BitMart Founder Denies Fund Misuse as Withdrawals Accelerate Amid Uncertainty

BitMart founder Sheldon Xia has denied allegations of misusing customer deposits after his exchange announced its shutdown nearly three weeks ago. The concerns over delayed withdrawals have been growing, with users seeking answers on the status of their funds.

Xia refuted claims that he had removed or misappropriated customer assets before announcing the shutdown. In a statement, he emphasized that he did not abandon his duties in relation to the exchange and urged users to rely on verified information from official channels rather than unsubstantiated claims made by current or former employees.

Despite Xia's reassurances, withdrawal processing has accelerated in recent days. According to CryptoQuant data, withdrawals have surged to over 200 per hour since August 7th, with some periods reaching up to 400 transactions per hour. This increased activity indicates that BitMart has progressed from reviewing its assets to actively satisfying withdrawal requests.

However, the exchange's financial position remains uncertain due to unpaid obligations and undisclosed liabilities. The acceleration in withdrawals is a positive sign, but it is essential for BitMart to sustain an average rate of 300 hourly or higher for both ETH and all other assets to support Xia's claims.