Massive Poloniex issues discovered

[Steve Sokolowski]

Updated: Poloniex resolved this issue a few hours ago. Thanks to John for his prompt attention! Our advice to avoid CCex still stands.

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We discovered massive issues with Poloniex today that have caused us to cease all operations with the exchange until further notice. Chris estimates that there are $600,000 in pending withdrawals that they have not paid out, across multiple coins. In particular, almost 1700 litecoins are in a "pending withdrawal" state and they have not processed any LTC withdrawals at all for us since late November.

Poloniex was contacted over a week ago and they have not provided any information about why so much money has disappeared into their system. We had believed that this was a one-time issue that had happened in the past, but it became a major problem today when we tried to withdrawal the money to pay everyone and discovered that new money is not coming out either. That's why the litecoin client returned "insufficient funds" earlier today and people submitted support tickets.

Chris will be taking more aggressive action against Poloniex should they fail to address this issue immediately after Christmas. We attempted to pull all customer funds from the exchange in other coins, but their withdrawal limit has prevented us from getting everything out today.

As a result, there will be a delay while we come up with money to pay out the 450 litecoins we still owe, from other exchanges. We were able to pay out a large number of litecoins a few hours ago and plan to get the rest out by tomorrow morning. There is no danger of customers not being paid since the money is available in other exchanges. We apologize for this issue, and we sincerely hope that Poloniex resolves this issue as soon as possible. As I'm sure you can imagine, seeing something like this happen at an exchange with such a large amount of money is concerning to us, and we hope that this is a misunderstanding.

[Eyedol-X]

I yanked anything I had out of Poloniex a while back, it's a shame that they continue to struggle with issues. The fact that their support is so lacking has reached the point of being highly questionable in my opinion because it appears to be something they are doing "by design" since they continue to have ongoing struggles with support that they seem to do little to nothing about.

[sirslayerjr]

i understand, thanks for the info!!! Noobs just sit back and what, dont bug the brothers as the are doing us a favor!

[travelinmusic]

Thanks for the info. Its kind of like the $50 bucks I'm missing here at the pro with the almost a week old unanswered ticket.

[Steve Sokolowski]

We got yesterday's litecoin payouts out from some money in Bittrex, so customers shouldn't have to deal with this issue anymore - but we'll still be taking steps against poloniex if they fail to resolve this issue after Christmas.

[pavvappav]

So, in light of the NiceHash hack, it would be understandable if sites were requiring human intervention prior to doing large payouts. I'm not saying that this is what is happening at Poloniex; however, it would make sense if it was. Its also a crappy way to run an exchange.

[Steve Sokolowski]

So, in light of the NiceHash hack, it would be understandable if sites were requiring human intervention prior to doing large payouts. I'm not saying that this is what is happening at Poloniex; however, it would make sense if it was. Its also a crappy way to run an exchange.

This issue has been resolved, and Poloniex paid out our balances. Thanks to John for his support!