AscendEX Exchange Faces Withdrawal Issues as ZachXBT Flags Potential Liquidity Problems

Jun 26, 2026

Cryptocurrency exchange AscendEX is facing potential liquidity issues after multiple users reported stuck withdrawals. On June 26, blockchain investigator ZachXBT flagged that the exchange's hot wallets lack large-cap tokens like ETH and USDT. Data shows its wallets hold ~$20.2M, dominated by small-cap assets. The exchange, which suffered a $78M hack in 2021, has not publicly responded to the allegations.

AscendEX withdrawal delays

▪As of June 26, 2026, AscendEX had not issued a public response to the allegations.
▪Multiple AscendEX users have reported that their fund withdrawals are stuck or delayed for extended periods.
▪In some cases, funds were removed from user balances but no blockchain transaction hash was generated.
▪One user reported a 4,196 USDT withdrawal has been stuck in an "initiating" state since June 10, 2026.

ZachXBT liquidity investigation

▪Data from Arkham showed AscendEX-tagged wallets held about $20.2 million in crypto, primarily in smaller-cap assets.
▪On June 26, 2026, blockchain investigator ZachXBT flagged that AscendEX may be facing liquidity issues.
▪ZachXBT advised the public not to deposit funds to the AscendEX exchange.
▪ZachXBT's analysis showed AscendEX's known hot wallets lack large-cap tokens such as ETH, USDT, and SOL.

Hot wallet versus cold storage

▪Low balances in an exchange's publicly known hot wallets do not definitively prove insolvency.
▪Most cryptocurrency exchanges store the bulk of customer funds in offline "cold storage" wallets, which are often untraceable.
▪Concerns about crypto exchange liquidity are highly sensitive following the 2022 collapse of FTX, which exposed a multi-billion dollar shortfall.

AscendEX security history

▪The exchange suffered a $78 million hot-wallet hack in December 2021 that was attributed to the Lazarus Group.
▪AscendEX, formerly known as BitMax, was launched in 2018.
▪In May 2026, AscendEX halted trading for two stablecoins after reporting "irregular token minting activity."

Recovery scam warnings

▪Users affected by the AscendEX withdrawal delays are being targeted by fraudulent "recovery" services demanding upfront payments.
▪This type of secondary scam commonly follows disruptions at cryptocurrency exchanges.