Who designed their system to require ALL multi-signature keys to sign instead of a majority? Talk about one of the stupidest decisions I've read about this year.
Suppose one got hit by a car, are all of OKEx's funds lost?
Or is this just an exit scam?
I think Star Xu is just one of those who has control over private keys, but the exchange may have been ordered to suspend business until further notice - I don’t believe anyone would be so stupid as to allow what happened to Quadriga exchange when one man is allegedly taken with him to the grave around $200 million of user funds.
Human stupidity is unfortunately endless, but I don’t believe that’s the case here - I would put this in the category of classic pressure from the Chinese authorities on what is illegal in Chinese territory, and we all know that Hong Kong is still playing under some of its rules that China disapproves.
The QuadrigaCX was an entirely different issue. Here the issue with OkEX is that one of the owners is in prison so he can't use his sig to allow withdraw transactions. With QuadrigaCX even though the owner died, even if he gave access to his private keys, there were no funds at all to be withdrawn.
That exchange was run like a ponzi scheme pretty much and only processed withdraws when someone did a deposit. From what I last heard, the guy deposit customer funds to leveraged exchanges like Bitmex and Bitfinex and assumed BTC would go to like $50K back in 2018 and ended up being liquidated when it hit $3K back in Dec 2018.