Synthetix (SNX) Listed as High-Risk Investment on Upbit, Bithumb, and Coinone

# Leading South Korean Crypto Exchanges Label Synthetix Network Token (SNX) as Investment Warning Asset, Halt Deposits South Korea's top digital asset exchanges, Upbit, Bithumb, and Coinone, have collectively labeled the Synthetix Network Token (SNX) as an "investment warning" asset and have suspended its deposit services starting April 24. This action is in accordance with guidance from the Digital Asset eXchange Alliance (DAXA), a collective organization representing national exchanges to protect investors. DAXA implements protective measures for investors, including issuing advisories, marking assets as investment warnings, and, if needed, discontinuing trading support. The exchanges pointed to multiple reasons for marking Synthetix as a concern, highlighting issues related to its stablecoin sUSD, the limited utility and functionality of the cryptocurrency, and doubts about the project's feasibility and sustainability. # Concerns Over Business Viability and Stablecoin Depegging The Synthetix Network Token is collateral for sUSD, a stablecoin in the Synthetix ecosystem intended to keep a 1:1 peg with the U.S. dollar. However, sUSD has had extended periods of depegging, where its value diverges from the $1 benchmark. Bithumb and Coinone jointly stated, "sUSD's prolonged depegging, coupled with concerns about the project's credibility and long-term viability, shows significant weaknesses." Upbit similarly noted, "sUSD’s value no longer aligns correctly with its intended peg, causing volatility in Synthetix's value and increasing the risk of user losses." The exchanges collectively determined that the risks associated with Synthetix warranted its classification as an investment warning asset due to its potential to harm investors. # Deposit Suspension and Future Procedures Upbit, Bithumb, and Coinone have all halted deposit services for Synthetix as of 3 p.m. on April 24. This warning period is predicted to last until the final week of May (May 26–30). In this period, the exchanges will reevaluate the situation by ascertaining the facts and engaging in a formal explanation process. Based on their findings, they may remove the warning designation, extend it, or decide to delist Synthetix entirely. Users should note that any SNX deposits made after the suspension will not be reflected in their exchange accounts and may be irrecoverable. The exchanges urge investors to exercise caution and emphasize that updates on subsequent procedures and reviews will be communicated through official notices. This action underscores the increasing scrutiny by South Korean exchanges over cryptocurrencies and projects that pose risks to investor protection and market stability.