WEMIX token drops by 70% after being delisted by Korean exchanges
To the dissatisfaction of the issuers, DAXA alleged that the circulation number of WEMIX surpasses what Wemix reported.
South Korea’s top crypto exchanges have declared that WEMIX (WEMIX)—the native token of gaming company Wemade’s blockchain platform Wemix—will be delisted, claiming that the company gave “false information” in response to an investment caution.
Bithumb, Upbeat, Coinone, Korbit, and Gopax, all members of the Digital Asset eXchange Alliance (DAXA), announced on November 24 that they would discontinue contract support for WEMIX, with trading slated to conclude on December 8
DAXA issued an investment alert on October 27, alleging that there was far more WEMIX in circulation than Wemix had stated, and Wemix promised to collaborate with DAXA to relieve these worries.
Following the delisting decision, WEMIX Communication issued a statement saying that it has truly reacted to DAXA’s requests and concerns and fixed a number of situations where they felt the circulating supply had been inflated by the group, adding:
“The WEMIX team does not acknowledge or agree with the Digital Asset eXchange Alliance’s unreasonable decision.” It is critical to note that the Foundation has not distributed any WEMIX beyond what has been publicly disclosed.”
WEMIX’s price fell in the aftermath of the revelation, and it is now down 70.8% to $0.476 at the time of writing.
Henry Chang, the CEO of Wemade, is said to have invested his monthly income in the WEMIX token eight times, including acquiring 18,928 WEMIX Classic with his October pay this year.
Wemade is widely known for its successful franchise, The Legend of Mir, which has over 200 million signups and features Mir 4, one of the world’s most popular blockchain games. On November 2, it announced a $46 million funding round from Microsoft, as well as asset management firms Kiwoom Securities and Shinhan Asset Management. Chang stated at the time, “
“Wemade and Wemix will continue to make efforts to attract additional capital and actively invest in the development of the global digital economy platform.”
Wemade also stated that it intends to launch a new economic platform that would mix non-fungible tokens (NFTs) and decentralized autonomous organizations (DAOs).
Despite being one of the world’s largest gaming markets and blockchain adopters, South Korea has prohibited play-to-earn (P2E) blockchain games.
Since being elected in a close race on March 10, crypto-friendly President Yoon Suk-yeol has hinted that the ban may be lifted and that he intends to grow the virtual asset market by overhauling “regulations that are far from reality and unreasonable.”