When an exchange delists a token, the platform permanently stops supporting any trading activity for that cryptocurrency. Users will no longer be able to buy, sell, or trade it. This usually happens due to low trading volume, technical or security issues, regulatory concerns, or if the project behind the token becomes inactive or lacks transparency.
For those managing funds through Zignaly’s brokerage account, it is essential to understand what delisting means and how to respond. Occasionally, exchanges will announce a delisting in advance, sometimes offering a short window for withdrawal. If action isn’t taken in time, the asset may become unrecoverable. That’s why it’s the responsibility of wealth managers to stay informed about the status of the tokens they manage to avoid losses or complications.
What happens when a token is delisted?
When a token is delisted, the exchange typically announces it in advance, specifying how the process will be handled. Here are the most common scenarios:
Automatic conversion to USDT, USDC, or another asset
The exchange may automatically convert the delisted token into a stablecoin (like USDT or USDC) or another supported asset (like BNB).
No action is needed from you—the funds will be converted and remain in your account.
Delisting with no conversion (withdrawal only)
The exchange may stop trading the token but allow withdrawals to an external wallet for a limited time.
If you hold the token in your Zignaly-linked service, you must sell it before the delisting date to avoid losses.
Merging of coins
In some cases, the exchange may merge two or more tokens into a single new asset (e.g., when a project undergoes a token migration).
The exchange will provide instructions on how this affects your holdings.
Token assigned zero value
In some cases, once delisted, the token might be assigned a zero value in USDT.
The asset may become untradeable and unrecoverable.
Rebranding
Occasionally, tokens are not removed but instead rebranded under a different symbol or name.
In this case, the value remains intact, and only the label changes.
Your responsibility as a wealth manager
As a wealth manager on Zignaly, monitoring announcements from the exchanges you trade on is a critical part of risk management. Both Binance and Bybit provide advanced notice before delisting tokens, typically giving wealth managers several days to weeks to make informed decisions about their positions.
Important note on Zignaly's policy:
Following the transition to Profit Sharing 2.0, Zignaly adopted a strict non-intervention policy regarding trading strategies. This was implemented at the request of wealth managers who wanted their strategies protected:
Zignaly does not monitor which coins wealth managers use in their strategies.
It is 100% the wealth manager's responsibility to stay updated with exchange announcements.
Zignaly will not send notifications about potential delistings of specific coins.
Why Zignaly Cannot Monitor All Assets
The scale of monitoring would be impractical and resource-intensive:
Zignaly supports hundreds of wealth managers (both public and private)
Each wealth manager can operate up to 9 services
Each service can trade any coin available on Binance or Bybit
Monitoring every coin across all traders would require extensive technical, financial, and human resources
Wealth managers are expected to:
Know what they are trading with
Stay informed about developments related to their assets
Act promptly when exchanges make announcements
Why can’t Zignaly transfer delisted coins
Brokerage Account Limitations
Zignaly operates through broker accounts, not direct exchange accounts. This means we follow the same rules and limitations as the exchange itself.
If a token is no longer available for withdrawal or trading on Binance or Bybit, Zignaly cannot access it either. The platform cannot override exchange-level restrictions, and there is no alternative way to retrieve these assets once they become unavailable.
That’s why it’s essential for wealth managers to stay informed directly from the exchange where their assets are traded. Once an exchange delists a token and removes withdrawal options, the asset becomes inaccessible, regardless of whether you're trading directly or through Zignaly.
Best practices to avoid losses
Monitor exchange announcements regularly
Check announcement pages at least weekly
Consider setting up notifications for official exchange channels
Act promptly when delisting is announced
Sell positions during the notice period (typically 7-30 days)
Make decisions based on the specific instructions in the delisting announcement
Set up alerts for your holdings
Use portfolio tracking tools that notify you of important announcements
Join official communities of tokens in which you hold substantial positions
Conclusion
Zignaly empowers wealth managers with autonomy but expects professionalism in return. By staying proactive and informed, you can mitigate risks associated with delistings and protect your investments.
Remember: the wealth manager is entirely responsible. Zignaly does not monitor, notify, or intervene in delisting scenarios.