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OKX Freeze Request Dispute intensifies between Star Xu and Justin Sun

OKX versus TRON founder Justin Sun: Dispute over alleged mishandling of a freeze notice for stolen crypto assets

Crypto Clash: Justin Sun vs. OKX CEO, Star Xu

OKX Freeze Request Dispute intensifies between Star Xu and Justin Sun

The crypto world is buzzing over a heated debate between Justin Sun, founder of TRON, and OKX CEO, Star Xu, regarding alleged communication issues surrounding a freeze notice for stolen funds.

The feud erupted after Sun claimed that a "relevant law enforcement agency" had dispatched a freeze notice concerning pilfered funds to OKX's official email, but received no response. Sun claimed he was left with no alternative but to attempt contacting OKX's compliance team.

However, Star Xu, in response, asserted that the exchange's LE cooperation team had scrutinized their emails, including the spam box, and stated they hadn't uncovered any requests related to this matter. He questioned Sun publicly,

"Dear Mr H.E. Justin Sun, our LE cooperation team just checked the email including spam box, we haven't received any request related with this case. Can you give us the screenshot to show when the enforcement agency send the request to us?"

Star affirmed OKX's procedures for law enforcement cooperation, even pointing Sun to the exchange's public policy. He pointed out that they require preliminary evidence of incidents through public reporting channels and would only implement a temporary freeze according to the evidence. Legal documents should then follow, enabling the freeze to continue.

The OKX CEO also pushed back against Sun's public demands, emphasizing that they couldn't freeze a customer's funds based solely on Sun's X post or oral communication.

Sun retreating from his initial post, though users had captured it in screenshots, the tweet claimed that OKX was not complying with official freeze notices from law enforcement regarding stolen funds.

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In other news, NFT sales are leaping 22% to $107 million, with Pudgy Penguins emerging from the deep to make a comeback.

Cryptic Crypto Controversies

The hack of TRON's official X account on May 2, 2025, resulted in a loss of approximately $45K due to a social engineering attack. This incident instigated the request by Justin Sun to freeze a wallet on the OKX exchange allegedly in collaboration with law enforcement.

However, the heart of the controversy lays in the freeze notice dispute. Sun reported receiving a freeze notice but OKX claimed they hadn't received any formal or documented request from law enforcement to freeze the funds.

Roles and Responses:

Justin Sun (TRON):- Alleged Freeze Notice: Sun asserted that law enforcement had dispatched a freeze notice to OKX regarding the stolen funds from the hack.- Public Accusations: Sun publicly accused OKX of negligence for not responding to this notice.

OKX and Star Xu:- Denial of Freeze Notice: OKX's CEO, Star Xu, denied receiving any such notice, highlighting that the exchange's legal team had meticulously scrutinized all emails, including the spam folders.- Request for Evidence: Xu required Sun to furnish evidence of the alleged freeze notice to support OKX's alleged inaction.- Defense of Procedures: Xu underscored that OKX adheres to strict protocols for handling such requests, necessitating formal documentation before taking action.

This public squabble shows the complexities and challenges of communication and cooperation between platforms during cybersecurity crises.

  1. Despite the heated dispute between Justin Sun, the founder of Tron, and Star Xu, the CEO of OKX, both are major players in the crypto industry.
  2. The crypto world recently witnessed a surge in NFT sales, with Pudgy Penguins making a comeback and contributing to a 22% boost, reaching $107 million.
  3. The controversy surrounding TRON deepened after the hack of their official X account in May 2025, leading to a loss of approximately $45K due to a social engineering attack.
  4. The heart of the controversy lies in the freeze notice dispute, with Justin Sun claiming to have received a freeze notice from law enforcement regarding the stolen funds, while OKX denies having received any formal or documented request.
  5. In response to the public accusations, Star Xu, the CEO of OKX, has called upon Justin Sun to provide evidence supporting his claims about OKX's inaction.
  6. The crypto industry, like any other business or fintech sector, faces complexities and challenges in terms of communication and cooperation during cybersecurity crises, as demonstrated in this public squabble between Justin Sun and OKX.
OKX and Tron founder Justin Sun engage in a public squabble, accusing each other of poor communication about a freeze notice for funds that were stolen.

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