Upbit flags IOST for caution ahead of layer-2 transition
Summary
Upbit has issued a caution regarding the Internet of Services Token (IOST) following a warning from the Digital Asset eXchange Alliance (DAXA) aimed at protecting investors. IOST, focused on decentralized applications, is transitioning to a layer-2 blockchain, which will involve issuing 21 billion new tokens and may cause short-term price volatility. Upbit advised investors to be cautious due to potential significant changes in token structure and market value. DAXA flags assets undergoing structural changes to safeguard traders. The IOST team plans to issue new tokens for validator rewards, user incentives, and ecosystem development, with 60% allocated for validator rewards and the remainder distributed among various initiatives.
