OkCoin, a cryptocurrency exchange that has been around since 2013, recently announced that it has halted USD deposits and OTC trading. This comes after the breakdown of the USDC depeg caused by Silicon Valley Bank's (SVB) liquidations, which led to many cryptocurrency exchanges suspending their USDC trading pairs.
The halt of USD deposits on OkCoin is a temporary measure, and the exchange has stated to its users that it is working to restore the service as soon as possible. Additionally, deposits through wire transfers and ACH have also been disabled.
OKCOIN USD DEPOSIT BY WIRE AND ACH IMMEDIATELY PAUSED. OVER-THE-COUNTER SERVICES WILL BE TEMPORARILY PAUSED TOO- OKCOIN CEO
— *Walter Bloomberg (@DeItaone) March 13, 2023
This move by OkCoin is just one of many by cryptocurrency exchanges that have been affected by the recent market turbulence. SVB's liquidations caused a depegging of USDC, which is a stablecoin pegged to the U.S. dollar. This caused many cryptocurrency exchanges to suspend USDC trading pairs and take measures to avoid excessive losses.
Despite the initial turmoil, the cryptocurrency market has already shown signs of recovery. The injection of $1 billion by Binance's fund to stabilize the market has been a significant factor in the recovery. Additionally, many exchanges have already resumed trading in USDC and other stablecoins as the value of the stablecoin returned to the expected threshold.
OkCoin has been a popular cryptocurrency exchange for several years, offering trading in a variety of cryptocurrencies, including Bitcoin, Ethereum and Litecoin. The platform has been a time-tested trading platform that has been widely used by both experienced and newbie traders.
As for now, the exchange has not shared any additional information regarding deposit limitations and is most likely working on the situation. It is also unclear whether the problem is tied to the most recent liquidation of SVB.
Yuri Molchan
Godfrey Benjamin
Tomiwabold Olajide