- Ray Youssef, former CEO of Paxful, announced that withdrawals from the platform were now available to most users.
- Ray Youssef informed his followers on Twitter that 88% of the accounts that had been frozen were already eligible for withdrawals.
Earlier this month the P2P trading platform announced that would suspend your marketplace and they did not know if operations will resume at some point. However, no further details were shared regarding the reason for the cessation of operations.
After that announcement, the CEO of Paxful assured that the wallet would remain active to allow customers to withdraw their cryptocurrencies and, of course, they assured that the funds are “fully accounted for”.
On Twitter, Youssef emphasized that the platform is under the supervision of a custodian and they do not plan to walk away with the funds. At the time, he noted that Paxful still had $4.4 million USD in funds frozen, roughly 3.3% of all money deposited on the platform.
Now, As his last act before resigning, on April 16 he assured that he managed to unfreeze 88% of the accounts. But is it really so?
Ray Youssef, who until April 18 was the CEO of Paxful, informed his followers on Twitter that 88% of the accounts that had been frozen were already eligible for withdrawals.
Annoying users say they can’t withdraw their cryptocurrencies
However, as is often the case on Twitter, this caused quite a stir. Many Paxful users responded to Youssef stating that they still could not withdraw their money from the platform, and as expected, they qualify them as a “scam”.
“SIf your account is still frozen, I’m sorry, but I have no power to unfreeze those funds and they are in the hands of US regulators. I have no access and have never had access to client funds. Avoid American companies and always self-custody!”, Youssef explained to the avalanche of comments.
This annoyed even more the people who claimed how it could be possible that the funds are now in the hands of US regulators.
Likewise, the former CEO of Paxful argued that he worked hard to ensure that 88% of the frozen accounts obtained access to their funds. So much so, that he could be in danger of “contempt of court.”
Lastly, he told those who still couldn’t withdraw not to bother posting. “If it’s frozen, it’s for a reason. It’s called compliance and no CEO can undo it.”
On Monday, April 17, the official Paxful Twitter account issued a brief statement announcing Ray’s resignation as CEO of the company. It will remain to be seen how the next few days unfold and if the people with their frozen funds manage to access them.
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