Binance has caused controversy within the Scroll community since some members are still worried about the issue of centralization while Scroll’s co-founder noted global expansion plans.
Scroll Ethereum layer-2 rollups were recently launched on Binance’s centralized exchange and discussion arose in terms of centralization.
The listing that was launched on Oct. 11 was welcomed for the prospect of enhancing the expansion while many others complained it merely tied the network to centralized systems. Some questioned whether the project was being too centralized for its good Due to these concerns,
Zeng Jiajun from X user criticized Scroll’s listing on Binance as ‘kneeling’ to a CEX and although Scroll said it was a ‘tough decision’ to make, there were question marks over what the consequences might be.
At the time of writing, Cointelegraph neither received the comment from Scroll nor did we get to talk to them directly for an interview.
The strategic decision for global growth
According to Scroll co-founder Ye Zhang, this move to ally with Binance was part of the project’s long-term approach to building up the ecosystem of Scroll, especially at the global frontier.
Zhang stated:
“I do not think that partnering with Binance is “kneeling to a CEX for listing” – it is significantly more than that; it is a strategic choice to build for an affiliation that will provide more support. But, yes, it is a very hard choice anyway.”
Zhang was keen to point out that the integration will help users easily transfer on/ramp and off/ramp funds to the Scroll network through Binance.
Decentralization advocates raise concerns
However, not everyone who exists within the crypto ecosystem saw things the way Zhang did. What prompted some of Scroll’s stakeholders were issues to do with the affiliation with Binance and the impacts on Scroll’s decentralization initiative.
Jiajun, an Ether ETH tickers down $2,475.25 advocate, expressed disappointment, saying:
“Now let’s picture @VitalikButerin having to give 5.5% to @okx when @star_okx decided not to list $ETH.”
Some of the other users of X are correct in stating that Binance should have not been the first exchange that listed Scroll. They claimed thatitrative provoking the Binance platform if it had enough activity and users, and the exchange would have listed it manually.
Finding a balance
In response to the criticism, Zhang defended the partnership:
“If our aim is the create a robust ecosystem which can meaningfully integrate with and compete with Tron in these markets, and get as many different sets of users into the Ethereum ecosystem as possible, CEX support is essential.”
The Scroll co-founder also spoke on issues that revolve around token distribution, stating that the tokens assigned to the launch pool come from the ecosystem and growth category hence the community airdrop will not be affected.