Consumer complaint received 2025-03-29 00:00:00
Product: Money transfer, virtual currency, or money service — Virtual currency
Issue: Other service problem — 
Company: CEX.IO CORP.
State: NC

Complaint narrative:
I am submitting a formal complaint regarding CEX.IO, a cryptocurrency exchange that I believe has engaged in unfair business practices, potential regulatory violations, and possible consumer exploitation. My experience raises serious concerns that CEX.IO XXXX be systematically taking advantage of customers, particularly those unaware of their rights. 

XXXX. Initial Freezing of My Account & Unreasonable Document Demands On [ XX/XX/year> ], I attempted to withdraw my funds from CEX.IO. Instead of processing the withdrawal, they froze my account and refused to release my funds unless I provided : A screenshot of my personal wallet address with my name on it, and A full transaction history of that wallet.

This request was excessive and beyond standard KYC/AML requirements . It appeared to be an attempt to either delay or obstruct my withdrawal, as I had already completed their verification process when opening my account. There was no clear regulatory basis for demanding my private transaction history, which is an unusual and invasive request. 

XXXX. Immediate Account Closure After I Challenged Their Actions When I pushed back against these demands and referenced the CFPB, CEX.IO quickly changed its stance. Instead of justifying their requests, they suddenly reversed their decision, told me to withdraw my funds, and then immediately closed my account with no right to appeal.

This raises serious concerns that CEX.IO may be : Using compliance as an excuse to hold customer funds without cause.

Retaliating against customers who challenge their policies by immediately terminating their accounts. 

XXXX. Minimum Withdrawal Limit Used to Keep Customer Funds After they informed me that I could withdraw my funds, I discovered another issue : CEX.IO has a minimum withdrawal limit of {$26.00}, while my remaining balance was {$18.00}. This meant that even after they allowed me to withdraw, I still couldnt access my funds. 

This policy effectively traps customer balances below a certain threshold, forcing users to either : XXXX. Deposit more money just to withdraw their own funds, or 2. Abandon their funds entirely, which CEX.IO keeps. 

This is a predatory practice that could result in CEX.IO profiting off of unwithdrawable funds, potentially impacting thousands of users. A legitimate financial institution should not implement policies that prevent customers from accessing their own money. 

XXXX. Request for CFPB Investigation I request that the CFPB investigate CEX.IOs business practices, specifically : Their withdrawal policies, which may be designed to trap customer funds under the guise of minimum limits. 
Their use of excessive document requests as a possible tactic to delay or deny withdrawals. 
Their pattern of immediately closing accounts after customers escalate disputes.

If CEX.IO is engaging in these practices systematically, they could be violating consumer protection laws and misusing compliance procedures to block legitimate withdrawals.

Thank you for your time and consideration. I am happy to provide additional documentation, including email correspondence with CEX.IO, screenshots of their withdrawal policies, and any other evidence needed to support this complaint.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation