Pdax, a cryptocurrency exchange based in the Philippines, recently suffered from a technical error, as a result of which the price of Bitcoin has become as low as about $6,000 (300,000 Philippine pesos) for some time, news.Bitcoin.com reports. Some users bought the cryptocurrency at this price, and now the exchange demands the return of the funds suggesting that they would take legal action otherwise.
According to the source, citing a Pdax user and a lawyer, users do not believe they violated laws or platform rules by buying Bitcoin at this price. Instead of taking legal action against its users, for now, it is said that the exchange has locked them out of their accounts.
Since cryptocurrency exchanges deal with a large amount of funds every day, such technical errors can be quite costly. Moreover, besides system errors and outages, hacking presents another contemporary problem for such platforms. Some exchanges have not recovered from hacking incidents, in which large amounts of money were stolen. Among closed cryptocurrency exchanges are Russian-based Livecoin and New Zealand Exchange Cryptopia.