BitMart founder Sheldon Lee has rejected calls for an independent audit of the cryptocurrency exchange as users report being unable to withdraw their funds and former employees say they have not received their July salaries. The dispute comes after BitMart announced that it was winding down operations, with August 26 set as the final trading day. A post on BitMart’s Chinese-language X account called on Lee and business partner Yi Li to open the exchange’s books, including its wallets, assets, liabilities and available reserves, for independent verification.
THE BLOCK: BitMart founder Sheldon Xia said he will report the matter to police after purported employees publicly challenged management over alleged unpaid salaries and withdrawal issues amid the crypto exchange’s wind-down.
Xia called the claims “fabricated rumors” and said he… pic.twitter.com/pz4cCAbZPk
— The Block (@TheBlockCo) August 17, 2026
Lee has disputed the authenticity of the post, saying the account was hacked and that the allegations are fabricated. He said the company had collected evidence and planned to file a police report and send a legal letter to X seeking technical and data forensics.
Source: x.com
The allegations have nevertheless raised fresh questions about the financial condition of the exchange and the ability of customers to access their assets.
BitMart announced last month that it was winding down operations. Since then, several users have publicly reported difficulties withdrawing funds. The X post that triggered the latest dispute claimed that some customers were still unable to access their money and that some employees had not received their final salaries or compensation.
The anonymous poster challenged Lee to agree to an independent third-party audit. It called for verification of BitMart’s wallets, assets, liabilities and usable reserves, arguing that a simple announcement about shutting down operations was not enough to address customer concerns.
Lee did not directly respond to the audit demand. Instead, he focused on the claim that the X account had been compromised.
The dispute has attracted attention from users who say their funds remain inaccessible. One user, identifying themselves as BeardStaff, claimed that their assets had been locked since the July 26 announcement and said a VIP manager had removed them from Telegram when withdrawals stopped. The user publicly asked where their $10 million was.
Another user questioned Lee’s response, arguing that customers wanted to know when they would actually be able to withdraw their funds.
If you actually have the liquidity then simply return the funds to everyone instead of posting vague statements?
Your actions have caused real people to lose access to funds with little transparency….
— ZachXBT (@zachxbt) August 17, 2026
On-chain investigator ZachXBT also criticised the response, saying that if the exchange has sufficient liquidity, it should return customer funds rather than issue what he described as vague statements.
The situation has also attracted interest from distressed investment firms. Roshan Dharia, CEO of Echo Base, said his firm had offered BitMart a restructuring package that included debtor-in-possession financing and equity after restructuring. According to Dharia, the proposal was underwritten by Echo Base as a creditor, but BitMart had not responded.
Dharia argued that resolving a large custodial platform outside court would be difficult because of the number of retail customers involved. He said a formal restructuring process could ultimately become necessary if the company cannot reach customers and settle their claims.
BitMart’s response to the allegations will therefore be closely watched. The central question for customers is straightforward: how much liquidity does the exchange have, and when will users be able to access their funds?
Lee has said the allegations published on X are false and that legal and investigative steps are being taken over the alleged hacking. But that does not, by itself, resolve customers’ concerns about withdrawals.
With the announced August 26 shutdown date approaching, pressure on BitMart to provide clear information is likely to increase. An independent verification of assets and liabilities could potentially address some of the uncertainty, but the company has not agreed to the audit demand.
For now, customers remain caught between competing claims, while the exchange moves towards closing its operations. The situation underlines one of the biggest risks of leaving crypto assets on centralised platforms: when an exchange faces financial or operational trouble, users may have limited control over when and how their assets are returned.
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