The price of KuCoin cryptocurrency exchange's own token, KCS, has dropped more than 15% in the past seven days following the bankruptcy rumors. KuCoin is the fifth largest cryptocurrency exchange in the world, with a trading volume of $ 928 million in the last 24 hours. The KCS token is the 50th ranked cryptocurrency on CMC with a market cap of $858 million.

However, earlier this week, rumors started circulating on Twitter that KuCoin will stop withdrawals as it is about to go bankrupt. KuCoin CEO Johnny Lyu responded to the allegations by saying that the company has no partnerships or investments with LUNA, 3AC or Babel. KuCoin CEO described the allegations as FUD and stated that caution should be exercised. KuCoin CEO tweeted;

   "Be aware of FUDs!

Not sure who's spreading these sheer rumors, and what their intentions are, but #KuCoin does not have any exposure to LUNA, 3AC, Babel, etc.

No “immense suffer” from any “coin collapse”, no plan to halt withdrawal, everything on KuCoin is operating well."

kucoin-headline

KuCoin CEO also shared some new information about the stock market;

   "Some recent facts about #KuCoin and you can make your own judgment:
- We finished $150 M fundraising at $10 B valuation in May
- We are one of the few platforms that are still hiring
- We are more active in the bear market, launching new features like OCO order, fiat pair..."

KuCoin Johnny Lyu

KuCoin CEO ended his tweet series with an emphasis on transparency;

   "Being transparent is always one of our key principles. We will soon publish our 2022 H1 review report where you can know more about our operations.

For FUDers who intentionally spread unverified info, KuCoin reserves the right to take legal actions.

Don't FUD, BUIDL."

After the CEO's statements, the KCS token showed some signs of recovery. At the time of this news, the KCS price was trading at $8.88.

The KCS token hit its highest level (ATH) in December last year, reaching almost $30. However, the token has lost nearly 70% of its value since then, like many other cryptocurrencies.