Bittrex, the US-based cryptocurrency exchange, has received a favorable ruling from a Delaware bankruptcy court, allowing it to resume customer withdrawals. The exchange filed for bankruptcy in May but faced opposition from the US government, which claimed it was owed millions for sanctions violations.
A recent ruling by Judge Brendan Shannon has authorized Bittrex US and its affiliates to permit customers to withdraw their cryptocurrency assets and fiat currency. However, the ruling does not determine asset ownership or prioritize customer claims over the government.
Bittrex’s Legal Battle and Bankruptcy Filing
Bittrex faced legal challenges from US regulators, including the Securities and Exchange Commission (SEC), which accused the exchange of operating an unregistered securities exchange. These charges led to Bittrex’s decision to cease operations in the United States on April 30. The company filed for bankruptcy protection in May, with its assets and liabilities estimated to be between $500 million and $1 billion.
Delaware Bankruptcy Court Ruling Judge Brendan Shannon’s ruling authorizes Bittrex US and its affiliates to allow customers with undisputed, noncontingent, and liquidated claims to withdraw their cryptocurrency assets and fiat currency. This ruling represents a significant development for Bittrex customers who have been awaiting for Bittrex withdrawals to happen.
Bittrex’s Withdrawal Process and Future Challenges
Following the court ruling, Bittrex plans to open its platform for customer withdrawals on Thursday, June 15. Customers can initiate the withdrawal process by logging into their Bittrex account, accessing the “Holdings” section, and clicking on the “Withdraw” button.
They can then select the desired cryptocurrency, specify the withdrawal amount, and provide the recipient’s wallet address. It is crucial to double-check the accuracy of the address and blockchain network to avoid any errors or loss of funds.
Bittrex Withdrawal Process – How to Retrieve Your Crypto
To facilitate the withdrawal of your cryptocurrency assets from Bittrex, follow these simple steps:
- Log in to your Bittrex account: Access your Bittrex account using your login credentials.
- Navigate to the “Holdings” section: Once logged in, locate and click on the “Holdings” option in the main menu.
- Initiate the withdrawal: Look for the “Withdraw” button and click on it. Choose the specific cryptocurrency you wish to withdraw from the available options.
- Enter withdrawal details: Paste the wallet address of the recipient to whom you want to send the cryptocurrency. Double-check the address’s accuracy and verify that it corresponds to the correct blockchain network. You can find your ZenGo wallet address in the ZenGo app by selecting the asset you want to receive.
- Specify the withdrawal amount: Indicate the amount of cryptocurrency you want to withdraw from your Bittrex account. Make sure to enter the correct value.
- Include any necessary memo or message: Depending on the cryptocurrency you are withdrawing, you may be prompted to enter additional information such as a message/payment ID/tag/memo. Ensure you enter the correct details in the provided memo field if required. If no memo field is necessary, acknowledge it by moving the slider accordingly.
- Confirm the withdrawal request: Review the withdrawal details to ensure everything is accurate. If you have enabled two-factor authentication (2FA) for your Bittrex account, you will need to enter your 6-digit authenticator key at this stage. Once all the information is verified, click on the blue arrow or “Continue” button at the bottom of the pop-up to finalize the withdrawal request.
It is important to note that the withdrawal process may vary slightly depending on the specific cryptocurrency and platform requirements.
What If I Need Help With Withdrawals?
Bittrex’s legal battle and subsequent bankruptcy filing have come to a pivotal point with the recent ruling by the Delaware bankruptcy court. The order allows customers with undisputed claims to withdraw their cryptocurrency assets and fiat currency.
While this development relieves Bittrex customers, it does not resolve ongoing ownership disputes or prioritize customer claims. Customers need to follow the proper withdrawal process outlined by Bittrex to ensure a smooth and secure retrieval of their funds.
If you need any assistance with the process, our CipherTrace crypto analysts are at your disposal. We can help you collect all the evidence and guide you through the withdrawals and any potential disputes. Book a free consultation today!