The centralized crypto mixing protocol eXch announced plans to merge with an offshore entity to evade scrutiny over allegations of laundering funds stolen from the Bybit exchange.
Plans for Structural Changes
The centralized crypto mixing protocol eXch revealed on Bitcoin Talk that it plans to relocate its operations and leave its current structure in Belize due to regulatory pressure. The company announced new shareholders and board members to minimize risks for the founding team and continue operations while maintaining its principles.
Changes in Supported Cryptocurrencies
eXch also plans to delist the most popular stablecoins, Tether (USDT) and USD Coin (USDC), due to the risk of being blacklisted. Instead, the protocol will rely on the DAI stablecoin from MakerDAO. The service is updating its terms of service, warning US users of the risks of prosecution.
Response to Allegations
eXch is under fire for refusing to cooperate with blockchain investigators attempting to help Bybit prevent North Korean hackers from laundering nearly $1.5 billion. According to Bybit, eXch laundered over $94 million in stolen funds and ignored requests to cut off the bad actors.
eXch is taking measures to protect its operations and founders amidst allegations of money laundering and regulatory pressure by restructuring and changing supported assets.
