LocalBitcoins.com EXIT SCAM

[localbitcoinscam]

Hello,
I am a victim of the LocalBitcoins.com Exit scam.
The behaviour is the same: the fraudulent exchanger, in this case LocalBitcoins.com, is implementing a never ending KYC request just to holding hostage the coins and keeping the bitcoin balance forever.
My experience:

I used this failed service, which is now closing, to deposit Bitcoins. I never bought bitcoins by bank wire or sketchy means.
My identity was completely verified on December 2018, by using a Governement Identity Card and so on.
I withdraw my Bitcoins on the first months of 2019: I was unable to withdraw a balance of 0.0071 BTC, because of a limit.
I don't know if this was a bug. By the way, I have currently a balance of 0.0071 BTC leftover on my LocalBitcoins.com account.

Now, in 2023, my bitcoin balance appreciate almost x10 and I would like to withdraw it. Moreover, LocalBitcoins.com is closing forever.
Surprise: I cannot! I need to get another verification tier, including a video verification.
This is crazy. Bear in mind that I never deposited a single cent in 3 years, so there's no reason to ask me for a new scrupolous verification.
They said that I accepted their new policies, which is not true at all.
I never accepted any new policies and even then, it's not a good reasons to refuse to refund my bitcoins.
I even asked them to send back my coins to the original address, they refused.
I read here and on reddit that I'm not the only victim. Beware of them, a real crappy and scammy company.

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[OmegaStarScream]

Sadly, this is how most exchanges operate. They can ask you to verify your identity at any moment, even if you've done it before. If you refuse to comply, they will keep the bitcoins.

I can't tell for sure since I haven't been using the platform, but it looks like they implemented a new system in 2019 and also expanded their partnership with Onfido (identity verification provider) in 2020 and that's why they're asking you to verify your identity again[1].

[1] https://localbitcoins.com/blog/?page=2

[localbitcoinscam]

Sadly, this is how most exchanges operate. They can ask you to verify your identity at any moment, even if you've done it before. If you refuse to comply, they will keep the bitcoins.

I can't tell for sure since I haven't been using the platform, but it looks like they implemented a new system in 2019 and also expanded their partnership with Onfido (identity verification provider) in 2020 and that's why they're asking you to verify your identity again[1].

[1] https://localbitcoins.com/blog/?page=2

That's correct.
Unfortunately, they rely on the fact that if I lawyer up I'm going to pay much more than 200 USD (the current balance).
I
The problem is that I never accepted their new policies (implemented in 2019) and I recently asked them, for weeks, for a BTC refund to my original address. That was denied and this LocalBitcoins position is unacceptable. I had an outstanding LCB profile, with positive feedback only. I only deposited BTC and never FIAT.
I read about many people stuck in similar situations.

[LeGaulois]

They said that I accepted their new policies, which is not true at all.

You did.

You agreed with the terms of service while joining the site.
And the TOS exactly say, they can change the rules and if you don't agree, leave it, otherwise it means you accept the contract between you and Localbitcoins.

You didn't, because of what you call a "bug" but if you really wanted you could follow their rules and transfer out your coins.
You had to follow the enhanced KYC verification... because it is the laws... and so their (new) rules...

We have the right, at our sole discretion, to make modifications and revisions to the terms of this Agreement to reflect changes in technology, standards, legislation, administrative or business practices, or the cost structure for providing the Services. Such modifications and revisions will be notified to you through the Service no later than thirty (30) days before they become effective.

You will be deemed to have accepted all modifications and revisions by continuing to use the Service. If you do not agree to the changes, you can terminate this Agreement at any time by concluding any outstanding trades and other obligations, withdrawing any remaining balances and closing down your account.

We also have the right, at our sole discretion, to make modifications and revisions to the Services and to the terms of this Agreement at any time which are due to security or compliance reasons, or for reasons suspected fraudulent activity. Such modifications will be published on our site and notified to you without undue delay.

Whycomplaining about a site that tells you they can do whatever they want with your coins

[localbitcoinscam]

You agreed with the terms of service while joining the site.

I accepted the terms and did the usual full identity verification. Maybe it's not clear.

And the TOS exactly say, they can change the rules and if you don't agree, leave it, otherwise it means you accept the contract between you and Localbitcoins.

I'm trying to leave and bring back my leftover. They refuse.

You didn't, because of what you call a "bug" but if you really wanted you could follow their rules and transfer out your coins.

No. I could not. The problem is that the system refused to let me withdraw my coin because it said that the balance was not enough (I suppose that the balance was less than 25 USD).
Now that my balance is interesting, I'm just trying to get back my coins. They even refused to refund the original address.
Bear in mind that I noticed other people complaining and they were attacked, like me, by people like you.
I don't know if you ever used them, when they change Terms or Policy you need to "accept" by clicking on the new Terms. I never click on "accept".
I just opened a topic and said that it's true, they are acting shady. They deserve the worst.

Whycomplaining about a site that tells you they can do whatever they want with your coins

[/quote]

Why complaining about me complaining about a shady exchanger? I don't understand your point. Besides, when I joined LCB they had a much more acceptable Term of Service.

[localbitcoinscam]

It's interesting to notice that:

A guy, without KYC, is complaining against the exchanger "the rock trading" (which is now closed), he had an account with no KYC and wanted to withdraw 40000€. People here in Bitcointalk support him:
https://bitcointalk.org/index.php?topic=4975753.0

Now, if you complain against Localbitcoins, with an account fully verified and you want to get your 0.0071 BTC (less than 200 USD) refunded, more than one bitcointalk user pop up to attack you. I was also deeply attacked in another thread because I politely complained against LCB.

