The OKX cryptocurrency exchange recently issued an official statement regarding the significant volatility surrounding the OM Token , confirming that it has discovered clear evidence of organized price manipulation and has now forwarded all relevant documents to regulatory and law enforcement agencies, while initiating necessary legal proceedings.
On December 13th, OKX announced that its risk management team had discovered a group of closely related accounts operating in collusion. These accounts used a large amount of OM as collateral to borrow massive amounts of USDT , thereby creating artificial demand and driving up the price of OM abnormally. This is a familiar manipulation pattern that has appeared in many previous cases in the crypto market, where a group of large investors exploits the borrowing-collateral mechanism to create a short-term price surge, followed by significant volatility.
OKX stated that its risk control system promptly flagged this unusual activity and proactively contacted the relevant account holders, requesting them to implement corrective measures to mitigate market risks. However, the parties involved refused to cooperate. In this situation, OKX was forced to take over the affected accounts to prevent the risk from spreading. Immediately after the control measures were implemented, the price of OM plummeted, causing a major shock to the market.
BingX : A reliable trading platform with a range of benefits for users of all levels.
Notably, OKX emphasized that the exchange only liquidated a very small portion of its OM during the risk mitigation process. Even so, due to the rapid and volatile price fluctuations, the resulting losses were still significant. The entire loss was not passed on to users but was borne entirely by the OKX Security Fund, in accordance with the pre-designed mechanism to protect the overall stability of the system and the interests of investors.
Furthermore, numerous independent analyses from third parties suggest that the OM price crash did not primarily originate from spot trading on OKX, but rather from perpetual contract trading taking place outside the platform. This indicates that selling pressure and leverage effects in Derivative markets played a significant Vai in amplifying the decline, causing the OM price to plummet in a short period.
