The WEMIX coin issued by the blockchain game company WeMade has gone through the process of being delisted. However, internal information leakage is suspected as the circumstances in which a large amount of Wemix was sold even before the exchange announcement was made.
The digital asset exchange joint consultative body (DAXA, DAXA) announced the end of trading support for Wemix (delisting) through the member exchange at 7:40 pm on the 24th. The decision to delist was made 4 weeks after the initial designation of a cautionary stock. Normally, the period of cautionary items is two weeks, but in the case of Wemix, the decision on whether to support the transaction was delayed twice due to an error in the explanatory data.
On this day, even before the official announcement of Daksa, there was a large-scale selling transaction for Wemix, and the market price began to decline. As of 9:30 pm on the 24th, the price of Wemix has decreased by about 60%.
The price of Wemix fluctuated twice. The first time slot was after lunch.
Based on Upbit, 3.25 million WeMixes were sold at 1:35 pm. Afterwards, at 7:24 pm, 16 minutes before the announcement of the exchange, an economic magazine reported that Wemix would be delisted, and the price began to decline in earnest. In addition to Upbit, Bithumb, Coinone, and Korbit also showed a sell-off at lunchtime, followed by a full-fledged decline in the evening. Most of Wemix’s distribution volume is distributed in Korea. Even if Upbit (81%) and Bithumb (14%) are combined, 95% of the exchange volume is domestic.
According to KlaytnScope, it was also confirmed that a large amount of Wemix was moved from two specific wallets on the same day. Wallet A moved 900,000 Wemixes to other wallets five times through wallet B, etc. until the announcement of the delisting of Wemix on the 24th.
This is a situation that seems to have leaked major public announcements such as the delisting. Disclosure prior disclosure is a serious punishment in the capital market.
Previously, on the 27th of last month, Wemix was designated as an investment warning item due to false disclosure of distribution volume. Wemix submitted a distribution volume plan to the cryptocurrency exchange in January and announced that the expected distribution volume was 245.97 million WEMIX from December 31 last year to October 31 this year. However, as of the 25th of last month, the actual distribution volume of Wemix was 318.42 million, about 72.45 million more than the originally announced quantity, and it was designated as an issue of caution.
In addition, WeMade sold Wemix without prior notice in early January, and was hit hard in the market. At the time, WeMade argued that it was not a surprise sale as it had already stated in the white paper that it would use 74% of the Wemix issued volume to expand the ecosystem.
Currently, WeMade said, “We are preparing an application for provisional injunction regarding the termination of Wemix transaction support” and “We will correct it by exchange.” In addition, a press conference regarding the end of transaction support will be held at 11:00 am on the 25th.
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