HitBTC, one of the top 10 crypto exchanges around the world, has recently come under pressure due to it’s users complaining that the company has disabled withdrawals without any official explanation. Furthermore, the exchange remains quite about this sudden issue as new accusations start to appear.
For instance, some of the accusations circulating at the moment is the annual Proof of Keys event, which was set to happen tomorrow, where participants withdraw their funds from exchanges to prove ownership of them.
The person who’s behind the Proof of Keys event, Trace Mayer commented on his Twitter:
Has @hitbtc failed #ProofOfKeys? I do not have an account. Asked a friend to initiate a withdrawal. BEWARE! 🚩— Trace Mayer [Jan/3➞₿🔑∎] (@TraceMayer) January 2, 2019
Result: "Withdrawals are temporarily disabled on your account."https://t.co/J3HMHKA1ah@maxkeiser @ToneVays @theonevortex @SatoshiLite @Excellion @CaitlinLong_ @nvk pic.twitter.com/wsXKiOlEJF
Currently theirs now actual evidence that the current issue has to do with Proof of Keys, although:
“Saying this is happening just before #ProofOfKeys event makes for a nice headline, but in reality @hitbtc has been behind on withdrawals and indiscriminately freezing accounts for many months now. But sure, if the narrative finally gets people upset enough, great!”
Writes Twitter influences and crypto trader, The Crypto Dog.
HitBTC does this as part of their common business practices.— Brad Mills [Jan/3🔑] (@bradmillscan) January 2, 2019
If you try to withdraw an amount over X, they freeze your account until you KYC yourself.
They also do this if you use VPNs.
The issue originally surfaced when a Reddit user by the name of u/pedxs, took to the HitBTC subreddit to complain about being able to transfer their funds. The user’s account had reportedly been banned for a time half a year ago, and the exchange promised them that “no further automated restrictions will be applied.” Although, u/pedxs seems to found themselves unable to withdraw the rest over 10 days ago, elaborating, “So far I have tried contacting them but only received automated responses. Communication has ceased for several days now, so I decided to post a warning on Reddit.”
Currently the exchange has only responded with this message on their Twitter account:
All requests are being processed by our Security dept. in queue order. Kindly wait.— HitBTC (@hitbtc) January 2, 2019