Mars Finance reports that on September 14, Arc Chain’s Launchpad Long posted on X to address community concerns regarding its project. It stated that stock tokens issued on Arc are 1:1 backed by actual stocks held in Robinhood, verifiable on-chain via a cross-chain vault, and可双向1:1兑换 with Robinhood Chain. Longdotsupply will serve as the permanent issuer of these cross-chain stocks, eliminating the need for holders to migrate their tokens in the future. Additionally, the official attributed the low stock prices on Arc to a roughly 2x premium on native on-chain USDC, and stated that the premium would normalize after the Arc mainnet and USDC cross-chain bridge open on September 16, at which point liquidity will be added to CRCL/USDC. However, the tweet did not address other concerns regarding potential risks in the underlying protocol of its cross-chain bridge. Today, renowned crypto KOL Bonk Guy promoted Arc Chain’s Launchpad Long, causing its market cap to surge 27x in a short time; several wallets that positioned themselves a day earlier recorded paper profits of hundreds of thousands of dollars, while multiple community members raised concerns about significant security vulnerabilities within the protocol.
Arc Chain Launchpad Responds to Criticisms, Attributes Token Discount to USDC Premium
MarsBitShare
Summary
Arc Chain Launchpad Long addressed on-chain news concerns on X, confirming that stock tokens are 1:1 backed by assets held by Robinhood and redeemable via cross-chain vaults. The team attributed the lower token prices to a 2x premium on native USDC, expecting normalization after the mainnet and USDC cross-chain launch on September 16. The response did not address cross-chain bridge risks. Following Bonk Guy’s promotion of Long, the token launch triggered a 27x surge in market cap, with some wallets earning tens of thousands, though security concerns persist.
Source:Show original
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information.
Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.