OKEx Under Investigation

The largest cryptocurrency exchange OKEx is under investigation by the Chinese authorities.

According to information from free sources, OKEx cryptocurrency exchange is under investigation by the Chinese authorities. OKEx provides spot trading and cryptocurrency derivatives trading. According to widespread reports, the price of Bitcoins fell due to information leaks about OKEx's suspension of withdrawals. OKEx announced the suspension of work, due to the lack of objective information, the situation is becoming chaotic. The reason for the restrictions in the work of the exchange was the actions of the investigative bodies of China. The withdrawal of digital assets and cryptocurrencies from the OKEx exchange is currently suspended.

The Malta-based exchange said in a statement on Friday: Due to investigative actions as part of a police investigation, the unidentified employee responsible for the user's private key (the account in which the cryptocurrency assets are stored) was unavailable. As a result, the company stopped withdrawing the cryptocurrency. When the withdrawal will resume, the message did not say. According to Caijing, the employee who was taken away was OKEx founder Star Xu.

OKEx reports:

One of our private key holders is currently working with the Public Security Bureau to carry out the necessary investigations. Due to the absence and inaccessibility of the responsible holder of the private keys, authorisation cannot be completed, and therefore the withdrawal of funds is impossible. Service in accordance with clause 8.1: Changes and interruptions of the terms of service, OKEx may change the service at any time or may also interrupt, suspend or terminate the service at any time without prior notice. However, We ensure that other OKEx services remain functional and stable, and that in light of these developments, the security of OKEx's assets will not suffer.

OKEx was originally launched in China. After a while, it was moved to Malta, which is more favorable for cryptocurrency activities. The achievements and progress of China in the field of digital currency have nothing to do with national politics. Some time ago, the Chinese authorities banned the trade of digital yuan and other blockchain-based products. Despite this, cryptocurrency mining is still popular and tolerated in China.

There are not enough facts about investigations into cryptocurrency exchanges, more and more often we hear about additional Government actions against these markets. 

We will remind you that recently in the United States, the BitMEX exchange became the target of attacks from the CFTC due to allegations of money laundering.