In a sudden and unexplained move, BitForex, a Hong Kong-based cryptocurrency exchange, has suspended withdrawals for its users for at least three days. This abrupt decision comes after a massive withdrawal of funds from the platform, estimated at around $56 million in cryptocurrencies, sparking a wave of concerns and speculation within the cryptocurrency community.
An unexpected stop
On February 23, blockchain analyst ZachXBT revealed on This revelation was accompanied by an increase in reports of users experiencing varying issues, ranging from being unable to access their accounts to having no assets showing on their dashboard at all.
Aggravating communication problems
Since May 2023, the exchange's X account has not been updated, leaving users without official information. On the official BitForex Telegram channel, many users shared screenshots indicating that they were blocked from accessing the company's website. Cointelegraph, attempting to access the BitForex site, encountered the same problem, although some specific pages of the site were still active.
A year of turbulence
As of September 2023, BitForex ranks among the largest cryptocurrency exchanges in the world by capitalization, with a daily trading volume of approximately $2.6 billion in crypto. However, since an April 2023 indictment by the Financial Services Agency of Japan (FSA) for violating fund settlement laws, BitForex has avoided significant attention from regulators and media.
Comparison with other exchanges
This situation echoes that of another Hong Kong exchange, Atom Asset Exchange (AAX), which transferred approximately $55.6 million in Ether from its wallets before ceasing all operations in 2022. The closure of AAX, followed by the arrest of its leaders, reminds us of the risks associated with the cryptocurrency industry.
Conclusion: between worry and vigilance
The sudden cessation of withdrawals on BitForex raises serious questions about the stability and reliability of cryptocurrency exchanges. As the community searches for answers, this event highlights the importance of due diligence and caution in the volatile world of cryptocurrencies. What happens next will be crucial in determining the long-term impact on user confidence in these exchanges.
