Crypto Exchange Cobinhood Temporarily Halts Operations

Crypto exchange Cobinhood has shut down all user accounts for one month starting from January 10, the company said on its twitter account.

It added that the move is aimed at auditing accounts’ balances during the shutdown period.

The firm will resume operations on February 9, noting that users can then retrieve their funds accordingly. “Please DO NOT make any deposits; it may result in permanent loss.”

Rumors circulated in the last eight months that Cobinhood might have run off with customers’ balances in an “exit scam.”

However, CEO Popo Chen rebutted such rumors in May 2019, saying “that was not the case, though the firm had problems.”

Chen pointed out that the firm had a legal issue, which forced him out briefly, and operations had to be suspended. However, “The exchange was functional and not affected.”

The CEO also said, “The future plan of the company is not final yet. Shareholders are under positive negotiation and we may reach a final solution aiming before the end of July.”

Founded in 2017, Cobinhood is a crypto exchange that was supported by famous actor Jamie Foxx who promoted the firm’s initial coin offering of raising almost $10 million.  

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