This wasn't even caused by regulations.
freezing assets and not giving any transparency to their customers will totally kill any platform.
They've mentioned about difficulty in compliance but, I think they're just trying to get out and using it as an excuse since it's been seen with other exchange's closure.
They gave a only one month to withdraw funds from there, announcing on his blog and Twitter. I don't read their blog, nor do I follow their Twitter account, yet I didn't receive any email notification about this closing of the business.
They've just posted it on their Twitter and it was all of a sudden. I think one month isn't enough for everyone to withdraw their funds but still, they've given time for everyone to withdraw it. But, I pity those that have missed this update and still got funds there and might miss this threshold of time for withdrawal.
Hé hé, another exchange closing the doors and blaming someone else
- They're blaming (mainly) the regulations too hard to follow:
If they were really convinced with their business, it was only a matter to change your location for a more friendly country (Hotbit is Asian I believe) Why not? Binance is traveling since years across the world when something is better for their operation (taxes, regulations, ect)
Exactly, a serious business won't find these compliance as a hindrance to their operations. But it seems that they've given up and just trying to pull things out of these regulations. Although these regulations are certainly difficult for these business but can't also remove that fact that they might just use it as reason for some other reasons they're trying to hide.
This is so scary, Imagine some new leave their coins their on staking for more than a month without checking his investment. This kind of time limit of withdrawing the balance is very unfair to customers since not all users follow not your keys not your coin principle since this exchange offers defi that will be tempting for customers to stay the funds within the exchange.
I believe this is still part of the aftershock of FTX collapse since they mention it on the reason. I think many small to medium exchange will follow on this move since they doesn’t have much profit on bear market. Maybe they will just rebrand after this closure hoping other user will caught off guard by leaving their money on exchange.
True.
I have seen folks that have posted in the forum as well trying to recover those funds from unknown exchanges that have already announced their closure. We're seeing still a domino effect and we're not even in a bear market.
They are based in Hong Kong and Estonia, so they should be safe from US regulations but they must be bankrupt too.
They give 3 reasons for this shutdown and it's good to see them allow users to withdraw if there were even users left in the exchange. One reason was that it was because of the significant losses from numerous problems they suffered. They were accused by several users in the forum, it must have affected their profit.
They have to give timeframe for their users if there are still remaining funds but a month for all of these is unfair and short.
They're the only CEXs I know of that have lasted longer in no KYC policy, while more established competitors have gradually increased their policies up to full KYC requirements.
Surprisingly since the last few days they breathed the air of life, they announced some new coins listed. I hope it's listed for free and not a last ditch attempt to withhold more user funds after this shutdown phase.
Really? I don't use them but didn't know that they're still one of those exchanges that have allowed users not to push for KYC. But then, everything has come to an end for them. As for those newly listed coins, the devs might contest to them after knowing this closure.
They are based in Hong Kong and Estonia, so they should be safe from US regulations but they must be bankrupt too.
FTX was also "safe from US regulations" but the international parent company also exploded as well as all of the subsidiaries.
After reading some of their partners and some info about them, it seems that this is more of Chinese focused exchange, maybe there's something within their border and stuff and could it be that there's a pressure on that part.
1 month is too short, not everyone will be able to withdraw... but perhaps that's what they wanted. It's possible they don't have enough funds to cover everything mainly due to the frozen assets from last year which they haven't gotten back.
!remind me to check back few days after to see if people are experiencing issues when trying to get their funds out.
I agree that 1 month isn't really that enough for most users. IIRC, most of these closures give around 1-3 months for everyone to give it time for withdrawal but then, they're hasting on the process.
