Waves DEX users panic as USDT and USDC disappear

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Waves DEX users have been complaining that they can’t withdraw USDT or USDC from the exchange. On the Waves blockchain explorer, withdrawals of USDT and USDC seem to be working normally but users are struggling to get their transactions actioned in reality.

When looking at the Waves DEX Ethereum bridge, it seems that it’s been depleted of all its USDC and USDT. Users took to Twitter to ask Sasha Ivanov, founder of Waves and the administrator of the Waves DEX to ask about their balances but received no replies.

Just one of the tweets questioning the fate of DEX users’ funds.

Read more: Bitcoin briefly trades above $24k on Waves DEX as users jump ship

It’s still unclear where the USDT and USDC have gone, given that an informatic shows more than $58 million in USDT and another $31.5 million in USDC on the Waves DEX protocol.

Last month, Protos reported how bitcoin was sold at $24,000 on the Waves Dex after its Bitcoin and Ethereum bridges were disabled and users tried to pull their funds out of the exchange in any way possible. On-chain data shows that a lot of USDT and USDC left the DEX exchange during the past two months to wallets on Binance while Waves DEX staff confirmed that they occasionally pull out USDT and USDC from their gateways to cold wallets.

Protos couldn’t confirm, however, if the Waves DEX is using Binance to store and trade the crypto deposited on it.

Ivanov has always been very opaque on his level of control over the Waves blockchain network, but he appears to administer most aspects of it, including the algorithmic Neutrino stablecoin and the Waves DEX.

The original aim of the Waves blockchain was to create a decentralized financial system but suspicions have recently been raised over Ivanov’s handling of the exchange and Neutrino. His latest announcement relates to the launch of a DAO which doesn’t seem to be related to the governance of the Waves blockchain.

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