Key Takeaways:
- OKX Suspends DEX Aggregator: OKX temporarily halted its DEX aggregator to counter potential misuse by the North Korean-linked Lazarus Group.
- Regulatory Scrutiny: European regulators are investigating OKX’s Web3 services over alleged ties to laundering funds from the Bybit hack, which the exchange denies.
- Security Upgrades: OKX has implemented real-time hacker address detection and other measures to prevent illicit transactions while pushing back against claims of misrepresentation.
OKX, a leading cryptocurrency exchange, has temporarily suspended its decentralized exchange (DEX) aggregator to prevent potential misuse by the North Korean-linked hacking group, Lazarus.
In a March 17 announcement, OKX stated that it had identified coordinated efforts by Lazarus to exploit its DeFi services.
We are temporarily pausing our DEX aggregator to address incomplete tagging on blockchain explorers while we also roll out new security features. This is to address the recent coordinated attacks by media along with unsuccessful efforts by Lazarus group to misuse our DeFi… pic.twitter.com/r6oHNIaalT
— OKX (@okx) March 17, 2025
After consulting regulators, the exchange paused the service to implement enhanced security measures.
While the suspension period remains unclear, OKX assured users that its crypto wallet services remain operational, though new wallet creation is restricted in certain markets.
This move comes amid regulatory scrutiny and media criticism, with European authorities investigating OKX’s Web3 DEX aggregator and wallet services for allegedly laundering funds from the Bybit hack.
A March 11 Bloomberg report suggested that OKX’s platform was used for illicit transactions.
However, OKX refuted these claims, calling them “misleading” and highlighting its proactive response, including freezing hacked funds.
To bolster security, OKX introduced a hacker address detection system for real-time tracking and blocking of suspicious transactions.
CEO Star Xu emphasized the platform’s commitment to security and clarified that its aggregator does not hold user funds.
Despite defending itself against allegations, OKX remains focused on preventing illicit activities and improving its security framework.
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