Korea’s “cage pumping” crypto market manipulation, Chinese exchange grooming scandal, 67K scammed in Indian pig butchering con. Asia Express.
Major cryptocurrency exchanges are under fire over allegations that they gave leveraged platform-locked funds to university students in China to encourage speculative trading. The controversy has drawn comparisons to the countrys campus lending scandal nearly a decade ago, when students burdened with debt were offered exploitative naked loans in exchange for nude pictures as collateral.
Bruce Xu, co-founder of ETHPanda, claimed that centralized exchanges were giving students non-withdrawable trial funds for futures trading. Profits could be kept, and students who posted high-return screenshots on WeChat were reportedly offered additional rewards. Xu called the model a way of grooming the next generation of gambling degens.
Crypto media outlet BlockBeats called on all exchanges to halt any trial fund promotions targeting students, describing the campaigns as exploitative of a financially inexperienced demographic.
