OKX Pauses DEX Aggregator Operations Amid Ongoing Security Upgrades

OKX Temporarily Halts DEX Aggregator Amid EU Scrutiny Over Bybit Hack

Cryptocurrency exchange OKX has suspended its decentralized exchange (DEX) aggregator, following reports that European Union (EU) regulators are investigating its alleged role in laundering funds tied to the recent Bybit hack.

EU Regulators Investigate OKX’s Web3 Services

A March 11 report by Bloomberg revealed that EU authorities are closely examining OKX’s Web3 services, suspecting that hackers from North Korea may have exploited the platform to launder stolen funds. In response, OKX President Hong Fang and other executives dismissed the allegations, calling them misleading while reaffirming the company’s strong stance against financial crime.

OKX Addresses the Concerns

In a statement to CoinDesk, an OKX spokesperson explained the reason behind the DEX aggregator suspension, clarifying that the issue stemmed from misleading transaction tagging rather than actual fund movements through OKX.

“We are addressing a tagging issue with explorers that incorrectly identifies OKX DEX aggregator as the final destination of trades. In reality, our aggregator simply searches for the best execution price, with the final trade occurring on an external DEX,” the spokesperson stated via Telegram.

Security Enhancements and Transparency Efforts

After consulting with regulators, OKX proactively paused its DEX aggregator to implement enhanced security and tagging mechanisms aimed at improving transaction transparency.

“This decision ensures that our platform operates with full clarity and continues to prioritize user safety,” the spokesperson added.

The suspension highlights the growing regulatory pressure on crypto exchanges to strengthen compliance and bolster security measures, especially as authorities crack down on illicit financial activities in the crypto space.