Recently, the famous cryptocurrency exchange OKX (formerly OKEx) suddenly modified its withdrawal rules multiple times, restricting users from withdrawing their own assets:
The withdrawal limit for KYC Level 1 users was secretly changed at least 5 times within a month, from 200 BTC/day to 5000 USD/ Lifetime.
Moreover, several modifications were made without any prior announcements or notifications, without giving users any time to choose or opt-out, and there were no explanations afterward.
Why is this matter worth noting?#
Recently, there were trading failures on OKX for $SUI, and numerous KOLs strongly promoted the scam project $xirtam... Compared to these incidents, OKX's recent rule changes seem like a trivial matter.
OKX even allows withdrawals! However, they require you to provide additional information for a simple KYC verification, which is almost as merciful as a living Bodhisattva.
This incident is akin to going to a restaurant, finishing your meal, and when you go to pay, the owner tells you that the prices you saw when ordering are historical documents. While you were eating, they raised the prices, and you must pay the new price, which has increased by 1200 times (200 BTC/5000 USD ≈ 1200), or you can't leave.
If the restaurant had informed you in advance that they were going to raise prices, it would have been fine whether you chose to eat or not.
So, do you see the problem?
Attracting users with enticing conditions and then secretly modifying them is a breach of contract and fraud.
Holding users' assets hostage and forcing them to agree to new terms is extortion.
As one of the top exchanges in the industry and a large commercial company, how can users trust their assets with OKX when they so blatantly disregard the spirit of contracts?
Note:
Terms of Service (TOS) is a contract between the service provider and the user.
Service providers are obligated to inform users in advance before modifying the TOS and provide time for users to choose between "agreeing to the new terms and continuing to use" or "disagreeing with the new terms, retrieving their assets, and no longer using the service."
Detailed Timeline#
Initial Withdrawal Rules#
Date: Before 2023.03.14
TOS:
We can see that the 24h withdrawal limits are:
- KYC Level 1, the limit is ≤ 200 BTC
- KYC Level 2, the limit is ≤ 500 BTC
Source:
First Secret Modification#
Date: 2023.03.14
TOS:
We can see that on 2023.03.14, OKX secretly modified the 24h withdrawal limits to:
- KYC Level 1, the limit is ≤ 500,000 USD.
- KYC Level 2, the limit is ≤ 1,000,000 USD.
Even until now, OKX's TOS still shows this.
Source:
Second, Third, and Fourth Secret Modifications#
Date: Unknown (Between 2023.03.14 ~ 2023.04.21)
TOS: None (Limits can only be seen during withdrawal)
Nevermore on Twitter: "The product manager at OKX really has a serious problem, the withdrawal limit for LV1 certified users keeps changing, from 200,000 a day to 100,000, now...
archived 4 May 2023 14:59:06 UTC
Between 2023.03.14 and 2023.04.21, OKX changed the withdrawal limits at least three times:
- KYC Level 1, 500,000 / Day -> 200,000 /Day-> 100,000 /Day -> 100,000 / lifetime
Without sufficient evidence, Twitter user @gjs_waiting mentioned these changes while defending his rights on April 28. However, after uploading his information and withdrawing assets, the tweet was deleted before it could be archived.
葛见圣🧙🏻♂️ on Twitter: "@OKXHelpDesk_cn @okxchinese @star_okx Can you answer my question…
archived 5 May 2023 01:22:22 UTC
Fifth Secret Modification#
Date: Unknown (No later than 2023.04.26, 5:28 AM)
TOS: None (Limits can only be seen during withdrawal)
The limit was modified to:
- KYC Level 1, 100,000 / lifetime -> 5,000 / lifetime
The earliest known user to discover this modification:
DEG on Twitter: "🚨If you are using multiple accounts on OKX, please be careful. Level 1 (only entering name and ID number) is…
archived 2023 年 5 月 4 日 14:52:34 UTC
The earliest known victim of this modification:
learning🦇🔊 on Twitter: "@hebi555 Mr. He, can you provide feedback on OKX's sudden changes to the L1 certification limit without certifying L2…
archived 4 May 2023 14:37:34 UTC
The earliest known English-speaking victim:
OKX reviewed by james on 4/27/2023
archived 5 May 2023 01:31:21 UTC
Fraud#
Please note that as of now (2023.05.05), the limits stated in OKX's official TOS still reflect the updates from the first modification, and the subsequent four modifications cannot even be found in the TOS.
