[2017-10-17]Bittrex Exchange Breaks Silence on Banned Accounts, Questions Remain

[Yaunfitda]

Bittrex Exchange Breaks Silence on Banned Accounts, Questions Remain

“We occasionally conduct compliance reviews and are working vigilantly to protect our service and our users from harm. As part of a compliance review, we have temporarily suspended certain accounts pending the completion of the review. The total number of suspended, closed, or banned accounts is very limited: less than 0.1% of the total accounts on Bittrex.  More than 99.9% of Bittrex accounts are unaffected.”

Of course, everybody realizes that the vast majority of Bittrex’s accounts are working just fine. The problem is that thousands of accounts--the 0.1 percent--were (and still are) disabled.

Real money at stake

Bittrex is based in the US, so it’s understandable that compliance is important to the exchange. After all, the US is a patchwork of different regulations and laws, both at the state and federal levels.

The strange thing, though, is that Bittrex never bothered to inform the customers whose accounts they disabled of what they were doing and why. Some of the users who have emailed Cointelegraph claim to have rather large sums stored on Bittrex. One user pleaded to us:

“Please help me ... I have about six Bitcoins in my account ... I lose my money :/ Please tell Bittrex to activate my account only for 10 minutes so that we can withdraw our money...please.”

A simple email from Bittrex, either before or immediately after accounts were “temporarily suspended,” would have probably gone a long way toward reassuring users that they would eventually receive access to their funds.

https://cointelegraph.com/news/bittrex-exchange-breaks-silence-on-banned-accounts-questions-remain

[vit05]

They still need to clarify why they take so long to help people that want send the documents. They only say an error has occurred, and the option to send documents disappears. Is really suspicious.

Why do they not hire more people and make the documentation verification faster? They could go broke if they do not fix that.

[odolvlobo]

...
A simple email from Bittrex, either before or immediately after accounts were “temporarily suspended,” would have probably gone a long way toward reassuring users that they would eventually receive access to their funds.

No savings association or service corporation, ..., shall disclose a SAR [suspicious activity report] or any information that would reveal the existence of a SAR.

[FrueGreads]

Those are quite sad news because they don't inspire trust to potential investors. We are already passed the Mt. Gox scandal, and of course this is nothing near it, but it creates some fear along customers, knowing that exchanges can suddenly block your account without notifying you first.

We don't really need that fear if we want bitcoin to grow. Maybe Bittrex reasons are valid, the accounts are being investigated apparently, but they certainly could have deal with this in a complete different manner, just by notifying their customer about what they were doing. Communication is a key factor in business in my opinion, and they could had done a better job at this. Let's see how everything ends, and I'm glad cointelegraph covered this.

[Chol_gol]

I have launched a telegram group. I want all those whose account has been disabled to join to this group. and if we needed to file a lawsuit against them we can do it collectively for better results.
everybody is welcome
here is group:
https://t.me/joinchat/BjmOlA2Ir-_l5XhBATHoTg