Coincheck’s Withdrawals Frozen as Wallet Loses Over $723 Million

Nearly $600m worth of NEM as well as a shift of a $123m Ripple payment has shut down the exchange.

Coincheck’s users were in store for an unexpected surprise Friday as the Japanese crypto exchange has now suspended all withdrawals, effective immediately. The abrupt decision was taken after a Ripple payment worth $123 million (101,265,057 XRP) departed its wallet in tandem with other unconfirmed and sizable withdrawals.

Discover credible partners and premium clients at China’s leading finance event!

Join the iFX EXPO Asia and discover your gateway to the Asian Markets

The trade freeze looks to be tied to NEM, which consequently saw the following message sent out to users on the exchange: “Depositing NEM on Coincheck is currently being restricted. Deposits made to your account will not be reflected in your balance, and we advise all users to refrain from making deposits until the restriction has been lifted.”

Adding to the chain of events were unsubstantiated reports of upwards of $600 million of NEM leaving the exchange, per a report on CoinTelegraph. This move has come in tandem with the $123 million shift on Coincheck, ultimately prompting the freeze.

Suggested articles

Trading Provider INFINOX Grows Institutional Brand IX Prime by 50%Go to article >>

As such, Coincheck’s deposit restrictions have spread to cover all NEM sales and purchases, which also includes withdrawals. At the time of writing the crypto exchange has stopped all currency withdrawals, both crypto and fiat.

With over $720 million suddenly in flux, it remains anyone’s guess when the suspensions will be lifted. Finance Magnates will update the story as it develops.

Got a news tip? Let Us Know