RMRK Founder’s Tokens Locked After WLFI Flags Address as High-Risk
RMRK founder Bruno Skvorc reported that his wallet was labeled high-risk by World Liberty Financial (WLFI), leading to an automatic token freeze. On-chain investigator ZachXBT criticized overreliance on compliance tools, noting that high-risk tags are often inaccurate and can harm reputations if misapplied. WLFI has blacklisted 272 wallets so far to prevent potential losses. The incident highlights flaws in blockchain compliance and the need for more precise risk assessment.
Neutral
The WLFI labeling incident affects a single project’s compliance process without broader market triggers. While the RMRK token freeze may cause short-term uncertainty among holders, the issue likely resolves once misclassification is corrected. Similar past compliance mishaps have had limited impact outside the affected tokens. Overall, this event is unlikely to shift broader crypto market trends in either direction.