KuCoin is in the news again after it released guidelines and criteria for its loyal users to claim an earlier promised $10M worth of Bitcoin (BTC) and KuCoin Shares (KCS) in rewards.
For context, the trading platform had announced the coin giveaway for committed users as a compensatory move to mitigate the impacts of its ongoing legal dispute involving the U.S. Department of Justice (DOJ) and the Commodity Futures Trading Commission (CFTC).
Notably, the DOJ had charged KuCoin for breaching the Bank Secrecy Act and running an unlicensed money-transmitting firm. On the other hand, the CFTC had sued the trading platform on the counts of Commodity Exchange Act violations.
Writing on X, Johnny Lyu, the Chief Executive Officer (CEO) at KuCoin, appreciated users for sticking with the exchange despite all odds. The CEO noted that the airdrop will be distributed among KuCoin users who experienced unusual delays while initiating withdrawals on the exchange between March 26 and March 28, 2024.
Airdrop Details
According to the airdrop peculiarities on KuCoin's announcement page, users will get between $5 - $200 BTC/KCS equivalent depending on the withdrawal congestion time experienced by each customer. The notice added that the distribution would conclude within a week.
As stated earlier by the CEO, eligible users must have experienced withdrawal congestion between March 26, 22:00, and March 28, 00:00 (UTC+8). However, contrary to the earlier speculated $10M, the airdrop will be worth $8.95 million BTC/KCS equivalent.
Qualified users will receive the rewards as token vouchers, which can be exchanged in a 1:1 ratio for BTC/KCS tokens within seven days. Eligible users can log in to their KuCoin wallet to claim the rewards under "My Coupons."
Meanwhile, the KuCoin team warned that depending on users' location, there might be regulatory constraints in distributing the airdrop to some qualified users.
Another Airdrop Might Roll out Next Week
While the initial plan was to reward users who might have experienced delays in concluding withdrawal transactions, the trading platform hinted at another round of giveaways for users with significant holdings in their accounts during the specified period and did not initiate any withdrawal.
At the time of reporting, plans for the proposed airdrop are still scant. Nevertheless, KuCoin's team noted that details will roll out next week.
