India’s prime crypto alternate WazirX mentioned Binance carried out the preliminary alternate providing (IEO) for its WRX token and nonetheless controls the token provide.
In a Could 16 assertion, the WazirX crew clarified the token’s administration, saying Binance saved all of the proceeds from the IEO — about $2 million — for itself.
“You will need to word that the WazirX crew hasn’t obtained any token allocations,” the crew mentioned.
WazirX mentioned all of the wallets containing locked and unlocked WRX tokens are managed by Binance. It added that Binance held unlocked the WRX tokens in its account and that the Changpeng ‘CZ’ Zhao-led alternate carried out its quarterly burns.
Binance allegedly holds 580M WRX tokens
Based on the WazirX crew, Binance presently holds 580.7 million items of locked and unlocked WRX tokens — value roughly $74.5 million on the present worth of the token.
Of the unlocked tokens, Binance moved 116.8 million WRX tokens to its treasury in 4 transactions between April 2021 and March 2022.
WazirX added that Binance had did not conduct any of the scheduled quarterly burns for WRX since January 2022.
“We wish to make clear that Binance is chargeable for conducting the quarterly burn of WRX tokens,” it mentioned.
On Could 10, Binance moved the WRX token and 15 others to its innovation zone, citing their greater volatility and dangers.
Binance has but to answer CryptoSlate’s request for remark as of press time.
Binance, WazirX relationship stays murky
In the meantime, the clarification provides an additional twist to the connection between Binance and WazirX. The 2 exchanges have been concerned in a lengthy feud over the possession construction of the Indian alternate.
Whereas the WazirX crew maintains that it’s owned by Binance, the CZ-led agency says it solely affords pockets providers and tech help to the Indian alternate.
The feud culminated within the termination of their relationship in February, with Binance telling WazirX to withdraw its property from the alternate.
In the meantime, WRX is buying and selling at $0.124 and has declined by over 7.1% up to now seven days, in response to CryptoSlate’s knowledge.
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