• The Fantom Foundation removed millions of dollars in crypto from a trading pool for the native token of Multichain.
• Users of Multichain have reported delays in withdrawing their crypto assets due to an upgrade taking longer than expected.
• Major on-chain moves correspond with a plummet in MULTI’s trading price.
Fantom Foundation Removes Liquidity
The Fantom Foundation – the team developing the Fantom blockchain – removed millions of dollars in liquidity from a trading pool for the native token of Multichain on Wednesday. According to Etherscan, a wallet controlled by the foundation removed nearly 450,000 of MULTI and 1,363 ether from a liquidity pool on decentralized exchange SushiSwap.
Delays Withdrawing Crypto Assets
Users of Multichain have reported days of delays in withdrawing their crypto assets from the protocol, which helps them move assets between the Fantom and Ethereum ecosystems. The current upgrade is taking longer than expected, causing these delays.
Plummet in Trading Price
Major on-chain moves correspond with a plummet in MULTI’s trading price; it has fallen over 28.5% in the past 24 hours, down to $5.04. Other top holders have been sending Multichain’s governance token to exchanges, including one whale with 494,200 tokens ($2.75 million) as well as digital asset firm Hashkey Capital, whose position was worth $221,000 at the time.
Reaction to Movement
The movement sparked some concern among users and investors about stability of Multichain’s cross-chain bridging protocol; however no comments were made immediately following news breaking out about this event by representatives of Multichain or by those associated with Fantom Foundation who are responsible for this action taken by them.
In conclusion it can be said that while there is some uncertainty surrounding this situation caused by delay in transaction process due to ongoing upgrading process and major movements seen on chain , yet no comment has been made by either parties involved . This event can definitely lead to further investigation into cause behind these actions taken but only time will tell what effects will be seen due to such changes .