CEX Token Listings Outshine Nasdaq and Dow IPOs with 80% Average Returns

Cryptocurrency listings on centralized exchanges (CEXs) have emerged as a powerhouse in the investment landscape, posting an average return of over 80% in the last 180 days, according to an exclusive April 3 report from CoinMarketCap shared with Cointelegraph. This figure starkly outpaces the performance of initial public offerings (IPOs) on traditional stock exchanges like the Nasdaq and Dow Jones, as well as leading cryptocurrencies Bitcoin (BTC, $82,873) and Ether (ETH, $1,797). The data highlights the resilience of CEX listings, even amid community backlash over potential manipulation and controversial listing processes.

Stellar Performance Amid Controversy

The 80% average return reflects the performance of tokens listed across seven major CEXs—Binance, Bybit, Coinbase, OKX, Bitget, Gate, and KuCoin—over the past six months. Notably, 68% of these listings achieved a positive return on investment (ROI), eclipsing the NYSE’s 54% and Nasdaq’s 51% success rates for IPOs during the same period. This robust performance underscores the appeal of CEX listings, which often attract significant investor demand and liquidity, driving price surges post-launch.

However, the success comes against a backdrop of scrutiny. Token listing practices on CEXs have faced criticism, particularly after Binance co-founder Changpeng “CZ” Zhao labeled the process “flawed” following underwhelming results from some listings. Further controversy erupted in November 2024 when Tron founder Justin Sun alleged that Coinbase demanded $330 million in fees to list Tron (TRX, $0.2321)—a claim that clashed with Coinbase’s stated no-fee policy for new listings.

CEX listings, top indexes, average ROI. Source: CoinMarketCap

Market Dynamics and Investor Expectations

Despite these disputes, CEX listings continue to thrive, fueled by their ability to inject fresh liquidity into nascent projects. A Binance spokesperson told Cointelegraph that while investor enthusiasm for new listings is often rooted in their historical success, performance ultimately hinges on broader market conditions. “Outcomes can vary depending on wider market appetite,” the spokesperson noted. “As the industry matures, we’re seeing reduced volatility compared to earlier cycles—a shift that reflects greater stability and long-term sustainability in the crypto market.”

Binance, the world’s largest crypto exchange, has been a key player in this trend, listing 77 cryptocurrencies in 2023 and 2024 with a 0% delisting rate. On March 9, the exchange introduced a community voting mechanism to decentralize its listing process, signaling a response to calls for greater transparency.

Source: CoinMarketCap

A New Benchmark for Returns

The CoinMarketCap report positions CEX listings as a formidable rival to traditional financial markets. While Nasdaq and Dow Jones IPOs have long been benchmarks for investment success, their average returns have lagged behind the crypto sector’s dynamic offerings. Even Bitcoin and Ether, the crypto market’s heavyweights, have been outshone by the explosive growth of newly listed tokens on CEXs.

As the crypto industry evolves, the outperformance of CEX listings highlights both their potential and the challenges ahead. Investors may continue to chase high returns, but the interplay of market maturity, regulatory oversight, and listing integrity will shape the future of this high-stakes arena. For now, CEXs remain a beacon of opportunity, redefining expectations in a rapidly changing financial world.