The hard forks of Bitcoin Cash exchange OKEx without warning shut down a few positions on the BCH-futures $135 million because Of this, some traders suffered losses, according to Bloomberg.
November 14 the exchange OKEx changed the terms of futures contracts for Cash Bitcoin, arguing that the protection of clients from emerging market volatility associated with the future hardforum.
On 15 November due to technical faults on the platform, traders could make trades in two hours, while the market was volatile.
According to managing Consensus Technologies Chao Canha, OKEx suddenly closed the position of his Fund is not prevailing at that time market price. Because of this, the Fund lost $700 thousand. He added that due to the ambiguous reaction of the management of the exchange for hardwork the Bitcoin network, its five-million Cash Fund will reduce cooperation with OKEx. In addition, one trader, who requested anonymity, filed a complaint against OKEx to the Commission on securities and futures of Hong Kong.
“OKEx loses credibility. A futures contract has become some kind of nonsense, not the fact that we could use for hedging”, — said Chao Canha.
As stated by the head of OKEx Andy Cheung, is a “fair and rational” the decision was aimed at avoiding the manipulation of the market.
Note, 12 November the representatives of OKEx issued a safety warning to customers, which referred to the need to focus on “managing risk to avoid losses when trading before and during hard forks”.
We will remind, in the beginning, the community accused the exchange in market manipulation of bitcoin futures. Later, representatives OKEx stated that this information is not true.
ForkLog previously reported that low liquidity of the OKEx not allowed to liquidate a long position of $415 million due to the current situation, the exchange increased the insurance Fund to 2500 BTC.
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