[Z-tight]

Now, if you complain against Localbitcoins, with an account fully verified and you want to get your 0.0071 BTC (less than 200 USD) refunded, more than one bitcointalk user pop up to attack you. I was also deeply attacked in another thread because I politely complained against LCB.

Calm down bruh, nobody is attacking you in the way you see it, you are just being pointed to your mistakes of leaving your money in an exchange, if you have your funds in any exchange, the funds is no longer yours but the exchange's because they can at anytime lock it up and ask you for more verification, far more than you may want to give to them, and if you don't, they would keep your funds, that is how they operate and it is in their TOS, sorry for your loss by the way.

Don't take what these members have said as an attack, see it as a correction and lesson, trade with decentralized p2p exchanges: https://kycnot.me/, and after you are done trading, move your funds into your self custody wallet like: electrum

[localbitcoinscam]

Calm down bruh, nobody is attacking you in the way you see it

I stated that I was also attacked in another thread (opened by another user), if you check in the other thread there's a guy picking op on anyone who is complaining about LCB.

you are just being pointed to your mistakes of leaving your money in an exchange,

This is always a mistake. Not in mine. In my case, back in the time, I withdraw as much as I could.
I was unable to withdraw 0.0071 BTC because I got a limit error. That means that LocalBitcoins wanted an higher balance to withdraw and when I log in and tried to withdraw my 0.0071 BTC I got an insufficient balance error (more or less, I don't remember the exact error).
In 2023, LCB is denying this problem. Maybe I encountered a bug, I don't know, but I assure you that I was technically unable to withdraw those funds back in 2019. Bear in mind that the 0.0071 was about 20 or 25 USD in 2019, so you understand that I was not so inspired to make a lot of complaints for 20 bucks...

see it as a correction and lesson, trade with decentralized p2p exchanges: https://kycnot.me/, and after you are done trading, move your funds into your self custody wallet like:

Dude, I already know electrum, even the website kycnotme. Unfortunately this was not helpful because I encountered a shady Exchanger and a series of unfortunate circumstances, explained above.
They are scamming me through loopholes. Trusting that I do not hire a lawyer because the hourly fees will be much higher than my current balance. Still a shady scam.
 I'm also wondering about all the inactive accounts that holds some balance... back in the time few bucks, now several hundred or thousands of dollars because of BTC appreciation. They are pocketing everything in a "legal" way in just 12 months since you have 1 year to withdraw.

[Z-tight]

Bear in mind that the 0.0071 was about 20 or 25 USD in 2019, so you understand that I was not so inspired to make a lot of complaints for 20 bucks...

I understand what you are saying, and i don't know what the error was as to why you could not withdraw in 2019, nevertheless you should have done everything possible then to withdraw your funds, i get it that the funds didn't worth much back then. Now what everyone in this thread is telling you is that they have the right, according to their TOS to request for more verification from you, not that it is a good thing to do, but that is how centralized exchanges work, and that is what LocalBitcoins turned into when they started asking for KYC from their users. You have to comply with their verification process or they would 'steal' your funds.

Trusting that I do not hire a lawyer because the hourly fees will be much higher than my current balance.

Not only that, they would just show you to their TOS, to where it states that they can at anytime request KYC from their customers and seize their funds if it isn't provided, and you have accepted to it once you are using their service.

I'm also wondering about all the inactive accounts that holds some balance... back in the time few bucks, now several hundred or thousands of dollars because of BTC appreciation. They are pocketing everything in a "legal" way in just 12 months since you have 1 year to withdraw.

You have to accept it because that is how they operate, they are giving their users 12 months to withdraw their funds before they close, if they don't, the money is gone. That is why they say: not your keys, not your coins!

[Bitcoin_Arena]

LocalBitcoins have always been shitty anyway, especially after they started doing complete KYC verification. I still don't get why you decided to leave your money in there after all those years, only to wake up and try to withdraw them after realizing that they are going to shut down.

You could party blame yourself for being a little careless and perhaps let it be a lesson learned that "Not your keys, Not your coins"

[Woodie]

Even in their death bed they still won't let their former clients to have some peace of mind by allowing users get their funds back, besides they have nothing to lose as far as am concerned.. Unless they want to forcely get coins they do not own.

LocalBitcoins have always been shitty anyway, especially after they started doing complete KYC verification.

Agreed, but before we had exchanges like Binance and other CEXs, p2p exchanges like LocalBitcoins were the go to place because you could easily move crypto in and out without the need of KYC but ever since centralized exchanges came in the picture, regulation found its way into these businesses and the game has never been the same.

[YOSHIE]

I read here and on reddit that I'm not the only victim. Beware of them, a real crappy and scammy company.

It's a shame what happened to you, localbitcoins.com really ended tragically, they really made their users topsy-turvy, whatever the case, if the user is unable to successfully withdraw and refund the user within the time specified by the localbitcoins.com team, everything will end tragically.

LocalBitcoins will discontinue its service

Timeline for discontinuing the Bitcoin trading service:
2023-02-09 Suspension of new sign ups
2023-02-16
Suspension of trading on LocalBitcoins
Suspension of using LocalBitcoins wallet (with exception of withdrawing one's funds)
After 2023-02-17 LocalBitcoins customers will only be able to log-in to withdraw their Bitcoins. The trading and Wallet services will no longer be available at this point.

Currently LocalBitcoins, completely shut down their exchange, no one will use their exchange in the future, regardless of the situation is scammy or not. what is clear is that the LocalBitcoins exchange has disappointed customers in 2023. for the action of closing localbitcoins.com the Asian continent was also affected.