EdgeX Token Crash Sparks Community Backlash and Calls for Transparency

EdgeX, a cryptocurrency exchange, faced a significant market crisis on June 2 when its native token, EDGE, plummeted by 71% in an hour. The incident report, released shortly after the event, attributed the crash to a combination of factors including thin liquidity on decentralized exchanges and high-leverage perpetual contracts.

According to the report, the team's token allocation remained unchanged throughout the event, and all user assets were secure at all times. However, the community is not convinced by the explanation, with many users calling for more transparency and accountability from the exchange.

The establishment of a $200,000 bounty pool aimed at identifying the attacker has been seen as a positive step by some, but others remain skeptical about the team's involvement in the incident. The controversy surrounding EDGE is not new, having faced a previous price manipulation scandal earlier this year, which further eroded trust among users.