Cryptocurrency exchange HitBTC once again froze its users’ account, days prior to the Trace Mayer’s Proofs of Keys event. There are several users reported who are not able to withdraw their funds from HitBTC.
Proof of Key is an event announced by an entrepreneur last month. The event calls on crypto investors to remove their coins from the third party platforms and to take possession of all their Bitcoins. On every 3rd January, Bitcoin community participate in the Proof of Keys celebration. The organizers believe that with the event Bitcoin investors learn real fast with blockchain proof whether they are a part of the elite HODLers or not. Proof of Keys is an annual HODLers initiation.
Many HitBTC users raised their complaints on Twitter and Reddit regarding the suspension of their withdrawal request. It is not the first time that HitBTC has frozen users’ accounts. According to a HitBTC user, he had waited for almost six months to access HitBTC account. After sending over 40 emails HitBTC unfroze his account and promised that in future they will nor freeze his account without intimation. He has withdrawn most of his funds but left some funds for day trading and now again HitBTC has frozen his account.
Another HitBTC user said that he is also facing difficulty in accessing his trading account. He said that I have submitted all the documents which the exchange requested for but still not able to withdraw funds from his account.
“Submitted all my documents/evidence for KYC days ago and now support [is] going cold on me. Have I been scammed? I have been trading crypto for years on all kind of exchanges and never had my funds locked without warning like this. Support [was] fast to respond when asking for additional (over the top) information but since I have given them everything they have asked for they’ve just disappeared on me.”
One of the HitBTC users said that after months of day trading he has built a couple of Bitcoins. As the date of Proof of Keys event is approaching HitBTC can be insolvent so he wants to withdraw his Bitcoins but the exchange is not letting him do so.
People believe that HitBTC is intentionally freezing their accounts because of the fear of massive coin withdrawals on the annual Proof of Keys event. According to a reviewer Harsh Agrawal,
“HitBTC was something that began as a promising crypto exchange and got lucky with the big crypto wave in 2016 and 2017, but it [definitely] failed to keep up with the innovation and user demands. They are barely surviving, and this can have a major impact on users who are using HitBTC as their crypto exchange.”
In early 2018, the founder of McAfee, John McAfee requested the people to boycott HitBTC. He believes that the power of crypto exchanges is immense like because of HitBTC millions of people are suffering.