KuCoin utility token KCS has been in a sluggish situation in the previous couple of days, as the foremost cryptocurrency alternate faces a flood of insolvency rumors.
Tuesday’s CoinMarketCap statistics reveals that the worth of KSC has decreased by 17.35 p.c over the earlier week, buying and selling at $8.74 on the time of writing.
In response to sure sources, KuCoin had publicity to Terra’s doomed LUNA and UST cryptocurrencies in addition to bancrupt crypto hedge agency Three Arrows Capital.
KuCoin is the fifth largest cryptocurrency alternate on this planet, with a 24-hour buying and selling quantity of $927 million. KCS is the forty ninth most respected digital asset in accordance with CoinMarketCap, with a market valuation of $858 million.
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KCS Sheds 14% Of Worth This Month
KCS has stored weakening this month regardless of its founder’s assurances that the cryptocurrency alternate is not going to halt withdrawals within the method of a lot of its opponents.
KCS has misplaced 14 p.c of its worth to this point this month, as traders have been frightened by adjustments in international macroeconomic circumstances and by weak point within the stability sheets of different main crypto exchanges following a wave of job cuts and operational breakdowns attributable to the insolvency of some massive shoppers.
Final week, the alternate’s native token misplaced roughly 1 / 4 of its worth, with greater than half of that decline occurring on Saturday alone. For the reason that finish of Might, KCS has misplaced greater than half of its worth and is down greater than 60 p.c from its December 2017 file ranges.
Crypto complete market cap at $897 billion on the every day chart | Supply: TradingView.com
KuCoin Is Positive, CEO Says
KuCoin CEO Johnny Lyu responded to speculations of the corporate’s demise by clarifying it had no publicity to Three Arrows, LUNA, or Babel.
Pay attention to FUDs!
Undecided who’s spreading these sheer rumors, and what their intentions are, however #KuCoin doesn’t have any publicity to LUNA, 3AC, Babel, and so on.
No “immense endure” from any “coin collapse”, no plan to halt withdrawal, all the pieces on KuCoin is working effectively.
— Johnny_KuCoin (@lyu_johnny) July 2, 2022
On Twitter, Lyu mentioned:
“No ‘immense endure’ from any ‘coin collapse’, no plan to halt withdrawal, all the pieces on KuCoin is working effectively,” including that the corporate reserves the precise to hold out authorized actions in opposition to these spreading false rumors.
In Might of final 12 months, the corporate secured $150 million in new money throughout a funding spherical that valued the alternate at $10 billion.
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In Might of final 12 months, the corporate secured $150 million in new money throughout a funding spherical that valued the alternate at $10 billion. KuCoin launched into a hiring binge and added new options to its web site, sources mentioned.
Nonetheless, in accordance with market specialists, the related FUD (concern, uncertainty, and doubt) has had an impact on KCS.
Till uncertainties round KuCoin’s stability sheet is resolved, it’s attainable that KSC might not have the ability to provoke a robust comeback, even when the broader crypto trade can.
Featured picture from FundsNet, chart from TradingView.com