"Haih, someone must have done something wrong, otherwise how can it end up like this."
Concerns among users over the safety of their digital assets were sparked when Hong Kong-based cryptocurrency exchange BitForex halted all withdrawals for three days.
As revealed by blockchain controller ZachXBT, there was a significant outflow of $56.4 million from the BitForex hot wallet on February 23, 2024, therefore concerns about potential irregularities involving the crypto exchange have arisen.
Adding to the suspicion, BitForex has yet to answer any questions on various platforms such as X and Telegram plus it holds a large amount of Tellor (TRB) and Ecomi (OMI) tokens which are 18% and 7% of its total supply.
Although the Chief Executive Officer (CEO) of BitForex Jason Luo expressed his confidence in the new leadership team, the circumstances of his departure only fueled further speculation that users would not only find it difficult to access their accounts or login but also lose assets on the dashboard.
There is no denying that the administrator in the BitForex Telegram group attributed the issue to ongoing maintenance, but users reported that the administrator had changed the user name and stopped communication so that the user could not contact anyone.
Other users were also found to be blocked from accessing the company's website as a result when one tries to access BitForex's official website, they will find a pop-up message stating that they are blocked from accessing the site.
BitForex, which was established in 2018, was issued a warning letter from the Japanese Financial Services Agency last year for operating in the country without proper registration and violating local fund settlement laws.
While BitForex's policy of not mandating the provision of Know Your Customer (KYC) details for account creation has raised additional concerns about potential money laundering and illegal activities on the platform.
