Key Details:
- Crypto exchange OKX has temporarily suspended its decentralized exchange aggregator following scrutiny from EU regulators over allegations related to laundering funds from the Bybit hack.
- OKX executives, including President Hong Fang, have refuted these allegations, calling them misleading and asserting the company’s commitment to fighting financial crime.
- In response to this issue, OKX has paused its DEX aggregator for implementing new tagging and security upgrades to ensure both transparency and user safety.
OKX has stopped its decentralized exchange aggregator after the European Union (EU) regulators began looking into how it was allegedly utilized by North Korea for laundering proceeds from a recent hack of crypto exchange Bybit.
According to a March 11 report by Bloomberg, the EU regulators are examining OKX’s Web3 services for alleged involvement in laundering Bybit hack funds, prompting President Hong Fang and other executives to label the report misleading, emphasizing the company’s dedication to compliance.
Hong Fang stated on Twitter, “I’m deeply disappointed that when we try to help our industry get safer, those we have helped sent misleading information instead and tried to create FUD. Regardless of what others do or say, we take our commitment to compliance seriously.”
Furthermore, an OKX spokesperson noted that after consulting with regulators, the decision to pause their DEX aggregator was made to facilitate new tagging and security enhancements, thereby ensuring transparency and user safety.
