South Korean cryptocurrency change Upbit has denied allegations that it prices brokerage charges for token listings, calling on Wu Blockchain to offer proof.
The change emphasised that each one buying and selling assist selections endure a strict inner overview course of with out monetary compensation. Upbit additionally warned customers to be cautious of fraudulent intermediaries and acknowledged it might take authorized motion towards unlawful brokers.
In different phrases, Upbit claims that its listings are based mostly on inner evaluations fairly than monetary offers. The corporate insists that token initiatives can’t merely purchase their approach onto the platform.
Itemizing charges
The controversy follows a collection of tweets from Wu Blockchain, which claimed that a number of initiatives paid charges to intermediaries to safe listings on Upbit and rival change Bithumb.
In line with Wu Blockchain’s publish, middleman charges have been reportedly round $10 million for Upbit and $2 million for Bithumb, with some intermediaries allegedly linked to Upbit’s shareholders and market makers.
The report additionally urged that some initiatives offered middleman charges starting from 3% to five% of their complete token provide. This means that as a substitute of paying a set payment, some initiatives could be providing a portion of their tokens to safe a list.
Wu Blockchain reached out to seven initiatives, with three denying any involvement in such funds.
After Upbit’s response, Wu Blockchain up to date its posts and stated it “needs to protect the source, so we cannot disclose specific information.”