KuCoin has not paid $2M award tied to delisted token dispute, investor says

KuCoin has not paid a $2.04 million award to a Swiss investor stemming from a dispute over a delisted token, according to a statement from the investor's legal team on June 12, 2024. The Seychelles Court of Appeal ruled in March 2024 that KuCoin could not claim unwithdrawn tokens as abandoned property, upholding an earlier arbitration award. The investor, identified as a Swiss national, had sought the return of approximately 1.1 million tokens valued at $2.04 million at the time of the token's delisting. KuCoin had previously frozen the tokens after delisting the asset, which was identified as a "security token" by the U.S. Securities and Exchange Commission (SEC) in 2023. The investor's legal team stated that KuCoin has failed to comply with the court order and that they are considering further legal action to enforce the judgment. This case highlights ongoing tensions between cryptocurrency exchanges and users regarding asset custody and the handling of delisted digital assets.