The bull market has arrived, but some couldn't hold on? Even the 9-year-old platform LBank couldn't withstand it!
Recently, the market looks really strong, with Bitcoin and Ethereum both rising, and there's a cheer in the market, feeling like the bull market has truly come. But just when everyone is celebrating, news suddenly breaks - LBank, this well-established exchange that has been operating for 9 years, actually couldn't hold on!
Due to the need for the platform to comply with relevant regulatory requirements, LBank has decided to suspend $LBK trading and withdrawals! In simple terms, it means LBank couldn't take it anymore and is going to close down and liquidate, repurchasing the $LBK (platform token) in users' hands at 1.2 times the average purchase price, to be completed within 6 months.
As soon as this news came out, the cryptocurrency community exploded. It's important to note that LBank is not a small-time exchange; it was established in 2015 and survived the 2018 bear market and the 2020 crash on March 12. But unexpectedly, just as this bull market is starting, it fell first?
The bull market sacrifices its own, with boundless magical power - veteran investors in the cryptocurrency space understand this rule; every bull market must have a few unfortunate souls eliminated first. But it was unexpected that this time it would be an established exchange like LBank. In simple terms: it couldn't continue, putting on a final show before closing down.
Now everyone is guessing:
1. Where will the repurchase money come from? A 1.2 times repurchase sounds good, but who knows what the cryptocurrency market will look like in 6 months? What if LBank runs out of money by then?
2. Who will be the next to fall? The bull market has just begun, and an established exchange couldn't hold on; will there be bigger shocks ahead?
3. Is it still safe to touch platform tokens? Since even an old token like $LBK has collapsed, are other small exchanges' platform tokens even more dangerous?
In short, while the bull market is lively, the risks haven't diminished at all. When others are greedy, I am fearful; even when making money, one must stay alert and not just focus on FOMO (fear of missing out), or end up becoming the one left holding the bag.
