A China headquartered digital asset exchange, FCoin has paused trading and withdrawal as it divulges a shortage of virtual currenciesworth up to one hundred and thirty milliondollars.Notably, Fcoin adoptedthecontroversialtrans-feeminingmodel that made the exchange further popular.
The former CTO of Huobi, ZhangJian, who launched FCoin in May 2018, published a long postyesterday. In the post, he mentioned that the crypto exchange is now incompetant to fulfillcryptocurrency withdrawal demands of its users because its asset reserve has significantlyless assets as compared to its liability.The gap between the assets and liability lies approximately between seven thousand to thirteen thousand BTC.
The aforementioned post comes as abewildering notice to users in China as the considerable amount of digital assets in question led to the insolvency of the moot model that at one point made FCoin one of the biggest cryptocurrency exchanges by daily trading volume.
The disclosure came just days after FCoin suspended itswhole platform subsequent tofinding a risk-control issue.The exchange’s CEO mentioned in the post that he will now personallyhandlethe crypto withdrawal requests of all the users, made over emails.
What is your opinion about the latest insolvency of an exchange in the cryptodomain? Do you think it will take more time for crypto startups to become mature and stable? Let us know in the comments below!
The Future is Now Media Group have launched a YouTube show called The Future is Now Digest, hosted by Miguel Francis-Santiago. Together […]
April 30, 2020
PRESS RELEASE — 10,000 participants are expected to join CHAIN2020 in Hong Kong on January 15, which aims to become one of […]
December 27, 2019
Payment giant Square recently declared its 4th quarter and last year results. The corporation also declared that it has bought one hundred […]
February 27, 2021
Lee Ju-yeol, the governor of Bank of Korea has mentioned that digital currencies like Bitcoin have no intrinsic value, which is a […]
February 27, 2021