QuadrigaCX Exchange is Still Struggling with Long Delays for Enabling User Funds Withdrawals
According to recent reports, the customers of a crypto exchange known as QuadrigaCX are still unable to withdraw their money, despite the fact that it has been a month since the exchange won its recent court dispute. Another big issue that the customers have was a delayed announcement of the death of exchange's founder and CEO, Gerald Cotten.
Cotten had died due to complications that arose from Crohn's disease over a month ago, on December 9th, during his trip to India. However, the exchange kept quiet about it until this Monday. In the same announcement, the exchange mentioned working on processing withdrawal requests, but that some daily limits have been set.
Only one day later, QuadrigaCX sent emails to its users, stating that they are working on distributing the funds, although the process is advancing slowly, and that it will likely take around two more weeks for it to be completed.
Some members of the exchange's community stated that there is no lack of activity coming from the exchange's customer support. However, it is clear that the exchange is trying to avoid sharing delicate information regarding their CEO's recent death. Apart from that, they are quite active on social media, ready to answer any question their users might have.
According to QuadrigaCX, withdrawal issues which appeared after the Canadian Imperial Bank of Commerce froze the exchange's funds are still not resolved even though the exchange won its court dispute. The funds were briefly in the custody of Ontario Superior Court of Justice, but Judge Glenn Hainey returned them to the exchange soon after that.
The exchange's processor then went to another bank, the Bank of Montreal. However, according to their latest update, the new bank also decided to freeze the funds. Shortly after, the bank released the funds, although delays with the exchange's payment processor, Billerfy, appeared immediately after that, as the company had to endorse the bank drafts. Currently, the company is searching for crypto-friendly banks which they might be able to work with and provide services to the exchange's clients once again.
José Reyes, the owner and managing director of Billerfy also confirmed that the withdrawals would not be possible until the proper banking partner is found.
Meanwhile, the exchange's community is starting to get impatient, and numerous complaints appeared on social media such as Twitter or Reddit. Many have stated that they were impacted by these delays for weeks, or even months at this point, while others say that their withdrawals were marked as ‘complete,' while they never actually received their money.
QuadrigaCX Plans For The Future
The exchange seems to be aware of their customers' dissatisfaction, and they claim to be doing everything in their power to resolve the issues, which might take a bit more time. However, once the banking problems are resolved, they expect that things should return to normal in regards to withdrawals and deposits, as well as other services that the exchange provides.
QuadrigaCX has also introduced a few changes, such as the withdrawal limits, which may vary depending on the verification of each individual user. That way, those who fail to verify their accounts will only be able to withdraw $5,000 and $10,000 in crypto. However, those with a level 1 verification will be able to withdraw up to $25,000.
The goal behind introducing these limits is to prevent potential problems with the banking service in the future. Furthermore, the exchange plans to increase the number of Canada-based banks they work with so that not all of their money will be out of reach if a certain bank decides to freeze the exchanges‘ funds again.