OKEx Responds to Market Manipulation Allegations

OKEx, the second largest crypto exchange in the world by market cap, has refuted that it had any involvement concerning market manipulation in regards to Bitcoin Cash (BCH) futures settlements. The firm, which had made news back in September for its founders ties to his involvement with WFEE, a blockchain Wifi sharing project.

In a controversial move, OKEx,  chose to deliver BCH futures early. The company had previously announced that all Bitcoin Cash futures contracts had been set to stop trading due to the upcoming hard fork of Bitcoin Cash, Bitcoin ABC, scheduled for November 15, 2018. This left the exchanges PR department to deal with angry clients as OKEx forced the early settlement of its Bitcoin Cash contracts without warning, leaving the traders positions to close out at undesirable levels.

While the OKEx’s community expressed their outrage at the firm’s decision to choose which price to settle at with no prior notice. The did issue a statement on their website detailing their reasoning behind the move:

“It has come to our concern that an early announcement may make room for market manipulation and cause loss to our users. Therefore, we decided to give a short notice in order to maintain the fairness and stability of the market.

OKEx will never perform any early delivery without prior notice, except for extremely special cases like the BCH hard fork.”

Addressing the situation surrounding OKEx, a company called AMBER AI, declaring itself as a global, diversified electronic trading and technology firm, took to the internet and created a Medium post, that outlined not only the crypto exchanges disregard for its terms and agreements, but stated that OKEx conducted in “outright market manipulation and one of the more serious acts of fraud in the history of limit order book trading in the cryptocurrency markets.”

OKEx issued a response stating:

“In the absence of evidence, Amber AI alleged us for trading against our own customers and manipulating the markets. These are completely false allegations and the defamatory statements have caused serious damages to OKEx’s reputation.”

The exchange further added that they may pursue legal action if AMBER AI did not desist from harassing the company.