Cryptocurrencies

Several executives of the Bybit cryptocurrency exchange made changes

Several executives at cryptocurrency exchange Bybit have changed their positions after the erroneous withdrawal resulted in more than $26 million in payments to users.

Reports of leadership changes at the stock exchange first appeared on May 31. A Paybit spokesperson told Cointelegraph that the company updates its business structure “regularly”:

“With the team, we made a common commitment to place the right people in the right positions. (…) This improvement has led to certain changes in leadership roles, which we consider necessary. (…) The affected team members will not leave the company but will occupy other internal positions.

The changes follow the failed release of Notcoin (NOT), a for-profit gaming token built as a Telegram Mini app. Bybit explained in a statement that the airdrop was delayed due to system maintenance and unusually high transaction volume:

“The airdrops were distributed to users whose transactions took place during scheduled system maintenance. As a result, it takes more time to accurately reconcile and reflect all balances.

The delay in token distribution resulted in a drop in the trading price for those who received their tokens later. The balance issue affected 320,000 users, according to the exchange. In response to the incident, PayBit ​​revealed a $26 million compensation plan on May 17.

“The total compensation of approximately US$26 million will be processed within 3 business days and emails will be sent to you. “Once again, we apologize for the problem this caused and we will dig deep internally to ensure this does not happen again,” wrote Ben Zhou, CEO of Bybit.

Source: Ben Zhou

The stock market is facing a difficult month. On May 22, Zhou dispelled rumors on X that Bybit was insolvent or hacked. The rumors were largely based on a misinterpreted chart suggesting funds were being drained from stock portfolios.

In response, Bybit shared proof of reserves and Nansen dashboard data showing that it holds more than 100% of all assets needed to cover all deposits.

A few days ago, on May 16, PayBit ​​​​was facing regulatory challenges in France. The Financial Markets Authority (AMF) has reiterated its warning against blacklisting the country’s stock exchange.

review: Catastrophe of Bybit’s Notcoin listing, profits of a Chinese company multiplied by 12 after the buyout of the cryptocurrency: Asia Express

Leave a Reply

Your email address will not be published. Required fields are marked *