After Multichain’s CEO was arrested by Chinese police and the development team announced that Multichain would be shut down, one of the worst affected altcoins, Fantom (FTM), released an official statement.

Fantom announced that it had frozen $60 million worth of stablecoins in response to the arrest of Multichain’s CEO and the subsequent shutdown of its protocol.

The shutdown affected multiple projects that relied on Multichain for cross-chain transactions, including Fantom.

In an official statement, Fantom said it was “deeply disappointed” by the news and was working to protect its users and partners from potential losses.

The statement said that Fantom contacted the issuers of the three most popular stablecoins USDC, USDT and TUSD and confirmed that they had frozen the assets in the multi-chain wallet.

Fantom also said it is in contact with various sources and Multichain employees to gain more clarity on the situation and offer support where possible.

The statement also stated that Fantom will make further announcements on its plans to help the Opera Chain community and developers in the coming weeks.