Well, isn’t this a familiar tune? The Wemix token, tied to Wemade’s (a Web3 game company) digital world, just took a serious nose dive. It dropped over sixty percent on Friday. That happened fast. Like, from $0.72 down to $0.27 in about fifteen minutes flat. Ouch. It bounced back a little, hanging around $0.36, but that’s still down fifty percent from the day before. Crypto prices move, sure, but that kind of drop stings.
- The Wemix token plummeted in value after South Korean crypto exchanges announced its delisting. This delisting was a significant blow to the token’s value.
- The delisting was prompted by issues related to an exploit where $6.2 million worth of Wemix tokens were stolen and concerns about the issuer’s credibility. The Wemix Foundation’s delayed response to the exploit further fueled the price drop.
- Wemix has faced delisting before, and the current situation has led to a decline in the parent company’s stock price, raising questions about trust and security in the crypto market. The company has announced a buyback plan to try and stabilize the price.
So, why the sudden plunge? South Korea’s main crypto exchanges decided to kick Wemix off their platforms. All five big ones – Upbit, Bithumb, Coinone, Korbit, and Gopax – made the call together. These exchanges are kind of a big deal over there; they’re the only easy way for folks to use regular Korean money to buy crypto. Think of them as the main marketplace. They work together through a group called DAXA (Digital Asset Exchange Association) when making big decisions about which tokens can trade.
Trading for Wemix on these exchanges stops on June 2nd. You’ll have until July 2nd to pull your tokens out. After that? They’re gone from those specific platforms. It’s a pretty final step. And honestly, it’s not the first time Wemix has faced this kind of trouble with these same exchanges.
A Troubled History
Remember back in December 2022? Wemix got delisted then too. The reason? They had more tokens floating around than they told everyone they did. It was a big deal about being upfront and honest with the numbers. They eventually got back on, but getting kicked off once is bad news. Getting the boot a second time? That’s… well, it’s a pattern, isn’t it? According to local news, Wemix is the first token in South Korea to get suspended by these major platforms twice. Not exactly a record you want to break.
This latest delisting seems tied to something else that happened earlier this year. Back in February, there was an exploit (that’s like a hack or a theft) where someone stole about $6.2 million worth of Wemix tokens. This happened on something called Play Bridge, which helps move tokens between different blockchains (digital ledgers). A significant amount of money just… vanished.
Here’s where things get a bit tricky. The Wemix Foundation, the group behind the token, waited four days before telling anyone about the exploit. Four days! They said they held off to “prevent market panic.” But guess what? The token price still fell forty percent during those four days anyway. It dropped to $0.42. It makes you wonder if waiting really helped or just left people in the dark while the price slid.
DAXA looked at the situation. They said Wemix didn’t do enough to fix the problems that got it flagged earlier as an “investment caution” token. That happened after the exploit. Bithumb, one of the exchanges, shared DAXA’s statement. It basically said they looked at the “credibility and security” of the token’s issuer and decided it just didn’t meet the standards to keep trading.
Think about it like this: the exchanges are running a store, and they have rules about what products they’ll sell. If a product has issues – maybe it’s not what the label says it is (like in 2022) or there are security problems and the company isn’t fixing them fast enough (like now) – the store might decide to stop selling it. That’s what happened here. DAXA decided Wemix wasn’t meeting their standards anymore.
Wemix Responds
After the delisting news broke on Friday, the Wemix team put out a statement. They apologized to their community for the token getting removed from the local exchanges. It’s a tough spot to be in, for sure. Saying sorry is probably the first step.
They also tried to sound confident about the future. They said the team and Wemade are still totally committed to growing the Wemix ecosystem, no matter what the domestic exchanges decided. They promised to use “all available capabilities and resources” to get past this and “return to a normal trajectory.” Big words, and you hope they mean it for the people holding the token.
The team also mentioned they’re still going ahead with a plan they announced back in March. They’re going to buy back 10 billion Korean won worth of Wemix tokens. That’s about $7.1 million. The idea behind a buyback is usually to reduce the number of tokens out there, which can sometimes help boost the price. They said this buyback is aimed at bringing the market value back up. It’s a move, but whether it can counteract being delisted from the main Korean marketplaces remains to be seen.
It wasn’t just the token price that felt the pain. Wemade’s stock price also dropped significantly. On Friday in South Korea, their stock closed down 17.45%. That’s a big hit for the company itself. And looking at the whole year, the stock is down over thirty-two percent. So, the token’s troubles are definitely impacting the parent company too. It’s a rough patch, no doubt about it.
Being delisted, especially twice, raises questions. It makes you think about how exchanges decide what’s safe for people to trade and what happens when projects don’t meet those standards. It’s a reminder that even in the fast-moving world of crypto, things like trust, security, and clear communication really do matter. And sometimes, despite promises and buybacks, the market makes its own decisions pretty quickly.
