Multichain Delays Impact Token Price Amidst User Concerns

Multichain's Cross-Chain Fund Delays

Multichain, previously known as Anyswap, has encountered unexpected delays in its cross-chain fund transfers, causing concern among users. The delays stem from an ongoing upgrade of the backend nodes, which is taking longer than anticipated. Despite the majority of routes functioning normally, routes such as Kava, zkSync, and Polygon zkEVM have been temporarily suspended.

User Reassurances and Technical Updates

Multichain has assured users that their funds remain secure and that efforts are underway to complete the upgrades. With one router left in the upgrade process, the team is focused on resuming all transactions once the updates are finalized. Communication through Discord and Telegram has been maintained to keep users informed about the progress.

Impact on Multichain Token Price

The delays have coincided with a significant decline in the price of the Multichain (MULTI) token, dropping approximately 20%, from $7 to $5.63. On-chain analytics have observed substantial trading activity, with several entities selling large quantities of the token on both centralized and decentralized exchanges.

Notable Token Transactions

Several significant transactions have been noted, including a transfer of 494,200 tokens valued at $2.75 million to the Gate.io exchange. Another notable sale involved 36,200 tokens, amounting to $200,000. Such activities have contributed to the downward pressure on the token's price.

BitKeep's Precautionary Measures

In response to the ongoing issues, BitKeep has temporarily halted support for Multichain's cross-chain channels to protect user security. However, BitKeep has clarified that their own cross-chain bridge function remains unaffected and operational.

The situation underscores the importance of timely upgrades and effective communication in maintaining user confidence and ensuring the stability of digital assets.