BitMart Employees Demand Answers on Frozen Funds Amid Exchange Shutdown

BitMart, a cryptocurrency exchange that recently shut down its services, is facing allegations of asset mismanagement. Employees claiming to be part of the company have taken control of its Chinese X account and accused founder Sheldon Xia and partner Yi Li of failing to explain frozen user funds and unpaid salaries.

The employees have issued five key questions that need to be answered by 19 August. They are demanding that Sheldon and Li provide details on where user funds are being held, why some customers cannot withdraw their money, and when management first knew there were problems with withdrawals.

The group is also asking for a thorough investigation into all funds related to BitMart user assets, including affiliated accounts, related companies, trusts, and other fund arrangements. They want the company to pay employees their due salaries and compensation in full.

Sheldon quickly responded to the demand, calling the posts 'fabricated rumors.' He stated that the company had collected evidence of the claims and planned to file a police report and send a lawyer's letter to X for technical and data checks. Sheldon emphasized that customer assets would remain the priority and that employees would not receive special treatment over customers.

Blockchain investigator ZachXBT questioned Sheldon's response, suggesting that if BitMart actually has the liquidity, it should return funds to users instead of posting vague statements.