KuCoin CEO noted that the company is currently searching for new talents as it holds a strong financial position despite the bears still reigning supreme on the crypto market.
KuCoin, one of the leading cryptocurrency exchanges in the world that has over 10 million users, has recently taken to Twitter to dismiss all the rumors surrounding the restriction of fund withdrawals.
The news comes amid the current crypto bear market when numerous crypto-driven firms announced that they would be stopping withdrawals and transfers between accounts. For instance, earlier in June, crypto lender Babel Finance took the possibility of taking out funds from its users, citing some “unusual liquidity pressures.” A few weeks back, crypto staking platform Finblox limited daily and monthly withdrawals to $500 and $1500, respectively.
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Likewise, other major crypto exchanges, including Banxa, Gemini, Huobi Global, Coinbase, and Robinhood are also planning to lay off a significant number of their employees due to harsh market conditions.
Because of this, well-known players in the crypto community, including @otteroooo and @KongBTC, have noted that KuCoin is next in line and advised traders to take out all of the funds stored on the Seychelles-based crypto exchange if they want to save their money. On top of that, such crypto figures also implied that the recent events in the crypto market, such as the collapse of Terra LUNA, will have a negative effect on the exchange.
However, on July 2nd, Johnny Lyu, the CEO of KuCoin, immediately denied the rumors, citing its recent $150M fundraiser that allowed the company to arrive at a $10B valuation last month. He noted that the company isn’t going to halt withdrawals, as KuCoin is continuing with its plan to remain one of the most financially stable exchanges in the market.
Lyu also shared KuCoin’s 2022 first-half report which displayed that the company is fully functioning and isn’t anywhere near the verge of bankruptcy. Thus, if such figures continue to wreak havoc and spread false information, the company will take legal action. “Do not FUD, BUIDL,” the CEO added.
KuCoin, founded in 2017 and operating in more than 200 countries, is the fifth-largest cryptocurrency exchange by volume that provides its users the ability to purchase, sell, and trade digital assets, including Bitcoin (BTC), Ethereum (ETH), Dogecoin (DOGE), SHIBA INU (SHIB), and others. The exchange also offers peer-to-peer (P2P) trading, margin, as well as futures.
It seems as though the current crypto bear market isn’t the only thing that might stir up some trouble for the exchange. Back in June, the Ontario Securities Commission (OSC) banned KuCoin from Ontario’s capital markets and issued an administrative penalty of C$2 million, estimated at around $1.5 million. The Canadian regulator implied that the crypto exchange wasn’t able to properly comply with securities laws.
