ALPACA Token: Investment Opportunity in the Delisting Crisis of Centralized Exchanges

In the cryptocurrency market in 2025, ALPACA Token ($ALPACA) has attracted widespread attention due to the delisting announcement by Centralized Exchanges. As the native token of the Alpaca Finance platform, ALPACA is well-known in the decentralized finance (DeFi) space for its leveraged yield farming.

However, a certain centralized exchange recently announced that it will delist tokens such as ALPACA on May 2, 2025, causing its price to experience drastic fluctuations, skyrocketing by over 800% at one point, and then rapidly falling back by 50%. This article will combine the latest developments to delve into the background, investment potential, risk factors, and future prospects of the ALPACA token, providing investors with comprehensive references.

ALPACA Token Introduction

ALPACA Token is the governance and incentive token of the Alpaca Finance platform, operating on the Binance Smart Chain (BSC). Alpaca Finance is a decentralized leverage yield farming protocol that allows users to amplify the returns on staked assets through borrowing, while providing low-risk borrowing services. The ALPACA token plays multiple roles in the eco:

• Governance: Holders can participate in major protocol decisions, such as parameter adjustments and new feature development.
• Incentive: Users who stake ALPACA can receive additional token rewards through the ‘Grazing Range’ event.
• Buyback and Burn: Alpaca Finance conducts token buybacks and burns weekly to reduce circulating supply and enhance long-term value. As of April 29, 2025, 34.98 million ALPACA coins have been burned, accounting for 18.61% of the total supply.

Despite ALPACA’s solid foundation in the DeFi field, the delisting from centralized exchanges has made it a market focus, and price fluctuations have sparked speculative frenzy.

The latest news of ALPACA Token

In April 2025, the ALPACA token became a hot topic in the crypto community due to a series of events. Here are the key highlights:

Centralized Exchange Delisting Announcement: On April 24th, a centralized exchange announced that it will delist spot trading pairs for ALPACA, PDA, VIB, and WING tokens at 03:00 on May 2nd (UTC). After the announcement, the price of ALPACA surged over 800% within 24 hours, triggering a massive short squeeze.

Intense price fluctuations: After rising, ALPACA fell more than 50% within one hour on April 28, showing strong market selling pressure. Users on Platform X pointed out that market makers may have borrowed more tokens before delisting to ‘dump’ the market, causing severe losses for retail investors.

Short squeeze and speculation: Social platforms show that over 75% of traders are shorting ALPACA. The high negative funding rate (20% daily) causes heavy losses for the short sellers, while the institutions profit from funding fees and pushing up the price.

Continuous repurchase and burn: Alpaca Finance announced on April 29th that the 214th weekly repurchase and burn was completed, destroying 188,888 ALPACA tokens (approximately $41,500), with nearly 96% of the past two years being in a deflationary state.

Community response: Alpaca Finance officials stated that despite delisting from centralized exchanges, ALPACA can still be traded on other platforms (such as WhiteBit) and called on users to pay attention to its ecological progress.

These dynamics highlight the high speculation of the ALPACA token in the delisting turmoil, while also reflecting the resilience of its eco.

Investment Risk Warning

Delisting Impact: Delisting on Centralized Exchanges may lead to a decrease in ALPACA liquidity and dent retail investors’ confidence.

Market manipulation: Many users pointed out that market makers may profit by borrowing tokens to suppress the market, and retail investors need to be to market manipulation by big players.

High volatility: a recent 50% drop indicates speculative risk, caution is needed for short-term trading.

Regulatory and market risks: Regulatory uncertainty and market competition of DeFi projects may affect the long-term performance of ALPACA.

Disclaimer: This article is for information sharing only and does not constitute investment advice. Cryptocurrency investment carries high risks, please make careful decisions after thorough research.