A recent statement claiming that Singapore-based crypto exchange Bitrue is misappropriating users’ crypto assets has stirred conversations within the XRP community.
Prominent critic of the XRP and Flare Community, Papabear, filed a complaint against Bitrue on Tuesday. In a viral video, he demonstrated how he made an XRP deposit in his account for a transaction, only to discover later that his crypto was transferred to an unidentified address without his initiation or approval.
Bitrue Allegedly Redirects User Funds
Papabear disclosed that the amount involved was approximately 2,045 XRP, valued at about $4,764 when he reported it. He confirmed that his account had three layers of security: Google Authenticator, Gmail confirmation, and a unique six-digit PIN.
After the incident, he reached out to Bitrue but was informed that hackers had exploited his account to transfer the funds. Even after voicing his concerns, he noted that the Seychelles Registrar provided no assistance regarding the missing XRP.
He suggested that for someone to access his account for a fraudulent withdrawal, they would need his dynamic Google Authenticator code and his personal PIN, which only he knows. He posited that obtaining all three seemed highly improbable, hinting at the possibility of insider involvement in the withdrawal.
In a parallel tweet, Papabear pointed out that he wasn’t the only victim; several other Bitrue users reported similar predicaments, indicating a pattern that suggested the platform might be facing serious issues with its crypto assets.
Moreover, his posts have garnered the attention of Elichan, a recognized leader in the XRP community, who shared Papabear’s tweet urging others facing similar problems to speak out for further action.
Bitrue’s History of Complaints
Bitrue launched in 2018 as a crypto exchange focused on XRP but later expanded to include over 700 cryptocurrencies and 1,100 trading pairs.
However, it has a track record of unresolved customer complaints, hacking incidents, and accusations of market manipulation. The absence of oversight from major financial authorities only adds to the skepticism about the exchange.
Reports indicate that a year after its inception, Bitrue suffered a hack involving XRP and ADA that cost $4.2 million. They claimed that all affected customers would be compensated.
In another hacking incident in 2023, it reportedly lost $23 million, impacting hot wallets for Ethereum, Shiba Inu, and Polygon.
Additionally, Bitrue has faced multiple allegations of market manipulation, with some users accusing the exchange of influencing asset prices on its platform, resulting in traders’ losses.
While these claims remain unverified, it’s crucial for users to thoroughly research before selecting an exchange for trading purposes. At this moment, Bitrue hasn’t provided any response to the recent allegations.
