Bybit announced the delisting of several tokens, including Tap (TAP), VaporFund (VPR), Cosplay Token (COT), Souni (SON), Tenet Protocol (TENET), Havah (HVH), Brawl AI Layer (BRAWL), along with others like KCAL, MOJO, SALD, and THN. This decision aligns with Bybit’s periodic review to maintain a robust trading ecosystem, citing factors such as project performance and compliance with listing criteria.
Trading for these tokens has been halted, and users were advised to withdraw their holdings by October 7, 2025, at 10:00 AM UTC, after which any remaining balances will be converted to USDT at the market price. Deposits for these tokens were disabled as of July 8, 2025, at 10:00 AM UTC. For further details, Bybit’s official announcement provides the full schedule and process.
Delisting from a high-volume exchange like Bybit significantly reduces liquidity for these tokens, making it harder for holders to buy or sell them efficiently. This can lead to increased price volatility and wider bid-ask spreads on remaining platforms, if any. Bybit’s global user base of over 60 million means these tokens lose exposure to a large pool of traders, potentially stifling growth and adoption.
For tokens like Tap (TAPS), which gained traction through viral Telegram-based games with over 60 million users, this could hinder momentum post-launch. Delistings often trigger sharp price declines due to reduced market confidence and selling pressure from investors seeking to exit positions before trading halts. For instance, VaporFund (VPR) was trading at $0.00060238 as of May 2025, but delisting could exacerbate downward trends, especially for low-cap tokens.
Delisting signals potential issues with a project’s performance, compliance, or viability, as Bybit’s reviews focus on these factors. This can erode trust in projects like Havah (HVH), which aimed to enhance NFT interoperability, or Tenet Protocol (TENET), which had partnerships with Conflux and Qtum. Bybit’s policy converts remaining token balances to USDT at market price by October 7, 2025, potentially locking in losses for investors who fail to withdraw in time.
Retail investors, in particular, may face challenges navigating this process due to limited awareness or technical expertise. Investors must seek alternative exchanges or decentralized platforms to trade these tokens, which may involve higher fees, lower liquidity, or increased risk. For tokens like Tap (TAPS), rumored to be listed on platforms like Binance, investors may need to monitor other exchanges for continued trading opportunities.
Delisting can disrupt project funding, as reduced liquidity and market exposure often lead to lower token valuations, impacting the ability to raise capital. Projects like Souni (SON) or Cosplay Token (COT), which may rely on niche communities, could face significant setbacks. Teams must address community concerns to maintain support. For example, TapSwap’s anonymity and technical glitches have already drawn criticism, and delisting could amplify skepticism about its legitimacy.
Delistings align with stricter regulatory standards, as seen with tightened crypto listing guidance in some jurisdictions. This could push projects to improve compliance or risk further delistings elsewhere. Bybit’s focus on a “healthy digital asset environment” suggests a trend toward prioritizing high-quality projects, potentially marginalizing smaller or less-established tokens. This could concentrate market activity around major cryptocurrencies like BTC (61.13% dominance) and ETH (8.63%).
Retail Investors often lack the resources or knowledge to quickly adapt to delistings, facing losses or logistical challenges in moving assets to other platforms. The short withdrawal window (by October 7, 2025) may disproportionately affect retail holders who are less active or informed. Institutional Investors typically have better access to alternative markets, diversified portfolios, and professional advice, mitigating the impact of delistings. They may also benefit from shorting opportunities as prices drop post-announcement.
Larger projects with listings on multiple exchanges (e.g., Bitcoin, Ethereum) are less affected by a single exchange’s delisting. They benefit from Bybit’s focus on robust infrastructure and major protocols. Smaller tokens like Brawl AI Layer (BRAWL) or Souni (SON) face existential risks, as delisting from a major exchange like Bybit can cripple their visibility and viability, widening the gap between established and nascent projects.
Users in regions with strong regulatory frameworks (e.g., New York, where crypto listing guidance is tightening) may see delistings as a sign of market maturation, favoring compliance and stability. In regions with less regulatory oversight, where projects like TapSwap have gained traction through viral adoption, delistings could discourage participation and limit access to Web3 opportunities, deepening global disparities in crypto adoption.
Bybit’s delisting reflects the control CEXs wield over token ecosystems, potentially pushing users toward decentralized exchanges (DEXs) like Uniswap or Osmosis, which offer greater resilience to delistings. Projects may pivot to DEXs or alternative blockchains, but this requires technical sophistication and community support, which not all projects (e.g., Cosplay Token or VaporFund) may possess, creating a divide between those that can adapt and those that cannot.
Bybit’s delisting of TAP, VPR, COT, SON, TENET, HVH, BRAWL, and others reflects a broader trend of exchanges prioritizing quality and compliance, with significant implications for liquidity, pricing, and project sustainability. The divide highlights disparities between retail and institutional investors, established and emerging projects, developed and developing markets, and centralized and decentralized ecosystems.
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