OKEx Denies Manipulation Claims After Bitcoin Futures Rollback

Hong Kong-based crypto exchange OKEx is saying it had no role in its exchange's irregularity from last week.

AccessTimeIconApr 3, 2018 at 7:36 p.m. UTC
Updated Sep 13, 2021 at 7:46 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

Hong Kong-based cryptocurrency exchange OKEx has pushed back against allegations that it manipulated its bitcoin futures market last week.

As CoinDesk previously reported, OKEx rolled back futures trades due to what it called an "irregular" sell-off on Friday. At the time, futures prices sharply diverged from the underlying price of bitcoin, leading to a series of liquidations and the eventual rollback, which was initiated that afternoon. At one point, the futures price dropped to as low as $4,755 after an earlier fall to around $5,200.

Yet the developments also sparked widespread criticism across social media, which included allegations that OKEx played a role in manipulating the market. In a statement published Tuesday, OKEx rebutted the claims, stating that "we are not directly involved in the trades" and that it undertook the rollback in an effort to protect its customers.

OKEx said:

"We, as a trading platform, do not make profit from the price volatility, but generate income from trading fees. We have no reason to, and have never and will not, manipulate the prices of any of our market."

In the blog, the exchange highlighted several images circulated via social media that it claimed were fake. The images, OKEx said, were used in an effort to make it seem like the exchange was engaging in manipulation.

OKEx also clarified that it put new rules in place to prevent a similar sell-off from occurring, which went into effect on March 30.

"In light of this problem, new 'price limit rules' were immediately launched to prevent similar incidents from occurring," OKEx said. "We deeply apologize for the inconvenience caused."

Market graph image via Shutterstock


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.