OKX Suspends DEX Aggregator Services Amid EU Concerns, Emphasizing Product’s Non-Custodial Nature

Cryptocurrency exchange OKX announced on Monday the suspension of its DEX aggregator service, which was reportedly used by hackers to launder part of the funds stolen from Bybit exchange, allegedly raising concerns among European regulators.

In a statement, OKX said:

OKX stated that relevant limit orders and cross-chain orders will be automatically canceled, with the specific restoration time depending on the progress of the upgrade. Furthermore, the exchange announced the implementation of a hacker address detection system for its Web3 DEX aggregator, as well as a system that tracks hacker addresses and can block them in real-time within the CEX system. “These measures reflect our ongoing efforts to stay ahead of malicious actors and protect our customers.”

According to a report by Bloomberg last week citing informed sources, OKX was mentioned during a meeting of European cryptocurrency regulators, raising questions about whether the exchange’s unlicensed tools violate the EU’s Markets in Crypto-Assets (MiCA) guidelines. Subsequently, OKX denied that it is under investigation by authorities, with CEO Xing adding that OKX’s Web3 wallet is purely a self-custodial software that retains some technical control features and has always collaborated with global regulators.

After OKX announced the suspension of its DEX aggregator service, Xing stated on the social platform X that multiple control measures have been implemented to combat abuse, emphasizing that the exchange does not touch or store user private keys and will not custody user funds. OKX will “continue to work with global partners to jointly establish industry control standards” in the future.