Bitget unfreezes accounts and reverses trades following a significant price surge in VOXEL/USDT perpetual futures. The exchange detected abnormal trading activity on April 20, leading to temporary account suspensions and trade rollbacks. Bitget has pledged to compensate affected users, assuring that user funds remain secure and emphasizing its commitment to market integrity.
The event was all about VOXEL, a small-cap gaming token. This token saw over $12 billion in trade volume in a day. Furthermore, the volume exceeded even Bitcoin.
The sudden price surge gave some traders a chance to front-run the move, with some reportedly making six figures with little capital.
In response, Bitget was quick to investigate the issue and announced that they would roll back all suspicious trades. The exchange ensured the safety of users’ funds, only affecting accounts involved in the unusual activity. The CEO of Bitget, Gracy Chen, allayed the fears of the community and announced that a compensation plan will be coming out shortly. The platform’s $300 million fund will support this.
Bitget’s freezing of accounts, cancellation of trades, and forced liquidation of positions have sparked backlash; it reminds them of similar incidents on other exchanges that could hurt trust, which reminds them of things that happened on other exchanges. These measures, although well-meant, have critics, as they often end up penalizing innocent users for the benefit of the whole.
Although there was a backlash that led people to question the exchange’s motive, Bitget said otherwise. The exchange stated it will release a full investigation report in 24 hours and restore account access while compensating affected users.
Now that the situation has calmed down, we must strive to maintain justice, transparency, and responsiveness in times of market volatility. Currently, Bitget is under intense scrutiny as it strives to enhance the situation and meet the needs of its users.
