A lot of people from the Bitcoin community have been lately complaining about delayed transactions on Igot. Users have been complaining about the deteriorating service on various social networks including Reddit and Twitter. The response from the Australia based exchange’s customer service were always the same until yesterday — “We are currently upgrading the system so there are some delays in verifying and processing transactions. It will be resolved in few days.”
Followed by allegations from users that the exchange is not trustworthy, the Founder of Igot, Rick Day finally decided to break his silence and explain the reason behind these delays. While talking to one of the well-known bitcoin and cryptocurrency news site, Rick Day confessed that there have been delays in processing fiat withdrawals and he reasoned that the delays were mainly due to some issues with their banking service provider.
Rick Day stressed upon the various issues the exchange has been facing in the past couple of months. The issue involving fraudulent transfers were responsible for delays in fiat transactions. According to Rick Day, their banks have been delaying payments to the company after one of the partner banks received multiple fraudulent transactions in Australia recently. The banks had withheld the funds payable to Igot as a collateral against the risk.
The whole issues apparently started after one of the Igot users started transferring money from various stolen bank accounts into his Igot bitcoin wallet, which he used for buying bitcoins before disappearing. Igot is now rethinking about its user verification and KYC procedures after the incident, as the culprit was one of the verified users of the platform.
Apart from fraudulent transactions, Rick claimed that the platform was also the target of DDoS attacks. He expects Igot will be back in business in the next few days. We will have to wait and see whether Igot will stay true to its words or not.
Will is a seasoned marketing professional who fell in love with Bitcoin. After realizing the potential of Bitcoin, he switched to Bitcoin based business. He writes about Bitcoin and uses his marketing experience in helping out small time Bitcoin startups and groups.