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OKX airdrop after token trading fiasco
OKX will airdrop 3,014,381 Tether (USDT) to users who suffered losses as a result of the Celestial (CELT) token trading incident, the cryptocurrency exchange announced on March 1. On Feb. 26, Celestial revealed the development of a novel blockchain game, followed by extensive social media campaigns promoting the project’s alleged backing by OKX. Shortly afterward, the price of CELT pumped nearly 100% in two days before plummeting over 60% after OKX clarified it had no affiliation with the project other than a $100,000 investment from OKX Ventures in November 2021.
“On Feb. 27, many influencers on social media promoted the [CELT] project by claiming that it was the ‘Son of OKX,’ such actions were not authorized by the OKX exchange.”
After an investigation, OKX concluded that there was evidence of “malicious market manipulation” associated with the incident. The exchange explained shortly afterward that it froze 714,381 USDT held in five accounts suspected in the market manipulation and clawed back 1.3 million USDT from Celestial developers.
Combined with 1 million USDT of its own money, OKX will airdrop a total of 3 million USDT to users who purchased CELT between Feb. 25, 12:00 pm Hong Kong time and Feb. 28, 12:00 pm Hong Kong time and suffered losses. The airdrop will be delivered to affected users within the next 48 hours.
Although experts disagree on its supposed transparency, OKX has also decided to double down on its proof-of-reserves (PoR) model. On March 2, the exchange stated that its upcoming PoR report would “enhance transparency by allowing anyone to download the full liability Merkle tree” and that users can “verify all client deposits are accounted for” and claims it “guarantees solvency by comparing net equity,” via novel zero-proof methods.
In its most recent update, OKX claimed that it held $8.6 billion worth of Bitcoin (BTC), Ether (ETH) and Tether on the exchange. OKX’s next monthly PoR publication will take place on or around March 20.
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