BitForex Halts Withdrawals Without Explanation, Leaves Users in Dark
Hong Kong-based cryptocurrency exchange BitForex has faced a complete blackout since suspending its website and trading application on February 23.
Users have been unable to initiate withdrawals or access the exchange, which previously boasted over $2 billion in trading volume as of February 24.
Before the halt, approximately $56 million in cryptocurrencies had been withdrawn from the exchange’s wallets, and attempts to access the BitForex website blocked users from accessing the platform.
Seeing some suspicious activity with the crypto exchange @bitforexcom.
On Feb 23 their hot wallets saw outflows of ~$56.5M. Shortly after this time withdrawals stopped processing with no official announcements having been made since.
Currently users are asking questions on… pic.twitter.com/gFEcwExHKh
— ZachXBT (@zachxbt) February 26, 2024
On February 23, crypto investigator ZachXBT reported approximately $56.5 million in outflows from three of BitForex’s hot wallets.
After that, withdrawals were halted without official communication from the exchange.
It remains unclear whether the withdrawal of funds from BitForex’s hot wallets resulted from a hacker attack or if the exchange voluntarily halted withdrawals.
BitForex has yet to issue official statements regarding the situation, raising concerns about the project and leaving users in the dark.
Further scrutiny of BitForex’s holdings reveals concerning details, with the exchange holding a significant portion of TRB and OMI token supplies, precisely 18% of TRB and 7% of OMI.
However, BitForex’s X account has not been updated since May 2023. Also, BitForex’s official Telegram channel remains inactive, with one admin deleting their account and others failing to respond to posts
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