What is SEI? Why did Binance, Coinbase, and OKX all list SEI coin simultaneously?

On August 15th, Layer-1 blockchain Sei announced the successful launch of its mainnet, and its native token SEI would be listed on multiple cryptocurrency exchanges. As of the time of writing, exchanges such as Binance, Coinbase, OKX, Huobi, Kraken, Upbit, Bitfinex, among others, have made announcements indicating that they have either listed or are preparing to enable trading of the SEI token.

What is SEI?

SEI is a Layer-1 public chain focusing on the exchange of cryptographic assets like NFTs and social tokens. SEI is its native token, with primary uses including network and transaction fee payments, DAO governance, serving as collateral, and validating nodes, among others.

The circulating supply of SEI is 1.8 billion out of a total of 10 billion tokens, which are allocated to different roles as follows:

SEI distribution, Source: Mitrade.

Why are numerous exchanges rushing to list SEI?

Typically, a project's token requires payment of listing fees to be listed on an exchange. In addition to fees, reputable exchanges have their own listing standards (requirements) to weed out low-quality tokens and maintain their reputation. Therefore, it is challenging for a token to be listed on top-tier exchanges like Binance and Coinbase, especially simultaneously during the early stages. Currently, only a few projects like ARB, OP, MATIC, etc., have achieved this.

Interestingly, SEI has managed to accomplish simultaneous listings on various high-quality exchanges. This is highly conducive to providing positive feedback on SEI's fundamentals. 

Of course, exchanges are not charitable organizations; there are benefits to listing SEI, such as attracting new users and generating substantial trading volume for revenue. Currently, SEI's 24-hour trading volume has reached $250 million, with over half of it taking place on Binance.

SEI trading volume across different exchanges, Source: CoinMarketCap.

Does SEI have airdrops?

According to official announcements, 3% of the SEI token supply has been allocated to the first reward pool for airdrops, testnet rewards, etc. If you have created a Sei wallet on Solana, Ethereum, Arbitrum, Polygon, BNB Chain, or Osmosis chains, you can check if you are eligible for airdrops and proceed to claim them through app.sei.io.

If you missed out on this round of rewards, there's no need to regret it as dwelling on regrets won't change anything. Moreover, new tokens frequently organize promotional activities upon listing. Therefore, it is advisable to stay updated with official announcements and be ready for upcoming opportunities.

Is it a good time to buy SEI now?

On August 15th, SEI debuted at $0.16 per token and has experienced continuous growth, currently trading at $0.23, representing a 43% increase. Unlike many other new tokens that often exhibit volatile price swings upon initial listing, SEI has demonstrated relative stability, which helps avoid investor frustration.

SEI price chart, source: TradingView.

Therefore, short-term investments can be considered based on individual expectations for SEI. However, it is important to avoid getting caught up in excessive trading or blindly believing in a promising future while opting for long-term holdings. Every new token faces risks related to technology and market control.

Additionally, based on past experiences, new tokens tend to experience an initial surge followed by substantial retracements and subsequent consolidation phases. The second wave of upward movements often occurs after a period of low interest, followed by a calm period that aligns with overall market fluctuations. Therefore, one can also consider waiting for the next phase before making investment decisions.