Users Accuse OKX Exchange of Locking Funds and Random KYC Demands

A post on X describes withdrawal restrictions and compliance reviews, as OKX’s CEO previously admitted some users were affected by mistaken security flags.

Written By:
Luca Stephan

Reviewed By:
Gopal Solanky

Users Accuse Okx Exchange Of Locking Funds And Random Kyc Demands

Users on the social media platform X have reported difficulties accessing funds and their accounts on cryptocurrency exchange OKX.

One detailed post alleged that withdrawals were blocked following a random request for “additional verification” on an account that had already completed Know Your Customer (KYC) requirements. The user described the experience as an unresolved support loop that eventually resulted in account closure. 

OKX reportedly cited potential transactions with blockchain addresses flagged under its Terms of Service as the reason for suspension, referencing compliance procedures related to high-risk counterparties.

Allegations describe verification and restriction cycle

According to a post on X, the process begins with a prompt for extra verification despite an existing KYC record. The user claimed that, once restricted, withdrawals were unavailable and customer-support interactions led repeatedly back to the same verification request. The account was later closed, with OKX citing a violation of Section 3 of its user terms.

In a subsequent post, another user made similar claims regarding stalled withdrawal processes. These accounts have not been independently verified, and OKX has not issued a public statement addressing these specific incidents.

OKX’ prior statements on the matter

While the team is not responding to these reports officially, OKX CEO has previously acknowledged that automated security systems can occasionally produce “false positives,” resulting in temporary account restrictions.

Such systems are commonly used across exchanges to comply with Anti-Money-Laundering (AML) and counter-terrorism financing (CTF) regulations.They monitor for links between user transactions and blockchain addresses associated with sanctioned or high-risk entities.

Centralized exchanges hold considerable control over user accounts, making transparent procedures and accessible support essential to sustaining trust. Whether OKX clarifies these recent reports or introduces clearer verification guidance remains to be seen.

Also read: Binance And OKX Announce Crypto Payment Cards for Brazil


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Luca Stephan is passionate about technology, finance, and innovation, building his career at the intersection of business, AI, and digital assets. With experience in content creation, digital marketing, and research, he now writes for CryptoTimes, where he brings curiosity, clarity, and an analytical perspective to the world of cryptocurrencies and blockchain.
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Gopal Solanky is a Research Analyst and Writer with over 5 years of experience in DeFi, blockchain, crypto, IT, and financial markets. With a Bachelor's in Computer Applications, he brings a strong technical foundation to his analysis and reporting. Gopal focuses on breaking down complex topics for both seasoned investors and curious readers. His work has been referenced by publications like Business Insider and Vulture.com, highlighting his contributions to industry stories around topics like Huwak Tuah Memecoin and the FTX collapse.