Crypto exchange OKex has been facing heat after the transactions paused, and the chief was arrested. Data reveals that outgoing OKex Bitcoin transactions Malta-based cryptocurrency exchange, OKEx extracted over $113 million worth of Bitcoins, after which further withdrawals were deemed suspended, owing to a bizarre arrest of the founder by Chinese officials. The reasons for arrest are yet to be revealed.
The unpredicted phenomena yesterday caused the Bitcoin’s market value to drop. This is a clear proof of how uncertain and highly volatile the crypto industry remains despite the boom and profitable market.
The incident has confirmed that centralized exchanges with multiple entry points are of much higher value as opposing to the structure followed by OKEx, which has collapsed, keeping its organization to a decentralized structure.
Okex Bitcoin transactions
Glassnode an analytic firm’s recent tweets confirms the whole incident as questionable as a mere few hours before the arrest took place a total of 10000 Bitcoins were withdrawn in two chunks. The transactions were hours apart stretching the whole outgoing transactions saga to about 48 hours.
Prior to the suspension of cryptocurrency withdrawals from #OKEx, we observed large BTC outflows from the exchange.
According to our data, a total of 10,000 BTC (~$113 million) were withdrawn in two large batches in the past 48h.#Bitcoin
Live chart: https://t.co/uMpGQIpIxN pic.twitter.com/I37lyKmcKI
— glassnode (@glassnode) October 16, 2020
Primitive crypto’s co-founder Dovey Wan commented on how odd and peculiar the occurrence seems to be for a cryptocurrency giant owning billions of digital assets and Bitcoins to have a single failure point. There is much ambiguity around the whole incident as of now and clarity is expected as the investigations unfold. Pertinent to mention that OKex is one of the leading cryptocurrency exchanges by transaction volume.
More revelations are expected upon the incidents in the near future, until then the state of billions of digital assets remains undecided. While the Bitcoin price movement initially affected by the incident is now going back to normalcy.
