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KuCoin, which has millions of users, allegedly froze some user funds and has not allowed some withdrawal requests, as per posts on Reddit and X. YouTube Screenshot/ KuCoin Official YouTube Chanel

KEY POINTS

  • One Redditor said KuCoin made 'serious allegations' without providing evidence
  • An X user said a withdrawal request has been pending for two weeks
  • A KuCoin representative said the exchange was communicating with users who posted on Reddit

Several users of the cryptocurrency exchange KuCoin took to social media to reveal that they haven't been able to withdraw funds from the exchange.

Posts on Reddit regarding the issue on KuCoin started emerging Wednesday. One Reddit user said withdrawals were blocked multiple times in December. Two months on, the said user's funds allegedly remain locked and there have been "no updates and no news from KuCoin."

The user later received an email from the exchange, asking for documents, which the user said were submitted the same day. "A few days later [I received] one last email with serious allegations and 0 details." The user said KuCoin alleged it received a report "from someone who believes that you are involved in certain [frauds/ stealing of tokens/ Hacker attacks] with sufficient evidence," which the exchange allegedly did not share.

Another Redditor said a promised refund of $4,800 has not been provided even four months after the issue was raised. "I have provided all of the information KuCoin have asked for but still nothing. If you're reading this, think twice about trading with KuCoin."

Also on Wednesday, one Redditor said Monero (XMR) tokens worth "over $30K" have been frozen by the Seychelles-based exchange.

On X (formerly Twitter), there have been several issues raised with the exchange from Monday, with one user saying the support team has ignored a withdrawal issue "for 51 days now."

One user said in a series of posts that a withdrawal request made two weeks ago remains pending as of early Friday. The user added that KuCoin has been sending the same "we will follow up" response in the past two weeks.

Another X user said withdrawals have been "locked" and are becoming "disruptive."

One user warned KuCoin to "not play with my nerves" following hours of failed attempts to make a "lousy withdrawal" Thursday.

Eden Gao, KuCoin's global public relations and branding associate, told International Business Times that moderators are already communicating with X users who posted about their concerns. "We will keep the conversation going and will provide adequate solutions to all different cases," she said.

"Please note that KuCoin does not freeze user accounts nor prohibit users from disposing of their assets. Users might experience disruptions due to various reasons, we encourage users to contact us for a case-by-case investigation to ensure a speedy process. To enhance user security, KuCoin implements a comprehensive risk control system and voluntarily cooperates with authorities or law enforcement organizations around the world to enhance our practice. We have designated customer support members across all public platforms, namely X, TG, Reddit etc, to make sure that we can assist our users as soon as possible," she added.

(This article has been updated to include a KuCoin representative's comments. Updated on Feb. 23, 2024, 6:10 a.m. EST.)

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