Chinese crypto-exchange IDAX CEO goes missing along with cold wallets

IDAX is a cryptocurrency exchange from China, which recently made a very grave announcement on its website. As per the exchange, its Global CEO has gone missing and they haven’t been able to locate the CEO yet.

CEO is missing

FILE PHOTO: A coin representing the bitcoin cryptocurrency is seen on computer circuit boards in this illustration picture, October 26, 2017.
Reuters

On November 24, the exchange made an announcement stating that there’s congestion in withdrawals and hence, it would be halting all withdrawals. On the same day, the company made another announcement saying that the services of the exchange would not be accessible in China. However, users outside of China can continue to use the exchange.

Today’s announcement states that the exchange has stopped all withdrawal and deposit services. It revealed that its CEO has gone missing and taken along all the cold wallets. This means that users of the exchange will not be able to access any of their tokens. The cold wallets stored all of the cryptocurrency balances on the exchange.

Global IDAX staff haven’t been able to make any contact with CEO

The Global IDAX staff haven’t been able to make any contact with the global CEO. Nobody has a clue why the CEO has vanished or where they’ve gone. In the last 24 hours, IDAX has apparently serviced over $500 million worth of Bitcoin transactions. The exchange stated that it is trying to grasp the situation and is already making an emergency plan regarding the deposits/withdrawals service.

The company has advised that all users of the platform should not use any of its services at the moment. It hasn’t really given any timelines of when services would go back up. We also have no idea about the actual worth of cryptocurrency tokens that were stored in the cold wallets.

This seems like another case of ‘CEO running away with all the money’, but let’s hope it’s not. As usual, we would recommend everyone who deals with cryptocurrency to store their assets in their private keys.

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