Cryptocurrency exchange DragonEx, which stopped withdrawals a few weeks ago, came up with an interesting solution. The exchange reported that its users can withdraw their money but only if they obtain the DWQ token.
Singapore-based cryptocurrency exchange DragonEx announced on October 21 that it stopped withdrawing funds. The exchange reported that after the crisis of confidence created by OKEx’s cessation of withdrawals, users began to withdraw money from the platform in bulk, which deeply affected the service.
On top of that, DragonEx was not allowing users to withdraw money for about 20 days. At the same time, deposits were suspended. The company stated that the exchange is working on a restructuring plan to re-enable these transactions on the platform. In the statement, it was even stated that the platform may even be completely closed.
After this announcement, a second statement came from DragonEx.
DragonEx introduced an interim plan to allow withdrawals from the platform, in a statement the day before.
The statement included the following statements:
“Due to the uncertainty in the funding period and in order to shorten the waiting time for our users, our platform has decided to introduce a temporary plan to provide deposits and withdrawals gradually”
DWQ token solution
According to the announcement, users have to obtain DWQ tokens (DragonEx Withdraw Quota) in order to withdraw money. Here, 1 DWQ token will be worth 1 USDT. Exchange clients will be able to purchase DWQ tokens by trading, mortgaging or depositing. Users will be able to withdraw the amount of DWQ in their balance. The exchange also announced that the DWQ / USDT trading pair will also be opened as of November 15, so users can access DWQ tokens more easily.
Exchange officials stated that regular withdrawal transactions without the need for DWQ tokens can start in the future, and then all DWQ tokens will be destroyed.
The DragonEx exchange was also attacked on March 24, 2019, and cryptocurrency funds, the number of which is unknown but worth about $ 8.8 million at that time, were stolen from the platform. These cryptocurrencies are still claimed to be missing.