24. February 2024

KuCoin Confirms User Behind 2-Year-Long Memecoin Rug Pulls

• KuCoin has confirmed that a wallet address allegedly responsible for launching thousands of memecoin scams belongs to one of its users.
• The exchange will not freeze the user’s assets without any official notice from law enforcement.
• KuCoin encourages community members to report suspicious activity to the police and submit relevant materials to its team for further investigation.

KuCoin Discovers Exchange User Behind Memecoin Scams

Crypto exchange KuCoin has confirmed that a wallet address allegedly responsible for launching thousands of memecoin scams belongs to one of its users. On April 26th, a Twitter user identified an address that launched two to five memecoins daily for two years and another community member pointed out it was owned by KuCoin.

No Freeze on Assets Without Notice From Law Enforcement

The exchange stated that it will not freeze the user’s assets without any official notice from law enforcement agencies first. When the reporting party provides relevant legal documents, procedures, or reporting records, then they will assist and cooperate with law enforcement agencies in taking temporary risk control measures in accordance with complaints or reports, user agreements and Seychelles laws.

Encouragement to Report Suspicious Activity

KuCoin also encourages community members to report any suspicious activity they may encounter to the police and submit relevant materials to their team as well. In addition, they have made sure their followers are aware of security risks and how they can protect themselves against them after facing a breach on April 24th when their official Twitter account was compromised and fake activity posted resulting in some followers losing their assets.

Rebranding into Halo Wallet

In other news, KuCoin recently announced that its wallet service is spinning off from the exchange platform and rebranding itself as Halo Wallet in order to better cater towards European markets where cryptocurrency regulations are becoming increasingly strict. They have also been pushing more features such as multi-currency support, token swaps, decentralized applications (DApps) access, asset management services and more all while keeping security as one of their top priorities when creating new products or services.

Conclusion

Overall, this article shows how Kucoin is trying to stay ahead of regulatory changes by spinning off their wallets into a separate entity called Halo Wallet while also encouraging users who see suspicious activity on their platform by asking them to report it so proper action can be taken if necessary. This shows that even though there may be rogue actors who try take advantage of digital asset holders using malicious means such as rug pulls, exchanges like Kucoin are doing what they can in order to protect users from falling victim these scams.