Bit4You customers can’t access their funds. Belgium’s leading cryptocurrency exchange platform has suspended operations, partly due to regulatory difficulties faced by its service provider CoinLoan in Estonia.
Bit4You customers funds blocked
The users of the crypto platform Bit4You are in turmoil. Since April 28, they can not access their funds. The decision was made public in a press release announcing the suspension of the platform’s activities. This suspension deprives more than 6.5 million euros to the 41,800 customers of Bit4You. This does not prevent the platform Bit4You to assert that this measure preserves the interests of customers.
In order to best protect the interests of our customers and in the interest of fairness, we have suspended the execution of transactions through the platform.Bit4You
According to Bit4YouThis difficult decision is the result of regulatory difficulties encountered by its service provider CoinLoan in Estonia. Indeed, the funds of the clients of Bit4You are stored on CoinLoan to generate profit. Unfortunately, CoinLoan was forced to cease operations on April 24, 2023 by court order. The Estonian authorities require approval from the provisional administrator before any CoinLoan. The process of obtaining this approval has already been initiated by CoinLoan but could take several days.
Bit4You reassures its customers
While the freezing of funds of the clients of FTX is still in the news in crypto, the decision of Bit4You is likely to worry its customers. Bit4You is well aware of this and was keen to reassure its users. The Belgian cryptocurrency exchange platform has announced that the interest of its customers is its number 1 priority. To this end, Bit4You reassures that all customer assets kept on CoinLoan will be repatriated to Bit4You. Steps in this direction are already underway.
The platform is also keen to maintain clear and frank communication with its customers. Bit4You promises to inform its customers about the progress of the procedure for repatriation of funds. The platform is also available to answer questions from its customers.
Beyond these assurances of Bit4You, things might actually be more complicated. According to our colleagues of the Echo several executives of Bit4You have resigned. These include the CEO and the financial manager from Bit4You. In addition, 6 out of the 8 members who form the board of directors from Bit4You have also thrown in the towel. Thus, the chairman of the board of directors Bernard Lemercier and the administrator Michel De Kemmeter ensure alone the operations of the platform.
Bit4You’s commitment to protecting customers’ funds and ensuring that they are made available to them as quickly as possible is commendable. We hope that Bernard Lemercier and Michel De Kemmeter will be able to honor this commitment. However, this mission will be difficult, especially if CoinLoan remains insolvent. This case is another reminder that assets on a centralized platform are at risk. It is better to keep your assets in your own decentralized wallet and better secure it.
I dream of a world where every citizen has total control over themselves, including their finances. I believe that Bitcoin is one of the tools that will achieve this revolution. Since 2019, I am learning about this cryptocurrency and spreading the word around.