Additionally, it is worth mentioning that as of 2023.04.29, if you are a new user who has not yet completed KYC, the prompts you see on OKX's official TOS or APP are:
- KYC Level 1, 500,000 / Day
However, once you complete the certification and deposit money, you will find that the limit has changed to:
- 5,000 / lifetime
(As of 2023.04.29, the limit reminder of 5,000 / lifetime in OKX's APP is only displayed to those old users who have already registered and certified and are preparing to withdraw their assets.)
This is undoubtedly fraud.
Here are some pieces of evidence left by victims at that time:
Victim 1#
hammer on Twitter: "@meta_mate8 @kola_hedvige Hello, I encountered the same situation. When I opened an account and deposited…
archived 4 May 2023 14:32:19 UTC
Victim 2#
LAMBDA_SHELL on Twitter: "How about giving me the app source code and I can help you change it? My limit is 5000u for 24 hours, and the others are a total of 5000u…
archived 4 May 2023 14:29:36 UTC
Victim 3#
satoshi on Twitter: "What's going on with OKX? The KYC interface shows that KYC1 users can withdraw 500,000 USD in 24 hours, but the withdrawal interface has a prompt…
archived 5 May 2023 02:17:35 UTC
OKX's Attitude#
- Numerous victims questioned OKX founder @star_okx on Twitter and were all blocked.
- The attitude of OKX's official customer service is also very arrogant. If users want to retrieve their assets, they are given a few options:
- Submit more private and biometric data for forced verification (not guaranteed to be approved)
- Contact their "specialist" and provide more private data through strange channels like QQ, and record an extremely humiliating video, assuring them on camera that you are a good person, and then they will consider allowing you to retrieve your own money.
- One victim stated:
- Some notable statements from customer service:
- Users cannot withdraw assets, "Your assets have always been in your account"
- Users wanting to withdraw their assets must have "special reasons" to do so
In plain language, their attitude is "Your property is in my hands, if you want it back, you must provide your facial data; otherwise, the money is mine." Is this not extortion?
How Other Exchanges Handle This#
- Binance modified its KYC rules in 2021, announcing it two months in advance here. After the new rules were implemented, users with low KYC levels could not trade but could withdraw.
- Bybit will prohibit users with low KYC levels from using the platform on May 8, 2023, but it will not affect the withdrawals of existing users, and they issued a notice to the media at least two weeks in advance here
Progress#
Users merely want OKX to:
- Provide an explanation and apology for this matter
- Give affected users the opportunity and time to opt-out
It has already been so difficult.
Some Reddit users have contacted lawyers involved in the FTX lawsuit, and other victims are preparing to sue OKX:
Related Media Reports:#
Finally#
Traditional stock exchanges are not as centralized as centralized exchanges (CeFi).
Because CeFi can help you store money, facilitate trades, decide which coins to list, and even have enough power to manipulate the market, all while lacking regulation.
This is equivalent to combining traditional banks, stock exchanges, securities regulators, and casinos into one, a formidable entity that embodies the Holy Father, the Holy Son, and the Holy Spirit, the opposite of decentralized trust.
-- @Brave2049
The most centralized exchanges should face the strictest regulations, which is beyond doubt.
OKX's recent blatant breach of contract and seizure of user assets is not due to regulation; rather, it is the lack of effective regulation that emboldens such arrogance.
If you believe that OKX's actions have violated user rights, please spread the word, and let us raise a small voice for this seemingly trivial matter together.
If you think it doesn't matter, then please refrain from saying:
"If you haven't committed a crime, why are you afraid to upload your privacy?"
This incident in the cryptocurrency space, a place abandoned by the gods, is like a leviathan trampling a nameless flower, unnoticed and unheeded.
If I myself do not care, then when the leviathan truly reveals its fangs, perhaps in the next silent spring, no one will survive.
Easter Egg: Cyber Bitrun Designated#
(Developed by @lyric Ask BitRun)