Bitcoin Daily: South African Crypto Exchange ICE3X Closes Operations

South African cryptocurrency exchange ICE3X is closing down its operations almost a month after suspending deposits and trading when the platform discovered “discrepancies” in its Bitcoin and Litecoin holdings, according to a status update published Tuesday (April 6).

The exchange has been advised to begin liquidation proceedings, the firm said in the update. ICE3X first suspended all deposits and trading, as well as Bitcoin and Litecoin withdrawals, March 16 after noting the balance discrepancies and pending a full investigation.

All other currency withdrawals were being approved, and the exchange urged its users at that time to withdraw their funds “as soon as possible,” according to the update.

On March 18, ICE3X said that its preliminary investigation found a shortage in both Bitcoin and Litecoin, the update stated.

“We are reviewing the trading and deposits/withdrawals history as well as cold and hot wallet transaction reports,” the exchange said at the time. “This process is taking longer than expected, and we are drafting in additional accounting resources to assist with this task.”

On March 23, the exchange disabled all withdrawals but said it would still process withdrawal requests manually for all currencies other than Bitcoin and Litecoin as the investigation continued.

ICE3X has not expounded on the final findings of its investigation. The firm said in Tuesday’s update that it would provide more details and next steps on Wednesday (April 7), but no update has been posted as of yet.

“Please be conscious of the fact that staff are operating under extreme pressure at the moment and can only provide assistance as directed,” ICE3X said in the update. “We understand your frustration, but please be respectful when communicating with service desk staff.”