BitMart account demands founder explain funds status, Xia calls claims ‘fabricated’

BitMart's Chinese-language X account issued a demand for a repayment plan by August 19, while founder Sheldon Xia dismissed the claims of blocked withdrawals and unpaid salaries as "fabricated rumors." The account stated that users were still unable to withdraw funds and some employees had not received their final salary or compensation.

Xia then called these allegations "fabricated rumors" on his own X post, asserting that evidence had been preserved. He promised to file a police report and send a lawyer's letter demanding technical and data forensics. BitMart had announced its shutdown on July 26, with trading to cease on August 26 and operations ending on January 31.

The exchange stopped accepting new deposits and registrations as part of the shutdown, warning that some withdrawals might undergo additional compliance and security reviews. As of August 8, Xia clarified that employees were not a priority over customers, and everyone was a client with no privileges. The tracked wallets held about $36.5 million, down from roughly $71 million on July 26 and $102 million on July 6.