It is making the rounds on crypto twitter that apparently exchange OKEx is demanding that some smaller coins need to increase their trading volume or be delisted. This of course has caused considerable backlash from twitter, as well as accusations against other exchanges.
It all began when Rahul Sood from Unikrn, which develop the Unikoin Gold token, went on to twitter to reveal OKEx had given them an ultimatum to increase their volume or else. This got picked up and retweeted by Luke Martin, aka VentureCoinist.
Exchanges requiring tokens to increase volume or be delisted. I knew it was a requirement to get listed but didn’t know they enforced it like this.— Luke Martin (@VentureCoinist) November 29, 2018
Looks like @BittrexExchange is playing the long game. Smart and safer approach. https://t.co/uXqICyyyvk
In Sood's original thread he went on to elaborate on his grievance as well as call out Kucoin as well.
The fact that OKEX charges token teams massive listing fees then forces them to fake liquidity is 😂.— Rahul Sood 🦄 (@rahulsood) November 29, 2018
Exchanges need to stop robbing token teams & start building platforms to enable innovation & access.
They need real tokens like $UKG more then we need them.
To the exchanges that are delisting us unless we boost volumes by any means necessary, you shall be named.— Rahul Sood 🦄 (@rahulsood) November 29, 2018
What a dumb way to grow your business.
Meanwhile in Luke Martin's thread, users related other examples of this extortion and generally called out the behavior.
@Encrypgen had the exact same thing. They were told to pay for market making or they'd get delisted.— Nomad (@Frequent_nomad) November 29, 2018
The company said they are releasing product, hitting all milestones and were delivering a working product, and that was priority.
Kucoin and okex not interested, delisted them
Kucoin have threatened 46 tokens and demanded "liquidity management" or delisting.— Daniel Abela (@DanielAbela82) November 29, 2018
It was further suggested that this is the exchanges panicking due to lost revenue from the recent bear market.
Bribe or wash trading demands, not actually sure what they want but it's nothing "organic". They seem to be panicking about losing revenue in this bear market so they have their hands out. They also suggest a 10 BTC trading "promotion" which is just another method of fake volume.— Daniel Abela (@DanielAbela82) November 30, 2018
Whatever the case, if these allegations are true it would be another reason for traders to stick with exchanges that adhere to ethical practices. Which ones those are, each trader will have to decide.