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BitMart founder cites hacked X account amid blocked withdrawals
The exchange is winding down and has a final trading day set for Aug. 26, while critics demand an independent review and restoration of withdrawals.
CoinDesk reports that BitMart founder Sheldon Lee dismissed allegations on an X post claiming customers could not withdraw funds and some employees had not been paid their July salaries, saying the exchange's Chinese-language account that made the claims was hacked.
The dispute centers on demands for transparency as BitMart prepares to wind down operations, with critics calling for the exchange to restore withdrawals or submit to independent third-party audits. The allegations also include requests to open the books for verification of wallets, assets, liabilities, and usable reserves.
Echo Base, a distressed investment firm, said it proposed a funded restructuring package for BitMart but received no response. The firm warned the situation is unlikely to be resolved without a court process to address widespread customer claims.
CoinDesk adds that BitMart has said Aug. 26 will be its final trading day, and many users report that withdrawals remain blocked. Lee said he would file a police report and send a lawyer’s letter to X, and he gave a deadline of Aug. 19 to respond to the demands laid out in the post.