Bybit Denies $1.4M Listing Fee, Faces Backlash Over PAWS Glitch and Campus Program Misconduct

Listing Fee Claims, Pi Network Dispute, and Airdrop Errors Stir Community Controversy

Bybit, one of the leading global crypto exchanges, has come under intense scrutiny following a cluster of allegations and operational missteps that emerged in mid-April 2025. The issues include accusations of demanding exorbitant listing fees, questionable practices within its Campus Ambassador initiative, a public clash with the Pi Network, and a mishandled airdrop of the PAWS token. CEO Ben Zhou has categorically denied all claims, insisting the allegations lack substance and offering clarifications to counter the backlash.

The most prominent of the accusations centers around an alleged $1.4 million listing fee, which surfaced on April 14 through a post by X user “silverfang88,” who commands an audience of over 100,000 followers. The user accused Bybit of charging millions from token projects and enlisting Key Opinion Leaders (KOLs) to quash criticism from student members of its Campus Ambassador program. 

Zhou swiftly responded, demanding evidence and asserting, “Please show evidence if Bybit has done anything wrong.” Bybit clarified that it does not charge any flat listing fee but instead requires a structured package involving a promotion budget, a refundable security deposit of $200,000–$300,000 in stablecoins, and a multi-step project evaluation process. This includes internal voting, research, and final approval meetings, where factors like token utility, team credibility, valuation models, and on-chain verification are reviewed.

Simultaneously, the exchange was hit with further criticism related to its Campus Ambassador program, as some users alleged that students were encouraged to engage in contract trading. Zhou rejected those charges outright, calling them “baseless rumors” and pointing to the broader disarray in crypto discourse as the likely origin. He reaffirmed Bybit’s operational integrity, stating that the platform remains fully solvent regardless of external controversies or unresolved hacks, with client assets fully backed on a 1:1 basis.

Another flashpoint came from an ongoing dispute between Bybit and Pi Network. Zhou reignited tensions by labeling Pi a “scam,” citing complaints that it targets elderly users with misleading financial incentives. Pi Network firmly denied the characterization and emphasized its commitment to user safety and regulatory alignment. 

The exchange between the two parties has fueled community polarization, with some supporting Zhou’s uncompromising tone while others backed Pi Network’s massive user base and grassroots longevity. The public feud has also contributed to ongoing volatility in Pi’s token price, which took a sharp hit following Zhou’s earlier remarks in 2023. Market observers note that continued discord of this nature could push regulators to tighten oversight on how exchanges engage with listed projects and retail users.

The situation worsened after a technical mishap affected the highly anticipated PAWS token airdrop conducted between April 15 and 16. Bybit admitted that distribution errors caused certain users to receive an excess of tokens, while eligible users saw nothing land in their wallets. The exchange moved to reverse all initial distributions and initiated a new round of claims based on updated data provided by the PAWS team. 

This fix, according to Bybit, would be finalized before the token's spot market debut. The exchange also clarified that affected users should not worry about missing balances as the reallocation process was underway. Popular crypto analyst Szymanski summed up the frustration on X, noting, “So it turns out that Bybit over sent more tokens to some users while others like me haven’t received, now currently tokens are being called back.”

Due to MiCA regulatory limitations, users based in the European Economic Area were excluded from the airdrop, and Bybit directed them to consult the PAWS community for alternate redemption paths. The corrected airdrop claim window was reset to April 16 at 11:00 UTC via the PAWS Web platform. Meanwhile, the project behind PAWS, once pitched as a lighthearted meme coin, has pivoted toward becoming a “sustainable, community-driven Web3 IP-brand,” a shift aimed at capturing long-term growth and broader user adoption.

This article has been refined and enhanced by ChatGPT.