In the wake of rising concerns about a potential “rug pull” by IBXtrade, Orderly Network has taken to social media platform X to address the situation.
The company flat out denied any affiliation with IBXtrade or the tokens, asserting, “Orderly Network has never endorsed IBXtrade or tokens.”
This strong disavowal comes as a response to growing suspicions within the crypto community about IBXtrade’s legitimacy. Orderly Network further committed to investigating the situation thoroughly and promised to “take necessary measures to support the community.”
In a decisive move, they also announced their intention to sever any future ties with IBXtrade, emphasizing their commitment to distancing themselves from the controversial platform.
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Community Skepticism and Conflicting Evidence
Despite Orderly Network’s firm stance, the crypto community has expressed skepticism about the truthfulness of their claims. Several users on the X platform have pointed out apparent contradictions in Orderly Network’s statement.
Some community members allege that Orderly Network was previously tagged in IBXtrade’s Twitter bio and had been actively retweeting and quote-retweeting IBXtrade’s fundraising efforts. These actions, if true, would suggest a level of endorsement or support that contradicts Orderly Network’s recent statement.
The discrepancy between Orderly Network’s current position and their alleged past actions has fueled further debate and confusion within the community, raising questions about the nature and extent of the relationship between the two entities.
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Red Flags Surrounding IBXtrade
Prior to this controversy, several red flags had been identified regarding IBXtrade’s operations, contributing to the current suspicions of a potential scam.
IBXtrade.com reportedly operates without proper licensing or registration with reputable financial authorities, a critical omission that leaves clients without the protections typically afforded by regulated platforms.
This absence of regulatory compliance is a significant concern in the financial trading industry, where such oversight is crucial for maintaining transparency and protecting investors’ interests.
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Suspicious Trading Conditions and Lack of Transparency
Further adding to the concerns about IBXtrade are its questionable trading conditions and lack of transparency. The platform allegedly offers leverage ratios far exceeding industry standards, potentially exposing traders to excessive risk.
This practice of offering unusually high leverage is often seen as a tactic to attract inexperienced traders who may not fully comprehend the associated risks. Additionally, IBXtrade advertises unrealistically low spreads, another red flag that suggests the platform may be using deceptive practices to lure in traders.
The lack of transparency regarding IBXtrade’s ownership and management structure is particularly troubling.
With minimal information available about its parent company, it becomes challenging for potential users to verify the platform’s credibility or hold it accountable for its practices. These factors collectively paint a picture of a potentially fraudulent operation.