Efe Nail Saltık 
BitForex, a cryptocurrency exchange, faced accusations of fraud after it suddenly halted all withdrawal functions following a suspicious $56 million crypto outflow.
Among the leading cryptocurrency exchanges, BitForex abruptly stopped all withdrawal operations and refrained from explaining the reasons for this sudden movement to its users. This decision coincided with the identification of a surprising $56 million crypto outflow from BitForex’s hot wallets.
In addition to growing concern, BitForex did not make any official statement about the situation. Users reported various problems while trying to access their accounts or the company’s website.
In light of these developments, chain above detective ZachXBT conducted a comprehensive analysis to reveal important findings related to the outflows from BitForex’s hot wallets.
The cryptocurrency community quickly reacted to the developing situation at BitForex and many people expressed deep concern and skepticism about the exchange’s actions.
Users still cannot withdraw their cryptocurrency assets from BitForex. The exchange’s official X account last shared on 21 February. No messages could be sent to BitForex’s official Telegram channel since February 24th. Access to the official website named “bitforex.com” is currently also unavailable. The community suspects the exchange disappeared after defrauding its investors.
Last year, Japanese officials warned investors to be cautious, stating that BitForex was operating without a license.