Crypto exchange KuCoin confirmed that the address allegedly responsible for launching thousands of memecoin scams belongs to one of its users. However, the exchange will not freeze the user’s assets without any official notice from law enforcement.
On April 26, a Twitter user identified a wallet address that launched two to five memecoins daily for two years. Another community member pointed out that the wallet addresses were “owned and controlled” by KuCoin. At the moment, blockchain explorer Etherscan has already marked the said address as a fake phishing wallet.
According to KuCoin’s Johnny Lyu, while the address belongs to one of the platform’s users, it will not freeze the account until it receives a notice from the relevant authorities. Lyu explained,“When the reporting party has provided relevant legal documents, procedures, or reporting records, we will assist and cooperate with law enforcement agencies to take temporary risk control measures in accordance with complaints and reports, user agreements and Seychelles laws.”
In addition, the exchange said that if community members encounter any suspicious behavior, they must report it to the police and submit the relevant materials to its team. Lyu added that KuCoin would be pleased to cooperate after receiving the required documents.