The cryptocurrency market is buzzing about a recent announcement from South Korea's Bithumb regarding Self Chain (SLF) being designated as a closely monitored asset.
What’s Happening with Self Chain Crypto?
Bithumb has announced Self Chain (SLF) is now under heightened observation due to several specific concerns related to the project. The assessment included factors such as the issuer’s social credibility, the disclosure of smart contract code, and control over major event functions. These aspects indicate areas where the project may need to improve or provide further clarity.
Understanding a Closely Monitored Asset Status
When a digital asset is labeled as closely monitored, it indicates potential risks identified by the exchange. This is a precautionary measure rather than an immediate delisting, but it serves as a warning to both the project team and investors. Bithumb has stated that SLF deposits will be suspended starting August 7 at 06:00 UTC, although trading and withdrawals may still continue for a while.
How Does Bithumb Decide on Monitoring?
The decision by Bithumb to monitor Self Chain stems from a rigorous internal review process. This involves evaluating various aspects of a project's health and compliance to ensure a safe trading environment. Such proactive measures are essential in safeguarding investors from potential pitfalls.
Bithumb's monitoring of Self Chain highlights the evolving regulatory landscape in the cryptocurrency market, emphasizing the need for exchanges to protect users and maintain market integrity.
