“Bitget prevented me, a Fully KYCed user of their platform, from withdrawing my tokens,” Luthra stated to Cointelegraph, adding:“After I sold this portion of my allocated tokens, my funds —including the crypto […] I already had on the exchange before REELT — were blocked, and the company stole what my tokens were worth for themselves.“According to Gracy Chen, Bitget’s managing director, the exchange previously announced an investigation into the case, disclosing the findings weeks later along with a compensation plan for more than 500 clients using both the company’s own funds and funds from frozen transactions.“At Bitget, user protection is our top priority. When we detect any illegal or fraudulent behaviors on our platform, we take immediate action,” she wrote in a post on Aug. 4, saying the exchange had not been notified of the lawsuit at that time.Some recent news mentioning a potential lawsuit about us from one advisor of REELT project, contains both facts and FUDs. Regarding the “abnormal trading behavior” of the REELT token back in April, we have announced the investigation results and user compensation plan in our…— Gracy Chen @Bitget (@GracyBitget) August 5, 2023
In response to Chen, Luthra noted that he was just an “ordinary user who received the tokens as compensation for a consultation” and should not be considered part of the project team. I am an ordinary user who received tokens as compensation for consultation, just as you received tokens for listing.Holding me responsible for the price drop or considering me a part of the project is an unreasonable assumption. I am no more involved in the project than you…— EvanLuthra.eth (@EvanLuthra) April 6, 2023
In its blog post, Bitget issued a response to the event and outlined that it was in communication with Luthra soon after the event took place. The exchange explained the reasoning behind its actions: “After our investigation, we believe the account mentioned has been involved in suspicious trading behaviors on Bitget.“ Bitget blog post excerpt. Source: BitgetOn X (formerly Twitter), crypto community members expressed mixed reactions to the lawsuit. While some of Luthra’s supporters observed that the case exposes common issues faced by users of centralized crypto exchanges, others claimed otherwise, saying Bitget acted correctly by protecting its users.Best support by cex exchange in the #Crypto ecosystem is always more important than their services.
Similar it doesn’t matter that you have made best product but if you don’t have enough good service center then it is worthless.
Without support the product and services is…— AmanSai (@amansaiofficial) August 4, 2023
Several prominent figures from the crypto community jumped in to have their say on the matter, including Changpeng Zhao, the CEO of Binance. You should talk to them, right? We are not a regulator for other exchanges.— CZ Binance (@cz_binance) April 6, 2023
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