A former employee who said they had worked at WebSea, JuCoin and CoinUP alleged that some smaller crypto exchanges use platform tokens, discounted sales, high-yield products, copy trading and multi-tier agent structures to attract and retain user funds. The account alleged withdrawal restrictions during WebSea’s 2024 crisis, difficulties withdrawing profits at JuCoin and token-purchase requirements for some CoinUP agents before the CPX token later plunged. The unverified allegations highlight risks linked to exchange-issued tokens and withdrawal policies, while warning users to scrutinize claims of principal protection, high returns and discounted token sales, particularly during bear markets.