Crypto Exchange UpBit is not combating fraud with delayed withdrawals

[BrolySSJ 7899]

One of the biggest problems in the crypto world is fraud and there are many exchanges that have fallen victim to this. In order to combat fraud, however, the South Korean based crypto exchange, known as Upbit, has decided to introduce delayed withdrawals. 

 

This change in the exchange system is said to take effect from today (the 28th of November). Essentially what this means is that when you deposit Korean won into the exchange and then use it to buy any crypto, you can only withdraw that crypto 24 hours after the initial deposit of Korean Won into the exchange. At first, I did not understand this delay, and why it is inly applicable to cash deposits, but upon reading the article further, it seems that this movement is an effort to try and combat financial fraud by identifying it in advance. 

 

As a result, in cases of phone phishing, where the users are scammed out of sensitive information relating to the exchange, the user will receive a notification of a pending withdrawal for 24 hours, and give them the opportunity to cancel the withdrawal if it was not them, therefore stopping the scammer from receiving the funds. In my opinion, this is a great initiative and it can definitely be of great assistance in the future of this exchange as it shows a sense of reliability. 

 

I think that perhaps it may be a good idea for yobit to adopt a similar system in the future, as it may be better for security measures. What do you guys think?

[Frodler 943]

I think these is a welcome idea, especially if it can actually combat the fraud that is in question, but I believe if there are other better methods it will definitely be better, delaying withdrawal might actually make some users seek for a faster platform. 

[Smallingcane012 344]

Crypto exchange is never delays the exchange any more because is one of those things why I like crypto exchange so nothing like delay meant in crypto exchange.

[Nila2020 393]

I think every member of us is honest about the work of this forum. This forum is a family.' No fraud in this forum. Only then can this forum go ahead. And you will be protected from fraud.

[cryptovlek 2597]

I thought Upbit required KYC for anything and wouldn't allow withdrawals without this. Having an extra security layer is good but it also mean that centralized exchanges are making the lifes of almost all their users harder because one or two they haven't identified were scammers.

[M Awais Arshad 371]

Sorry from my side.

I didn't heared about it till.I heared this name firstly.I don't have any idea about it.

It will be very good favourable  for me that if you share some more details about  it .

Thank you

[Syedbesharat 5423]

This is upbit good initiate where the user can avoid any phishing attack. Also you can cancel as well. This means you have option for 24 hours. As this condition is apply to all users who hold account can also have notification from exchange about Deposit. But I think it will be good if they ask for secret question which would confirm the account holder identify. It is quit good policy of exchange for securing users future with exchange. This extra security layer is praise worthy effort from. Exchange. 

[yonkii 3205]

I don't think that 24 hours for withdrawal is something I will get used to, it may be very bad idea even for this Upbit exchange and it can make many people angry and quit for another exchange. If Upbit thinks that their security is not strong enough they should be investing in it, since they should have so much profit that this wouldn't be a problem to them.

[annayks 2314]

Maybe a plan like that could help in cases of exchange hacks. One day should be enough to find and block the accounts involved, cancel withdrawals and return the funds to the affected accounts. Although, I think that the small withdrawals shouldn't be affected, perhaps amounts of $100 should be delivered instantly.

[zhoutong 2188]

Most exchanges have very good security now and while some are still getting hacked, this is probably an inside job, in most of the recent cases we have seen. So, it won't matter to me if Upbit has a system of 24 hours or 24 days for withdrawals.

[bogdanoff 3173]

First time I read about delayed withdrawals, who knows what else they can think of. Not that it matters at all but if there was a big withdrawl it should have been send as a notification in the email or perhaps sms if there was a phone connected.

[percare 3192]

The exchanges have many fears of getting hacked because of the events that keep happen for years and anything like that could be a good method, but then again we are used to transfer our funds instantly, or with the blockchain confirmation times, so most traders wouldn't want to see 1 day for their withdrawal to be validated.

[Fixfin 2569]

This should be an option for the customer to select, in case someone feels that there is reason to have a 24hour delay for withdrawls then there should be an option to enable this feature, otherwise it should be started automatically. 

[Pereira 2303]

This would be a double-edged sword since if we think about whether the scammer was the money guy and the person wanted to buy it, the person transfers him and at the time the scammer cancels the transfer, the person who deposited never gets the balance and for Therefore, you will be scammed again, these functions must be very careful companies with respect to this.

[Samotokika 1780]

On 11/28/2020 at 12:54 PM, BrolySSJ said:

One of the biggest problems in the crypto world is fraud and there are many exchanges that have fallen victim to this. In order to combat fraud, however, the South Korean based crypto exchange, known as Upbit, has decided to introduce delayed withdrawals. 

 

This change in the exchange system is said to take effect from today (the 28th of November). Essentially what this means is that when you deposit Korean won into the exchange and then use it to buy any crypto, you can only withdraw that crypto 24 hours after the initial deposit of Korean Won into the exchange. At first, I did not understand this delay, and why it is inly applicable to cash deposits, but upon reading the article further, it seems that this movement is an effort to try and combat financial fraud by identifying it in advance. 

 

As a result, in cases of phone phishing, where the users are scammed out of sensitive information relating to the exchange, the user will receive a notification of a pending withdrawal for 24 hours, and give them the opportunity to cancel the withdrawal if it was not them, therefore stopping the scammer from receiving the funds. In my opinion, this is a great initiative and it can definitely be of great assistance in the future of this exchange as it shows a sense of reliability. 

 

I think that perhaps it may be a good idea for yobit to adopt a similar system in the future, as it may be better for security measures. What do you guys think?

Yes dude I agree with you that there is too much security problem these days and people are continuously stealed by the fraudulents. So this is a good way to be safe from such scammers and thank you so much for your suggestion and idea.