The wemix crypto wemix crypto Wemade games were collapsed on Friday after five of the country's main crypto exchanges announced its intention to be the second time for the second time. The new radiants began a sale that erased more than 60% of the value of the token in a few minutes.
According to Coingecko dataWemix went from $ 0.7225 to $ 0.2757 in less than 3 minutes around 3 p.m., South Korean time. Although it has rebounded at around $ 0.38 at the time of publication, it remains down more than 45% compared to the fence on Thursday.
The Digital Asset Exchange Alliance (Daxa), a coalition of the industry made up of Upbit, Bithumb, Coinone, Korbit and Gopax, said that he had struck Wemix because he was not sure of the reliability and safety practices of the token transmitter.
“Based on a complete examination of the reliability of the issuer and security standards, we decided to end commercial support because it does not meet the criteria”, Daxa said in a declaration.
The exchanges will officially terminate commercial support for WEMIX from June 2, effectively removing it for the second time on the domestic market. The token has already been struck off in 2022 and later reinstated in 2023.
Security failures and delayed disclosure
Wemix has been the subject of a series of security incidents and accusations of lack of transparency. On February 28, the token experienced a cyber attack in which the hackers exploited vulnerability in Wemade systems and stole more than 8.65 million Wemix tokens, worth 9 billion Korean Won ($ 6.38 million at the time).
The flight has passed through the protocol for reducing game bridges.
Investors castigated the Wemix Foundation to wait four days before disclosing the incident to its users. The team defended the delay, saying that it was necessary to prevent the sale of panic. Meanwhile, the price of the token dived by 40%, falling to $ 0.42.
The authorities have placed the token on a list of “investment warning” earlier this year in response to the pressure of investors and exchanges. On Friday, Bithumb said that the foundation had failed to convince exchanges on the circumstances that led to the designation.
Friday, in the hours, the prices of the parts of Wemix went from 1,200 won ($ 0.85) to only 401 won. Wemade shares also took a hit, ending the day down 17.45% to 23,650 won ($ 16.77) on the KosdaqAnd has now been down more than 32% since the start of the year.
In a press release published after the Radiation, the Wemix team apologized to its community. “We want to clearly indicate that the Foundation and Wemade have a commitment and a belief in the growth of the Wemix ecosystem, whatever the decision of the internal exchanges to end commercial support,” said the company.
To restore confidence, Wemade said that he would continue his token repurchase plan announced previously to buy 10 billion Koreans ($ 7.1 million) from Wemix tokens.
The South Korean Parliament acts to improve demand from the internal market
In other news, the Parliament of South Korea approved an additional budget of $ 13.8 billions of dollars ($ 9.7 billion) on Thursday to stimulate the country's domestic demand. The figure has exceeded the government's previous proposal of 12.2 Billions of Won and includes allowances for the relief of forest fires, fruit subsidies, premises programs and infrastructure expenses.
The decision follows the data released Last week, showing a contraction in the fourth economy of Asia in the first quarter. The investment in construction dropped by 3.2%, and exports and consumption have shown no growth.
Meanwhile, the Bank of Korea could revise its growth forecasts in 2024, currently set at 1.5%, during its political meeting in May. The International Monetary Fund has also reduced its projection by 2025 for the growth of South Korea by 2% to only 1% due to the weakening of domestic market and the world -contrary winds subject to American rates.
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