OKX Seizes Over 2 Million USDT in Alleged Celestial Token Manipulation Scheme

Market Manipulation Uncovered

In a bold move on February 28, OKX, a major cryptocurrency exchange, announced the seizure of over 2 million Tether (USDT) from five accounts linked to suspicious activities surrounding the Celestial (CELT) token. The exchange claims these accounts were involved in malicious market manipulation—an accusation that isn’t just tossed around lightly in the crypto world, where every coin can be a rollercoaster ride.

New Blockchain Game Sparks Controversy

Things heated up when Celestial developers announced the launch of a new blockchain game on February 26. Shortly after, they allegedly kicked off a social media blitz touting their game using OKX’s branding without permission. It’s like throwing a party in someone’s house without an invitation—awkward, to say the least.

Celestial Token Price Rollercoaster

The fervor around this uninvited promotion nearly doubled the CELT token’s price in just two days. Investors probably thought they hit the jackpot—until the price plummeted more than 50% within 24 hours, dropping to $0.002129. Talk about highs and lows!

Addressing Insider Trading Allegations

Amidst the controversy, some users cried foul over potential insider trading. OKX stepped in, clarifying that their subsidiary, OKX Ventures, had invested $100,000 in the Celestial GameFi project back in September 2021. However, they emphasized that the CELT tokens were deposited without any transactions. Essentially, a shakeup in the crypto space appeared to lead to a thorough investigation.

No Evidence Found

After extensive probing, OKX declared there was “no evidence” to support claims of insider trading among their staff. Yet, to maintain trust, they still froze 714,381 USDT from the implicated accounts. The firm also stated that Celestial would return 1.3 million USDT linked to these questionable dealings.

Restitution Plans for Affected Users

In a bid to make amends, OKX outlined a restitution plan. They will be allocating a total of 3 million USDT to compensate those who weathered the storm. A whopping 2,014,381 USDT seized will be bundled with an additional 1 million USDT straight from OKX’s pockets, making it rain for the affected users who purchased CELT tokens during the chaotic timeframe from 12 AM on February 25 to 12 AM on February 28.

Eligibility for Airdrop

If you jumped on the CELT bandwagon during the aforementioned time frame and ended up with losses, you could qualify for this airdrop. However, OKX acknowledged the intricacies involved and promised detailed information regarding the airdrop within the next 48 hours. Fingers crossed for those eagerly waiting!