I remember having a discussion with a fellow user here who "exclusively only use ChangeNOW", as I'm quoting below. It seems they share the same reasoning.
I find their stand weird. With their argument, which I think is obviously unfair, exchanges are practically free to freeze funds without providing any explanation why, because they may not be legally allowed or it could be like a tip-off which might make it easier for certain actors to bypass triggers.
So, when funds are locked by exchanges, "Everything is the user's fault".
Of course, I don't agree.
At the very least, they should provide sufficient explanation why the transaction is flagged. You don't just keep the funds of customers without a detailed explanation why you're doing it, or suddenly require personal explanation without saying why. Second, if you think the transaction shouldn't proceed, reject it, but return the funds to the owner. Why do they have to keep the money to themselves?
Have you considered the following two possibilities. First, they may not be legally allowed to tell you much. Second, if they reveal all the things that flags their system then it becomes easy to bypass it?You tell that to the people who have lost life-savings, life-changing amounts to these scam exchanges. You tell that to the clueless customers who forever wondered what happened to their hard-earned money. They got no proper explanation, no response even.
The possibilities you're talking about are the most convenient ways for these scammers to steal money. Forget about legalities. I'm sure these behaviors and alibis can't stand in a court of law. If only it's easy to bring these scumbags to court.Yes, I will gladly tell them because they are the ones at fault. Deal with it, stop running away from responsibility. Read the terms of service before you send your money away to somewhere. If you believe that you have been wronged, then go ahead and sue. I wonder why practically no allegedly scammed party tries to sue. 
Everything is the user's fault, nobody was forcing them to do this. If you don't understand the risks of your actions, you are entirely to blame. Nobody else but you. It may sound harsh, but this is the reality of it. Don't want to get scammed? DYOR and start getting properly educated before you use something.
I find their stand weird. With their argument, which I think is obviously unfair, exchanges are practically free to freeze funds without providing any explanation why, because they may not be legally allowed or it could be like a tip-off which might make it easier for certain actors to bypass triggers.
So, when funds are locked by exchanges, "Everything is the user's fault".
Of course, I don't agree.
There's enough smoke about ChangeNOW that it must be safer for you to avoid it and anything related with the service altogether. Godex's profile, at least on this forum, is full of red trusts. There's also an existing flag against them. SimpleSwap is also distrusted here.
It is interesting how people write about these services here because I exclusively only use ChangeNOW and SimpleSwap and didn't have a single issue to date. What exactly do you think that they are supposed to do if their risk system flags your transaction? The possibilities you're talking about are the most convenient ways for these scammers to steal money. Forget about legalities. I'm sure these behaviors and alibis can't stand in a court of law. If only it's easy to bring these scumbags to court.
Everything is the user's fault, nobody was forcing them to do this. If you don't understand the risks of your actions, you are entirely to blame. Nobody else but you. It may sound harsh, but this is the reality of it. Don't want to get scammed? DYOR and start getting properly educated before you use something.