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While withdrawals remain suspended, OKEx is reportedly resuming sporadic services on the peer-to-peer (P2P) trading front.
OKEx says it decided to restart limited P2P trading services following reports of rogue actors attempting to lure users to off-escrow marketplaces. Crypto P2P trading on platforms like OKEx often provides third-party intermediation services that offer protection to both the buyer and seller alike.
OKEx P2P Crypto Trading Resumes for Three Fiat Pairs
In an updated press statement issued on Oct. 21, OKEx announced the resumption of P2P trading for users in India, China, and Vietnam. Consequently, OKEx says it will activate the crypto-fiat gateway for these currencies.
In a statement shared with BeInCrypto, a spokesperson for the company revealed that the initial decision to pause P2P trading was taken out of concern for user security. As previously reported, OKEx suspended withdrawals on Oct. 16.
Subsequent reports also revealed that the company was no longer in contact with a private key holder who is allegedly in police custody. Despite the service disruptions, the OKEx hierarchy say user funds remain safe.
As for P2P trading, OKEx says it is working towards a full resumption of the service across all its fiat currency pairs. Commenting on the matter, a spokesperson remarked:
“When there are any potential threats to the security of users’ funds, it is all too common that unscrupulous players seize the opportunity to cheat people out of their money through practices such as off-escrow trading, phishing, or impersonation scams […] We remind traders to avoid off-escrow trading and to practice proper risk management.”
With withdrawals on OKEx still paused, the platform’s over 200,000 Bitcoin (BTC) balance remains in limbo. This figure represents about 1.1% of the bitcoin circulating supply.
The suspension of withdrawals on OKEx due to one keyholder supposedly in police custody also brings to the fore the dangers of storing crypto on centralized exchanges. Some industry commentators say the incident strengthens the “not your keys, not your crypto” mantra.