Nigerian crypto exchange Patricia has raised suspicions following its newly launched Patricia Stablecoin labeled PTK and its unilateral decision to convert users’ funds to its stablecoin without its users’ consent.
Patricia’s Dubious Move
In May 2023, the Nigerian exchange Patricia reportedly fell victim to a hack and reportedly lost close to $2 million. During this period, clients and users faced a lot of difficulties gaining access to their funds as Patricia froze all withdrawals in its platform and provided a statement to assure its worried users about the situation of their funds.
However, Patricia users were still able to withdraw their funds via the crypto exchange’s newly launched app known as Patricia Plus App, but only a few withdrawals were processed as the platform could not process all withdrawal requests.
A few months after the hack, Patricia announced the introduction of its native token Patricia Token (PTK) on August 18, a stablecoin pegged to the US dollar, as a means to rectify its inability to meet user withdrawals. Although connected to the exchange’s trouble relating to money, it also seems like the token was launched for fundraising purposes.
However, following the introduction of its stablecoin, Patricia has unilaterally converted its users’ funds to its newly launched stablecoin without seeking consent from its users, sparking speculation about the token’s launch and a potential exit scam.
The exchange took to X (formerly Twitter) on August 18, 2023, informing its users that all current outstanding BTC and Naira balances will be recorded in Patricia Token.
These actions have raised lots of criticism among the crypto community as some community members already flagged th
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Author: Scott Matherson
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