Beribit Halts Asset Movement Due to Fiscal Irregularities

This past weekend, the Beribit exchange office in Moscow was the scene of chaos as an agitated group of investors gathered to demand the return of their significantly frozen assets. The Russian cryptocurrency exchange plunged into disarray following the revelation of anomalies in its accounting, leading to a halt in withdrawal transactions.

In an effort to obtain answers, about 50 individuals made their way into the iconic Moscow Federation Tower where Beribit’s office is located. They were there to inquire about their combined 400 million rubles (equivalent to $4.2 million) which were locked in the exchange.

As the situation grew more tense, Beribit staff attempted to placate the crowd by distributing chocolates and pledged to unlock and return half of the impounded funds. Videos capturing this peculiar approach to pacification circulated widely across social network platforms.

The issues at Beribit came to light on April 26 when the exchange opened up about its financial discrepancies and launched an inquiry. This development caused a pile-up in processing both deposits and withdrawals, leaving clients anxious and angered.

Amid the tumultuous atmosphere, Beribit declared its intentions to start issuing refunds on April 27 and mentioned that a number of clients had already recouped their money.

Legal Complications

Adding another layer of complexity, a new requirement for those asking for refunds has emerged, stipulating that they submit a formal police complaint. The Telegram channel SHOT reported that only a select few have successfully retrieved their investments adhering to this new requirement.

Prior encounters with law enforcement have cast a shadow over Beribit, including a March 29 search related to the Crocus Hall terrorist attack probe, suggesting ties between cryptocurrencies and the financing of terrorist acts. These events have cast further doubt on Beribit’s financial stability and integrity.

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