Poloniex delists own WBTC product following depeg

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—by Protos Staff

Following Protos reporting about Wrapped Bitcoin on Tron (WBTC) depegging on Poloniex, the Justin Sun-owned firm behind the product appears to have removed this asset from trading. 

The previously available WBTC/BTC pair looks to have been removed entirely, and the WBTC/USDT pair currently states, “Currently trading for WBTC/USDT is disabled. The price may not reflect current market.”

It’s not clear if it’s currently possible to redeem WBTC for BTC through Poloniex.

Additionally, Poloniex has yet to complete the promised proof-of-reserves process and still hasn’t disclosed where it stores the bitcoin supposedly reserving this product.

Poloniex proof-of-reserves and WBTC backing missing

Read more: Poloniex WBTC depegs threatening Justin Sun’s empire

WBTC, managed by Justin Sun-owned Poloniex, currently makes up over half the bitcoin on Sun-connected exchange HTX. Additionally, there’s approximately $5.36 billion worth of the product on Sun-launched JustLend.

This opaque financial instrument connects a number of Sun-affiliated entities and projects in a way that raises concerns about the management of both the instrument and the entities.

Protos has reached out to Poloniex to determine where the reserves for this product are held, if it is still possible to redeem, and why this asset was delisted for trading. At press, Poloniex had not responded.

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