Binance, one of the leading centralized cryptocurrency exchanges, has recently announced the temporary suspension of deposits for ten tokens due to ongoing complications with the Multichain Bridge project.
The decision has impacted users utilizing these bridged tokens on the BNB Smart Chain, Fantom, Ethereum, and Avalanche blockchain networks. Tokens such as AVA-ETH, SPELL-AVAXC, and FTM-ETH are among those affected, according to Binance. Deposits of these assets on other networks will remain uninterrupted, with further details available on Binance’s deposit page.
“We are temporarily suspending deposits for the following bridged tokens-network while we await clarity from the Multichain team,” stated Binance. This move comes on the heels of a five-day crisis experienced by Multichain users, leading to transaction processing issues and a significant number of stock transactions.
Despite initial attributions of the problem to technical difficulties, the Multichain project later cited “force majeure” as the cause, offering little clarity to disgruntled users.
In the midst of Multichain’s woes, unverified rumours circulating on Twitter have suggested that the core leadership team may have been apprehended in China.
However, the Multichain team has yet to address these allegations of arrest. This lack of communication has left the platform’s users and the wider crypto community uncertain and concerned, eagerly awaiting definitive information.
Unfortunately, the project’s Discord server and Telegram groups have provided few substantive updates to community members thus far. Consequently, crypto projects have begun to react to this silence.
The Fantom Foundation, for instance, recently withdrew 450,000 MULTI tokens, amounting to $2.4 million, from liquidity on the decentralized exchange SushiSwap.
Likewise, HashKey Group, a crypto investment firm, shifted $250,000 to the crypto exchange Gate.io. Notably, Tron founder Justin Sun withdrew 470,000 USDD stablecoins from the Multichain protocol.
As the situation unfolds, the crypto community grapples with uncertainty and apprehension, searching for answers amidst a lack of clear information. It remains to be seen how Multichain will address these ongoing issues and restore confidence among its user base.