Journalist Couldn't Find KuCoin's Office at Hong Kong

Company said in response that it's just a mailing address and the company is operated from office in Singapore
13 August 2018   366

Independent journalist Jackson Won suspected the KuCoin currency exchange in a fraud. After the investigation, he did not find the company's Hong Kong headquarters at the registered address.

Having visited the office at the address specified in the register of Hong Kong companies, Jackson found only the companies Rich Moral CPA and Smart Team International Consultants in the Kyu Fu commercial center. The latter is indirectly linked with KuCoin due to cooperation with a partner of the company Smart Team Secretarial.

Employee of Rich Moral CPA told the journalist that the Smart Team left the premises several years ago. She also stated that during her time she had not heard anything about crypto-currency companies, including KuCoin, and their possible location in the building.

If they have really been in Hong Kong, the Securities and Futures Commission of Hong Kong (SFC) would already have taken a move on them and suspended their trading activities since they do not have a licence here in Hong Kong. See this SFC notice for reference.
 

Jackson Won

Journalist

The journalist suggested that KuCoin employees work either from Sichuan in China or remotely at home in Hong Kong. But the latter option, in his opinion, is unlikely, since representatives of KuCoin do not have Hong Kong ID cards or passports.

If KuCoin is really situated in Hong Kong, they wouldn’t have been able to escape the radar. We would at least have seen some news report or promotion about this exchange whatsoever. But KuCoin has been very shady, and we have never seen them on a single piece of news. When we decided to look up their company search records previously, it already looked very fishy as none of their directors have Hong Kong names nor do any one of them reside in Hong Kong. For Chinese nationals to live in Hong Kong, they actually need either a working visa or to apply for a citizenship of Hong Kong. It’s not like they can just come and go when their registered residential address is in Sichuan of China. (Yes, Hong Kong has its own border too.)
 

Jackson Won

Journalist

He also noted that inside the crypto community of Hong Kong doesn't discuss the exchange, and in the news sources there are no advertising of campaigns platform.

Won said that the above arguments may indicate future machinations from KuCoin, for example, the closure of the exchange with the freezing of customer funds.

In turn, the KuCoin team published a response to the article by Jackson Vaughn.

There have been rumors that KuCoin’s central office in Hong Kong is empty. In fact, KuCoin’s public address in Hong Kong is merely a mailing address of one of KuCoin’s many subsidiary companies. KuCoin Headquarters is in Singapore. KuCoin has always been a global firm, with over 300 employees and four major offices in China, the Philippines, Singapore, and Thailand.
 

KuCoin Team

This information is confirmed by a statement on the KuCoin blog of April 12, 2018, in which the company introduces the members of the team to the main office in Singapore and shares plans for business development.

Kucoin to sent Unefficient Tokens for a Timeout

Kucoin exchange has devised a new method of dealing with underperforming tokens: inspite of being delisted, the tokens will be sent to a “special treatment area”
04 May 2018   843

Once placed on the token equivalent of the naughty step, they will be given an  opportunity to buck up or risk being permanently removed. Cryptocurrency that display a low trading volume can expect placement in a special treatment (ST) area by Kucoin.

As well as tokens whose team run into legal difficulties or go AWOL. It’s the first step towards delisting, though assets will get a chance to earn a reprieve. Coins that are moved to the ST zone will have a special mark giving the traders notice that there’s a risk of removal.

Kucoin’s new policy has been supported by many traders, as it adds transparency and provides warning of assets that can be purged. A number of exchanges delist coins at short notice and with little or no explanation. 

Kucoin named 8 reasons why a token may be moved to ST area. Among them:
1. Negative Trading Volume for some period of time.
2. Stop of business activities for 3 months.
3. In liquidation, insolvent, bankrupt or otherwise subject or in a position to become subject to bankruptcy proceedings.
4. Negative views by the company auditor.
5. Inability to submit the updates reports in accordance with the requirements of the Exchange in terms of project development, status of the team and status of listing entity for a consecutive certain period of time.
6. The team of the project is seemed to be fired.
7. Any act supposed as malicious operation to the market.
8. Any other situation as determinate by the Exchange from time to time.

During the resent few months Kucoin is being adding tokens faster than any other major exchange. It is probably caused by the platform’s willingness to accept virtually any token that it now finds itself having to remove the worst performers.