Chinese Police Investigation Halts Withdrawals at Cryptoexchange OKEx – Bloomberg


Chinese police have launched an investigation linked to cryptocurrency exchange giant OKEx, forcing one of the world’s largest Bitcoin trading platforms to block users globally from withdrawing money.

An unidentified staffer responsible for users’ private keys — accounts where crypto assets are stored — has been “out of touch” while cooperating with a police investigation, the Malta-based exchange said in a statement Friday. As a result, the company has halted all cryptocurrency withdrawals, without saying when they will resume. OKEx founder Star Xu was the staffer taken away, Caixin reported, citing two unidentified sources at the firm.

Bitcoin fell as much as 2.9% to $11,216 on Friday. OKEx’s native token, which serves as a user loyalty program to incentivize trades, plunged 14%, according to data tracker CoinMarketCap.

“We are not at liberty to discuss any matters that are under investigation but can reveal that it is not related in any way to anti-money-laundering or to OKEx,” the company said in an emailed statement. It “would like to assure all OKEx users that their funds are safe and that all other functions on OKEx are unaffected.”



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