Key Takeaways:
- MEXC exchange accused of “dumping paid tokens.”
- Is the situation similar to 2020?
- Despite the uncertainty, the MX token soared 260% year-to-date.
YEREVAN (CoinChapter.com) – A crypto analytic account @WhaleChart, with nearly half a million followers, jabbed crypto exchange MEXC via Twitter, urging their viewers to stay away from the exchange and its token MX.
Do the allegations against MEXC have merit?
In the thread, @WhaleChart asserted that “one out of several projects allegedly getting annihilated by MEXC dumping paid tokens on their customers.” The account also cited @trendoshi, who called MEXC a “scam exchange,” bringing up Dos Network and its same-name token.
During DEFI summer of 2020, Dos found out that mexc had 17M DOS on their order books but actually only had about half that in their wallets. They were selling more tokens than they had, thus dumping the price. It was an interesting scam. Dos airdropped a new token and excluded mexc to remedy this issue.
said @trendoshi
Notably, the controversy around MEXC in 2020, or MXC as it was called before the 2021 rebranding, didn’t end on DOS. The exchange apparently froze withdrawals of SORA token, or XOR, citing liquidity issues, while continuing to launch other products.
It was when SORA was going parabolic. They then delisted SORA and never allowed withdrawals (because they didn’t have any tokens left). That’s why MXC rebranded to MEXC to clean their brand for noobs. Same scammers, though, so they keep scamming.
noted @trendoshi.
MEXC is a top 20 exchange, as opposed to MXC
Neither of the mentioned accounts provided any proof or evidence to support their claims. Moreover, MEXC is the 17th exchange by security rating and the 15th by daily trading volume, as per CoinMarketCap. The metric stood at $587 million on May 10.
Additionally, several users replied to @WhaleChart, saying they did not have any negative experience with MEXC and that the allegations were unfounded.
MX brings triple-digit returns to investors.
Meanwhile, the platform’s token MX soared nearly 260% year-to-date and stood at $2.88 in the New York session on May 10. Notably, the current MX value came after a 12% correction in the previous three days. The MX/USDT exchange rate peaked at $3.2 on May 8, merely 15% short of its all-time high in 2021.
According to the chart above, the MX token arrived at a crucial support line, which is likely to be relevant, at least in the short term.
Also read: Pepe Whales Buying The Dip As The Memecoin Arrests Its Downtrend.
