Wemade Co. Ltd. announced on Sunday that Binance Institutional Services will take custody of its native cryptocurrency, WEMIX, amid the South Korean blockchain game maker’s ongoing legal dispute against local cryptocurrency exchanges.
- The world’s largest cryptocurrency exchange Binance’s institutional custody service, Binance Custody, will manage WEMIX and verify its circulation volume as early as next week, Wemade said.
- About 70% of WEMIX’s total supply, which is 92% of the cryptocurrency that is not in circulation, will be managed by Binance Custody, while the rest are either bound to smart contracts or to external entities, according to Wemade.
- Wemade, the blockchain game specialist behind the popular play-to-earn role-playing game MIR4, has been attempting to improve the transparency of its token’s controversial circulation, which has been a primary subject in the company’s legal battle against four of the largest exchanges in South Korea: Upbit, Bithumb, Coinone and Korbit.
- On Nov. 24, the four exchanges that make up the local industry monitoring group, the Digital Asset eXchange Alliance (DAXA), vowed to delist Wemade’s cryptocurrency, citing inaccurate reporting of circulation data.
- The prices of WEMIX and shares of the game developer’s subsidiaries suffered heavy losses following the news, as Wemade Chief Executive Officer Henry Chang called out Upbit, the largest exchange in the country, for abusing its powers. Chang has admitted that his company’s misreported circulation data.
- Last week, Wemade filed injunctions against the exchanges to invalidate the decision to delist WEMIX. The Seoul Central District Court is expected to finalize its decision on the injunction on Dec. 7, a day before the planned delisting.
- Meanwhile, Chang is planning to commit to quarterly “Ask Me Anything” conferences, according to local media reports.