe.
