After Listing, Instantly Buying ACT to Make Millions in Profit: How Was This Accomplished Through "News Trading"?

Original Article Title: "Buy on Listing 2 Seconds Later, Earn Millions in 10 Minutes with 'News Trading'?"

Original Article Author: Alex Liu, Foresight News

The theme of the second half of November 11 was "skyrocketing prices," and the hottest event in the first half of the day was undoubtedly the listing of two low-cap tokens, ACT and PNUT, on Binance.

Before the news broke, the market cap of the ACT token was only around $20 million. After the listing announcement, its market cap increased by 10x in just 8 minutes. Who was able to receive the news first and buy the token to take advantage of this price surge?

According to Lookonchain monitoring, a savvy trader earned over $3 million within an hour by monitoring Binance's newly listed tokens.

Within seconds of Binance announcing the listing of ACT, the trader spent 1,558 SOL (around $320,000) to purchase 10.9 million ACT tokens, now valued at $3.4 million. In just 10 minutes, he made a profit of over 20 million RMB! (as of the Lookonchain post)

However, some users raised concerns, suggesting this was insider trading or because the trader bought the token 7 seconds before the Chinese listing announcement.

The accusations of insider trading sparked a huge debate until the "Formula News" team stepped forward to claim the trade, explaining the faster-than-announcement time: the English Binance announcement was ahead of the Chinese one, and they monitored the English announcement, executing the trade 2.4 seconds after the announcement.

While the substantial profit was enviable, this unique trading strategy of "news trading" once again caught people's attention. By writing scripts, renting servers, creating automated trading programs, and then monitoring deterministic positive events like listings on Binance or Upbit, one can often reap significant profits by being one step ahead. Experiencing a 10x surge in a low-cap coin is truly a stroke of luck.

Opportunity always favors the prepared. Vida, the founder of Formula News (who is better known by his online alias "Post-00s Rich Kid"), is a renowned news trader who reportedly achieved success in the previous round through news trading. With technical expertise, his ability to execute trades quickly is no coincidence:

1. Research Binance Listing Strategy:

Amid widespread questioning of Binance's listing strategy, he summarized the following points:

· Coins with high trading volume and community popularity on OKX or Bybit, regardless of being VC-backed or a meme coin, are most likely to be listed first in the form of a futures contract. This is because Binance does not want the liquidity of Binance users to create a wealth effect for other exchanges.

· Meme coins with low trading volume on OKX and Bybit are more likely to be listed in the form of a futures contract or spot listing to capture money-making traffic and enhance the community's reputation.

After making a big profit from this "news trading," he did not forget to give a thumbs up to Binance's listing strategy under a tweet where Binance's co-founder, He Yi, responded that the listing fee for ACT and PNUT is zero.

2. Conduct Early Testing for Potential Scenarios

Traditional news trading has become very "insider," involving operations such as using dedicated phone lines and situating offices close to stock exchanges for "close to the source" information, all for the sake of split-second timing. Similarly, in Web3, although "news trading" is also highly profitable, it has a high barrier to entry for ordinary individuals—it requires knowledge of programming, writing monitoring scripts and automated trading programs, with a small mistake potentially leading to financial loss. Additionally, it necessitates renting expensive servers to ensure receiving news and executing trades in real time...

Hopefully, the "news trading" approach can inspire you, and may we all make money in this bull market.

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