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OKEx fiasco acts as an eye-opener for DragonEx as it toys with the idea of suspending the platform

 
OKEx fiasco acts as an eye-opener for DragonEx as it toys with the idea of suspending the platform
Exchanges / Breaking News

Quick take

1 minute read

  • Deposits and withdrawals of all kinds of cryptocurrencies have been suspended on the DragonEx crypto platform recently. 
  • This is due to issues that have been caused by the ongoing withdrawal freeze fiasco with the OKEx exchange.

Deposits and withdrawals of all kinds of cryptocurrencies have been suspended on the DragonEx crypto platform recently. This is due to issues that have been caused by the ongoing withdrawal freeze fiasco with the OKEx exchange.

The exchange made an official announcement earlier this week on the 21st of October saying that the situation over at OKEx caused them to rethink their operations going forward. 

They specifically mention a “crisis of trust“ in centralised platforms among crypto users.

Now, DragonEx is allegedly working on a plan for going forward in resuming deposits and withdrawals on the platform with representatives of the company saying that they will have to shut down if they don’t come to the conclusion by the start of next month.

Roughly translated, the platform said the following in its announcement to:

DragonEx was hacked on March 24, 2019, resulting in the theft of platform assets. The stolen assets were converted into approximately 8.8 million USDT at the current currency price (BTC≈5190USDT, ETH≈168USDT). After obtaining 6.7 million USDT financing in installments, the transaction was restarted. After more than a year of hard work, although certain gains have been made, the stolen assets have not been recovered, and as the price of the stolen assets rises and repurchases DT Consumed, the balance of assets doubles, and there are still millions of USDT in the conversion of the current currency price (BTC≈11780USDT, ETH≈368USDT). After the sudden outbreak of the OKEX incident, a large number of users had a crisis of trust in the centralized exchange, which triggered a run, which quickly deteriorated the platform's provision level.

As a result of this, the platform says that they had to make the difficult decision to suspend withdrawal services of all kinds of cryptocurrency on the exchange.

For more news on this and other crypto updates, keep it with CryptoDaily!

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