chepicap.com
As the industry celebrates Bitcoin’s bull run, another exchange is in the spotlight. Rumors have begun surfacing that Hong Kong-based cryptocurrency exchange, HitBTC is insolvent as customers have reportedly faced major hurdles when trying to withdraw their funds.
A Twitter thread by @ProofofResearch suggests the exchange is insolvent, expressing surprise at the fact that HitBTC is still operational considering they have “liquidated down 720,000 BTC. They have about 350 Bitcoins remaining."
1/ @hitbtc is insolvent. Surprised they're still in operation. Here's a thread showing how.
— CryptoMedication (@ProofofResearch) May 18, 2019
That's when I discovered that @hitbtc has liquidated down 720k bitcoins. They have about 350.0 (three hundred fifty) bitcoins remaining.
As ProofofResearch notes, several users on Telegram and Reddit have reported difficulty when trying to withdraw their cryptocurrencies “for some weeks now.”
The Twitter thread continues, noting the most well-known issues with HitBTC came from prominent Bitcoin developer Luke Dashjr, who tweeted back in March that the exchange had “decided to go full scammer” explaining they had been “stealing balances of users,” himself included.
⚠️🔥Looks like @hitbtc have decided to go full scammer, and are stealing balances of users (including me).🔥⚠️
— Luke Dashjr (@LukeDashjr) March 28, 2019
Probably a good idea to get anything you have there off, and take care not to use it.
(And as always, keep as little on exchanges as possible!)
Dashjr continues, stating HitBTC had been locking accounts and making unreasonable demands for private information, which many users were unable to provide even if they wanted to. If you don’t provide the info they asked for, “they just keep your Bitcoins,” he said.
They're locking accounts and making unreasonable demands for private information, which many people *can't* provide even if they wanted to. And when you don't/can't comply, they just keep your bitcoins instead of closing your account and sending them to you.
— Luke Dashjr (@LukeDashjr) March 28, 2019
ProofofResearch provided HitBTC’s main wallet collection showing 720,142 BTC was received while 720,114 were sent. “Minimal funds on the exchange,” the tweet reads.
4/ So here is @hitbtc main wallet collection. As you can see 720k in, 719k ish out.
— CryptoMedication (@ProofofResearch) May 18, 2019
Here is the cluster on 'WalletExplorer' website: https://t.co/k9nNVKSVNI
As you can see...minimal funds on the exchange. pic.twitter.com/PtqS95l2uA