Compass Investments

Bitcoin vs. Dollar

📌 According to CryptoQuant’s CEO, KuCoin remains stable despite legal challenges and a surge in withdrawals.

Seychelles-based cryptocurrency exchange KuCoin has been deemed clean by Ki Young Ju, CEO of crypto analytics company CryptoQuant, despite concerns over criminal charges and financial preparedness. Kucoin

– Seychelles-based cryptocurrency exchange KuCoin has been deemed “clean” by Ki Young Ju, CEO of crypto analytics company CryptoQuant, despite concerns over criminal charges and financial preparedness.

Mr. Ju’s approval came amid user concerns about KuCoin’s ability to honor withdrawal requests, especially in light of the recent surge in withdrawals from Bitcoin (BTC) and Ethereum (ETH).

Mr. Ju noted that these withdrawals were mostly made by individual users and had little impact on KuCoin’s overall reserves.

He argued in X that “KuCoin does not appear to be commingling customer funds and has sufficient reserves to handle user withdrawals.”

KuCoin’s financial position is quite sound: according to Scopescan, its total portfolio balance across multiple blockchain networks is valued at $4.889 billion.

This is supported by a U.S. Department of Justice complaint filed on March 26 against KuCoin founders Chun Gang and Ke Tang.

The charges included concerns that the platform facilitated “money laundering and terrorist financing” by failing to establish an anti-money laundering program.

Ju also emphasized an important operational distinction between KuCoin and bankrupt crypto exchange FTX, noting that KuCoin does not commingle customer funds with its own reserves.

This operational integrity is critical to user trust, especially when legal challenges or doubts about the status of reserves force investors to withdraw their assets from the exchange.

The crypto community remembers well the rapid withdrawal of funds from FTX after trust was lost due to former Binance CEO Changpeng “CZ” Zhao’s tweet regarding FTX’s own token, FTT.

Reserve issues on a major exchange like KuCoin can affect not only its user base, but the market as a whole.

However, despite the serious nature of the allegations against KuCoin’s founders, the cryptocurrency market’s reaction has been relatively subdued.

The Crypto Fear and Greed Index, which reflects market sentiment, scored 83, indicating an “extreme level of greed,” meaning that the broad cryptocurrency market as a whole is not concerned about the events surrounding KuCoin.

To submit a cryptocurrency press release (PR), send an email to sales@cryptointelligence.co.uk.

Bitcoin

Bitcoin

$63,237.49

BTC -3.26%

Ethereum

Ethereum

$3,112.73

ETH -1.43%

Binance Coin

Binance Coin

$556.27

BNB -1.80%

XRP

XRP

$0.49

XRP -2.13%

Dogecoin

Dogecoin

$0.16

DOGE -2.18%

Cardano

Cardano

$0.46

ADA -3.09%

Solana

Solana

$138.80

SOL -7.90%