- BitForex team detained in Jiangsu Province on February 23, 2024
- $56.5 million exited BitForex’s hot wallet on the same day
- Withdrawals to reopen; trading, registration, and deposits suspended
- KYC verification mandatory for perpetual contract holders
In a dramatic turn of events, cryptocurrency exchange BitForex has announced plans to reopen for user withdrawals following a detention incident involving its team in China. On February 23, 2024, the BitForex team was detained by the Jiangsu Province police, leading to the suspension of withdrawals and other platform functions. During this period, approximately $56.5 million was withdrawn from BitForex’s hot wallet, causing significant concern among users.
Withdrawal Process Resumes Amid Suspended Services
BitForex issued an apology and detailed the upcoming changes to its services. Effective immediately:
- Trading Suspension: All trading activities on the platform will be halted. Users will not be able to execute any buy or sell actions.
- Registration Suspension: New user registrations will be temporarily disabled.
- Deposit Suspension: Deposits will be blocked, preventing users from adding assets to their accounts.
- Service and Product Closure: The platform will cease all services and undergo comprehensive rectification.
- Withdrawal Process: Users can withdraw their assets to designated personal or third-party wallets.
- KYC Verification: Users with perpetual contracts must provide KYC documentation, including passport and phone number, for withdrawal approval.
The BitForex team expressed deep regret over the incident, acknowledging the distress and inconvenience it caused. They emphasized their commitment to ensuring the safety of user assets and pledged to provide prompt support to affected users.
User Response and Future Outlook
The unexpected detention of the BitForex team and the substantial outflow of assets have raised alarms within the crypto community. Users were left in the dark for several months, unable to access their funds or receive timely updates from the platform. This incident highlights the vulnerabilities and risks associated with centralized exchanges, especially those operating in regions with stringent regulatory environments.
BitForex’s decision to reopen withdrawals comes as a relief to many, but the suspension of trading, registration, and deposits indicates that the platform faces significant challenges ahead. The requirement for KYC verification adds another layer of complexity for users seeking to reclaim their assets.
The platform’s statement reassures users of their efforts to resolve the situation and prioritize asset safety. However, the future of BitForex remains uncertain as it undergoes this period of rectification and regulatory scrutiny. Users and stakeholders will be watching closely to see how the exchange navigates this turbulent phase.
For more information and updates on the situation, users are encouraged to contact BitForex’s customer service via their official email: support@bitforex.com.
