OKEx Users Move Crypto Off Exchange As Withdrawals Resume

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After a five-week suspension of all user withdrawals, the OKEx cryptocurrency exchange resumed normal operations at 8:00 UTC on November 26.

After announcing the reopening last week, OKEx went on to say that it would launch a compensation and rewards program to express its gratitude to customers for resisting during the disruption.

These programs include Tether-denominated commission discount cards (USDT), a one-time compensation payment based on user assets and transaction history, and a doubling of the asset weight calculation for holders of the native token of exchange, OKB.

Despite these efforts, today’s data shows that the programs were not enough to stop users from withdrawing their funds, apparently having lost confidence in the exchange.

While withdrawals haven’t been open for a long time, revealing initial data is emerging on social media transaction trackers. Mason Jang, COO of Crypto Quant, tweeted:

More The data from CryptoQuant shows that “the first OKEx exit after opening the withdrawal reached 2,822 BTC by the blocking period”, which is “the highest of the year in the blocking period”:

Total 10-day Bitcoin exchange exits for OKEx. Source: Twitter

Whale Alert crypto tracking service also trace at least two high value transactions within one hour of opening withdrawals:

As reported, OKEx suspended withdrawals on October 16 while one of the exchange’s private key holders cooperated with an investigation by authorities and therefore was unable to authorize transactions in the instant wallet system.

The exchange claimed that it was not involved in any illegal activity, although there were reports that its founder, Star Xu, had been questioned by police the same week.

The sudden suspension of withdrawals in mid-October caused significant volatility in the markets at the time, leading to a 3% drop in the trading price of Bitcoin (BTC).

With the exchange’s continual exits to other exchanges and wallets, bearish sentiment revolves around the market. BTC / USD just lost support at $ 17,000, reporting its largest losses since March.