Skip to content

DragonEx continues the payouts with a temporary internal token mechanism

November 9, 2020

The cryptocurrency exchange DragonEx is imposing an interim measure to resume withdrawals after some issues last month.

According to a display On November 8th, DragonEx will introduce a temporary fix to allow cryptocurrency withdrawals. For the exchange, users must purchase so-called “DragonEx Withdraw Quota” tokens. A DWQ allows the withdrawal of 1 tether (USDT) of assets.

DragonEx executives said customers can acquire DWQ through transactions, Mortgage loans or deposits. “When users make a withdrawal, the same DWQ value is consumed,” the ad says.

DragonEx continues the payouts with a temporary internal token mechanism
DragonEx continues the payouts with a temporary internal token mechanism

According to the exchange, the DWQ-based withdrawals are a temporary solution to ongoing issues at DragonEx.

On October 21, DragonEx said that Suspension and withdrawal of all digital currencies due to issues caused by OKEx’s suspension of ongoing withdrawals. The exchange has been working on a restructuring plan to resume such services on the platform. DragonEx officials said the platform will be shut down if they fail to successfully reorganize by November 2nd. In yesterday’s announcement, the exchange stated:

“DragonEx has been actively seeking external investment recently, but the process takes time and there are uncertainties. To reduce the waiting time, DragonEx plans to gradually restore the token payout through a workaround. “

When the platform becomes profitable again, Withdrawals will be normalized again, which will remove the DWQ requirements, the DWQ mechanism and destroy all DWQ tokens.

Cointelegraph reached out to DragonEx for more information. however, received no response at the time of this writing.