BitForex, a cryptocurrency trading platform based in Hong Kong, has raised alarms in the crypto community due to its sudden offline status following suspicious trading activity.
Noted blockchain investigator ZachXBT highlighted concerns after observing significant outflows from BitForex‘s hot wallets, totaling around $56.5 million, which coincided with a halt in customer withdrawals.
Attempts to access BitForex’s website result in a message indicating users have been blocked, with no response from the platform’s team.
Market data shows that BitForex’s trading volume abruptly stopped after reaching $3 billion on February 22, leading to speculation that the exchange may have inflated its volumes by up to 85 times.
Despite concerns raised by users, BitForex’s Telegram administrators dismissed them as routine maintenance, further eroding trust.
The recent departure of CEO Jason Luo and the lack of activity on BitForex’s X account since February 21 have heightened suspicions about the exchange’s financial stability, despite its purported security rating and insurance policy
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