Mass delisting news from South Korean stock exchanges caused the altcoin WEMIX to drop by 50 percent.
Mass Delist from South Korea!
South Korean Web3 game developer Wemade’s cryptocurrency Wemix (WEMIX) has seen a major drop following the country’s local exchanges’ announcements to delist WEMIX for the second time, local news agency Yonhap reported.
Accordingly, South Korea’s five major cryptocurrency exchanges Upbit, Bithumb, Coinone, Korbit and Gopax announced that they plan to delist WEMIX from the exchange on June 2, and token withdrawals are expected to be finalized on July 2.
The decision to delist the WEMIX token was reportedly made through the Korea Digital Asset Exchange Association DAXA, which includes five major exchanges among its members.
DAXA said in a statement:
“After conducting a comprehensive review of the security issuer’s reliability and security standards, we have decided to terminate transaction support for WEMIX because it does not meet the criteria.”
WEMIX’s delisting came after the company’s server was hacked on February 28, where over 8.65 million Wemix tokens worth 9 billion won ($6.38 million) at the time were stolen.
At this point, DAXA said that it believes that the Wemix Foundation has not sufficiently addressed the issues that led to its designation as a cautious investment cryptocurrency, and therefore the delisting decision was made. Because the Wemix Foundation notified users of the hack four days after the incident and explained this delay as a precaution to prevent market panic. At this point, DAXA believes that the WEMIX Foundation’s explanation is not credible and sufficient.
This Was the Second Delisting Decision About WEMIX!
WEMIX has previously been delisted by South Korean exchanges. In 2022, South Korea’s largest cryptocurrency exchanges announced that they would be delisting Wemix (WEMIX) for allegedly providing false information that caused confusion.
WEMIX, which was also delisted by DAXA, lost nearly 75 percent of its value following the news.
At this point, WEMIX became the first local token to be suspended twice by South Korean trading platforms.
WEMIX, which has fallen 50 percent from $0.7 levels, continues to be traded at $0.37 at the time of writing.
*This is not investment advice.
