Now, the European Union financial watchdogs are looking at OKX with beady eyes. They are probing the platform for its possible role in laundering stolen money related to the $1.4 billion Bybit hack that occurred in February. This criminal investigation and these allegations first came to the public’s attention in a Bloomberg News report on March 11. OKX has refuted those claims, claiming the report is incorrect in suggesting it played a role.
The exchange confirmed to having processed some of the funds from the February hack. Bloomberg's report alleged that EU regulators are examining OKX's decentralized exchange (DEX) aggregator and wallet services. The crux of the matter — besides recurring hacks — is February’s hack of Bybit.
Notably, OKX denied the allegations in a blog post on the same day the Bloomberg report dropped. The company has further clarified that swaps are not the main purpose of its selfcustody wallet service. As they pointed out, it is an aggregator not a custodian of the user assets.
OKX Web3 is a browser and search engine for blockchain. - Xu
OKX’s Web3 Service—a browser and search engine integrated with blockchain technology—helps the company to claim their second spot. Even when acting as an aggregator, OKX continues to defend its position that it is not a custodian of customer assets. It claims that it has robust security practices to stop illegal activity in its tracks.
"Our dynamic database of suspect addresses blocks hackers and bad actors real-time, while proactive alerts warn you about risky transactions." - OKX
OKX had only recently returned to the U.S. market after a $505 million settlement with the Department of Justice (DOJ).
