Twitter is one of the most powerful social media platform app for cryptocurrencies. It’s extremely powerful, I think Reddit should be among the most powerful social media platforms with large crypto community. Lots of things have been happening in the crypto community, especially crypto related companies, this is one of the wildest times in crypto. Aside the fact that crypto platforms are filing for bankruptcy and having liquidity issues, some are also facing rumors that is leading to token tanks and putting their reputation on the line.

The Kucoin Native token is the latest crypto exchange to have an insolvency rumor which has affected their token. So far, every crypto corner is really feeling this crypto bear especially with the Luna crash saga. The crypto market crash comes with a lot of liquidity exiting the market, thereby causing a decline in price, this then spreads FUD amongst investors, investors trying to save their loss try to withdraw their funds. This is enough to cause a lot of panic in the crypto market. But unfortunately the LUNA/UST crash helped fueled the issue by crashing.

The Terra organization already created a reputation for theirselves through Do Kwon, this involved constant announcing how much bitcoin and other digital assets they had bought against the bear market to help stabilize liquidity. This motivated more big time investors into investing into the Terra project more and more. I think the market cap of Luna(now Luna Classic) was once $80 Billion, making it one of the top 10 coins on CoinMarketCap. But let’s take it back to the fact that it’s market cap was once $80 Billion, that was a lot, but unfortunately the flaw in the mechanism crashed it. A wild time in the crypto history and it’s going to be an unforgettable moment, because a lot of people lost money.

There are were lots of silent investors who invested in LUNA/UST because they APR for UST was high and LUNA was pumping so hard. The crash started the beginning of the current chaos happening in crypto. Big time crypto platforms invested in LUNA/UST. The crash caused some of them to lose a lot of money, coupled with the fact that they have to deal with withdrawals from their customers because not only did they lose money, their customers also lost and now they want to make use of their money on the crypto exchange platforms they invested their money in.

Insolvency Rumor

Insolvency is the current trending word in the crypto space as a lot of crypto exchanges are insolvent secretly. At least according to the FTX CEO, the Binance CEO also talked about helping some crypto platforms during times like this, but making sure they help companies that are worth helping or saving.

Unfortunately Kucoin native token, KCS, was caught up in the rumor saga as the value of the token tanked in the last 7 days. This was based on the rumor that Kucoin is about to halt withdrawals because it was insolvent. Customers and market sentiment caused customers and holder of the Kucoin native token, to dump the coin. That was a fundamental news and it’s bad. No one knows where the rumor is coming from but the CEO of Kucoin has assured the public that it’s just a rumor and the current Luna, 3AC, Celsius and Bebel issue doesn’t affect them.

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