Freeway, a cryptocurrency staking platform, has paused withdrawals citing crypto and forex market volatility. The sudden move of the project is signaling another rug-pull in the crypto space.
The cryptocurrency project offers ‘Superchargers’ with an annual yield of up to 43 percent. It takes deposits in both fiat and cryptocurrencies, putting them in regulated brokerage accounts.
According to the announcement on October 23, the platform is halting buys and deposits too. Further, the project will “not be buying Supercharger simulations until our new strategies are implemented.”
Freeway is a lesser-known project in the broader cryptocurrency market. The sudden event also resulted in around an 80 percent price drop in the native Freeway (FWT) token of the platform. Before the crash, the project had a market cap of less than $70 million, which came down to only $10 million.
The project’s website claims that it had $160 million in total locked value.
A Small Yet Significant Crypto Project
However, the project does not have any significant whales holding its tokens. Most of its 4,342 token holders received airdrops and kept the holdings primarily ideal.
In the latest announcement, the platform said it is exploring new strategies by diversifying assets and managing “exposure to future market fluctuations and volatility.” However, it did not provide any details.
“We will notify you when we are ready to recommence partial Supercharger simulation purchases (buy-backs) and then again as we can recommence full Supercharger simulation purchases as well as on platform Freeway Token (FWT) Deposits and Buys,” the project said.
However, an enormous red flag of the project came as its administrator started to pull down details of the team.
“The whole team are working very hard with the intention to recommence partial Supercharger simulation purchases (buy-backs) and then to again be able to recommence full Supercharger simulation purchases,” the moderator of the project added.