CoinFLEX Exchange Pauses User Withdrawals

24.06.2022 16:49
by Sviatoslav Pinchuk
1 min read

The crypto derivatives exchange, CoinFLEX, has frozen user withdrawals on its platform. Amidst the crypto winter, this is yet another platform to discontinue account withdrawals.

The company’s CEO, Mark Lamb, explained that CoinFLEX was forced to freeze withdrawals “due to extreme market conditions last week & continued uncertainty involving a counterparty”. The withdrawals will be resumed as soon as the platform is in “a better position”.

Additionally, futures and spot trading for FLEX, the company’s native crypto, will also be put on hold. The FLEX coin was used to reduce trading fees on the exchange.

CoinFLEX emphasized that the counterparty in question is not a lending firm, nor is it the crypto hedge fund Three Arrows.

This month, amidst the collapsing market prices, Three Arrow’s over-leveraged crypto positions were liquidated. This forced the companies with exposure to Three Arrows to take similar action as CoinFLEX. The staking platform Finblox significantly reduced withdrawals on its platform. Meanwhile, the crypto lending platform Babel Finance has entirely paused withdrawals.

However, we’re yet to see which counterparty is involved in CoinFLEX’s troubles. Lamb added that the company is “confident that this situation can be repaired fully with a restoration of all functionality, namely withdrawals”.

Author

  • Man who simply bought some BTC for domestic needs in 2014 and then forgot about it till 2017. The dude who got Etherium in 2017 by misclick and sold it in 2018 "just to try". Lost 1 Florida house in XEM in 2018, Sviatoslav finally decided to trade reasonably and now he is one of the most analytical and data-driven trader in Crypto Industry. Has Bachelor Degree of Chinese Interpreter and deep practical experience in competitive niches SEO.

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