HitBTC Account Freezes in Spotlight as Trace Mayer, John McAfee Claim Foul Play

Cryptocurrency exchange HitBTC has yet to respond to accusations it deliberately froze account withdrawals on Jan. 1, days prior to entrepreneur Trace Mayer's Proof of Keys event.

In a series of tweets, Mayer joined names such as crypto advocate John McAfee in voicing concern and even suspicion about HitBTC after users reported being unable to withdraw their funds.

Proof of Keys, which Mayer announced last month, calls on cryptocurrency investors to remove their coins from third party platforms in order to take control of their private keys.

At press time on Wednesday, HitBTC had not addressed Mayer's query publicly, while others added to the controversy surrounding the exchange on social media.

McAfee, who in September announced a concerted effort to counter what he called corruption at HitBTC, appeared unsurprised by the events.

Bitfi, the cryptocurrency wallet manufacturer endorsed by McAfee that previously faced a publicity battle of its own, joined the furore, claiming HitBTC was stealing money from its users.

Reddit user pedxs described on Jan. 1 how his withdrawals had been blocked after reportedly completing Know Your Customer requirements.

The user stated that after HitBITC had written in an email that "No further automated restrictions will be applied," the exchange has allegedly blocked his BTC withdrawals and frozen his account.

Another Reddit user posted about his locked funds after submitting KYC requirements, leading to a purported HitBTC support person, user paola balzano, to comment asking for a support ticket number to provide a follow up.

HitBTC has been approached for comment through their media email, but has not responded as of press time.