JuCoin reserve proof challenged as ZachXBT flags withdrawal issues

ZachXBT said users reported withdrawal problems over the past week, while earlier criticism from former Salus CMO Darcy questioned whether JuCoin’s claimed $511 million reserves are mainly self-issued JuChain tokens.

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Summary

JuCoin is facing intensifying scrutiny after on-chain investigator ZachXBT said multiple users reported withdrawal issues over the past week and questioned the credibility of the exchange’s reported roughly $511 million in reserves. Earlier criticism from former Salus CMO Darcy also challenged JuCoin’s 123.81% reserve ratio, arguing that much of the disclosed backing consists of mapped or issuer-deployed USDC and USDT representations on JuChain rather than independently verifiable third-party assets. The combined claims raise concerns about both liquidity access and the quality of assets cited in JuCoin’s proof-of-reserves report.

Terms & Concepts
  • proof of reserves: An exchange disclosure of on-chain holdings intended to help users assess whether customer assets are backed.
  • solvency: The ability of a company or platform to meet its obligations with available assets.
  • mapped tokens: Assets represented on another blockchain, which may or may not correspond to officially issued tokens from the original issuer.