Binance, the world’s largest cryptocurrency exchange, has taken a significant step by temporarily suspending deposits and withdrawals for eight altcoins associated with the bridging platform Multichain.
In an official announcement, Binance revealed that it is pausing support for several tokens, including Alchemy Pay (ACH) on the BNB Smart Chain, Spell Token (SPELL) on the Avalanche C-Chain, and six other altcoin projects with lower market capitalization operating on Ethereum and Fantom networks.
This action comes as a response to a previous incident that occurred in May, during which Multichain experienced what they referred to as a “force majeure” or an attack, resulting in the unavailability of certain cross-chain routes on their bridge. While Binance has not provided a specific reason for halting support, their announcement briefly acknowledged this incident.
Multichain issued a statement at the time of the incident, stating:
“While most of the cross-chain routes of the Multichain protocol are functioning well, some routes are currently unavailable due to force majeure. We are uncertain about the exact time for service to resume. Once the service is restored, pending transactions will be automatically credited. Multichain is committed to compensating affected users, and details of the compensation plan will be announced in due course.”
Shortly after the incident, concerns were raised as Multichain was unable to locate its CEO, and there have been no updates regarding his whereabouts since then. The company expressed their challenges in maintaining the protocol’s operations due to unforeseeable circumstances and the inability to establish contact with CEO Zhaojun and access the necessary servers for maintenance.
Binance has stated that the suspension of these tokens will remain in effect until further notice, indicating the uncertainty surrounding their future availability.
Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.