Crypto exchange BitMart has released a preliminary proposal saying it will review its assets and liabilities and prepare response measures starting in August 2026.
BitMart said the proposal was developed during an initial due diligence process conducted by Alvarez & Marsal and White & Case. Users would be able to choose either an upfront distribution or a delayed path tied to potentially higher recoveries from sources that may later be recovered and monetized. The management team said it will continue to cooperate.
What BitMart said led to the proposal
BitMart said the total crypto market capitalization fell in 2026, while wash-trading groups profited from its derivatives business by exploiting commission and zero-slippage policies, turning fee-based business into a loss-making segment. The exchange also said the December 2021 hack created a balance-sheet shortfall of about $319.5 million, based on values as of Dec. 4, 2021.
From May 2026, BitMart said, social media attacks triggered panic withdrawals, and related individuals faced risks of personal information leaks.
Management also reviewed a $10 million liquidity proposal from one investor and concluded that it was insufficient to cover operating pressure and the balance-sheet gap.
User options under the proposal
The proposal would convert unpaid account balances into U.S. dollars using a weighted average price from July 26, 2026 to the record date, subject to review by an independent person appointed by the court.
Users could receive a pro rata upfront distribution in fiat currency, USDC, PYUSD, USDT and liquid assets including BTC, ETH and SOL. They could also choose recovery tokens at a rate of one token for each $1 to participate in claims tied to stolen assets, or elect continuation tokens tradable on decentralized exchanges. Those continuation tokens would correspond to investment interests, monetization of non-standard assets and a portion of distributable profit if the business restarts.
Next steps
BitMart said it plans to consult the top 50 users over the next three to four weeks and prepare a report estimating recovery rates under each option.