Scroll, an Ethereum layer-2 project, was recently listed on the centralized cryptocurrency exchange Binance, sparking debate in the crypto community about centralization.

The listing, announced on Oct. 11, was praised for its potential to boost growth but criticized for its perceived alignment with centralized entities. Concerns were raised about whether the project was compromising on its decentralization principles.

X user Zeng Jiajun framed Scroll’s decision to list on Binance as “kneeling” to a centralized exchange (CEX), calling it a “tough decision to make” but casting doubt on the long-term implications.

Cointelegraph reached out to Scroll for comment but had not received a response by the time of publication.

Source: zjj.eth

Related: Ethereum layer 2 Scroll tips native token launch

Strategic decision for global growth

Scroll co-founder Ye Zhang explained that the decision to partner with Binance was part of a broader strategy to expand the project’s ecosystem, particularly in emerging markets.

Zhang stated:

“I don’t think partnering with Binance is “kneeling to a CEX for listing” - it’s way more than that, it’s a strategic decision to build a partnership for growth and broader support. However, it is indeed a tough decision.”

Zhang highlighted that Binance would make it easier for users to move funds in and out of the Scroll network through on-ramp and off-ramp services on Binance.

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Decentralization advocates raise concerns

Not everyone in the crypto community agreed with Zhang’s perspective. Some raised concerns about the partnership with Binance and its potential effects on Scroll’s decentralization efforts.

Jiajun, an Ether ( ETH ) advocate, expressed disappointment, saying:

“Imagine @VitalikButerin paying 5.5% to @okx when @star_okx refused to list $ETH.”

Other users on X suggested that Binance should not have been the first exchange to list Scroll. They argued that if the “chain had enough activity and users,” Binance would have listed it organically, without the need for a partnership.

Source: Octoberdropcoming

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Finding a balance

In response to the criticism, Zhang defended the partnership:

“If we want to build a competitive ecosystem with real global reach, compete with Tron in these markets, and attract different categories of users to the Ethereum ecosystem, strong CEX support is absolutely crucial.”

The Scroll co-founder also addressed token distribution concerns, clarifying that launch pool allocation comes from the ecosystem and growth category, ensuring the community airdrop remains unaffected.

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