After the CEO of Multichain was arrested by the Chinese police and the developer team announced that Multichain would be shut down, one of the most affected altcoins, Fantom (FTM), made an official statement.
Fantom has announced that it has frozen $60 million worth of stablecoins in response to the arrest of Multichain's CEO and the subsequent shutdown of its protocol.
The shutdown affected several projects that rely on Multichain for cross-chain transactions, including Fantom.
In an official statement, Fantom said it was “deeply disappointed” by the news and was working to protect its users and partners from potential loss.
In the statement, it was stated that Fantom contacted the issuers of three of the most popular stablecoins, USDC, USDT and TUSD, and confirmed that they had frozen assets in their Multichain wallets.
Fantom also said it is in contact with various sources and Multichain employees to gain more clarity on the situation and provide support where possible.
The statement also stated that Fantom will make further announcements in the coming weeks about its plans to help the community and developers at Opera Chain.
*Not investment advice.
