Background: Abnormal Withdrawals Trigger Community Alert
On-chain investigator ZachXBT posted a community alert on X, reporting that multiple users of the centralized exchange AscendEX (formerly Bitmax) are experiencing significant withdrawal delays, ranging from several days to weeks, with some requests completely stuck. Using Arkham and TRM to inspect the exchange's known hot wallets, ZachXBT found a stark absence of major market-cap tokens such as ETH, USDT, and SOL, suggesting the exchange may be facing liquidity issues.
Exchange History: Previous $78M Hack by Lazarus Group
AscendEX was founded in 2018 by George Cao and Ariel Ling. In December 2021, the platform was hacked by the Lazarus Group, resulting in a loss of approximately $78 million. Although the exchange claimed to have resumed operations and strengthened security afterward, the current withdrawal delays have once again raised questions about its financial health.
Potential Impact and Risks
AscendEX has not yet issued an official statement regarding the incident. If the liquidity concerns prove valid, a wave of user withdrawals could further strain the exchange's reserves. For centralized exchanges, hot wallet reserve transparency is critical for user trust; such events typically prompt a re-evaluation of solvency and operational stability.