OKEx’s Statement regarding Amber AI’s Claim
November 20, 2018
Following the recent article published by Amber AI on Medium regarding the allegation of OKEx manipulating the market, we hereby declare the following:
- We do not have an institutional client profile named Amber AI, while Amber AI claim themselves as a Hong Kong-based company. We do NOT serve any customer in Hong Kong, in respect of the local laws and regulations. The OKEx account that Amber AI claimed managing is an individual account, which is not a Hong Kong resident or entity on the report of the KYC information.
- The early settlement of BCH Futures Contracts was implemented based on the consideration of market integrity and customer interests. The early settlement was implemented in accordance with clause 2.5 of OKEx Futures Trading User Agreement, “If market anomalies occur before or after settlement and delivery, which results in wide fluctuation of futures index or abnormal clawback rate, we may postpone or early settlement and delivery as the case may be. We shall post an announcement regarding detailed rules.”
- Due to the force majeure of BCH Hard Fork and the large-scale impact it would create to the futures markets, we delivered all BCH futures contracts in advance for the sake of protecting our customers and the markets. Additionally, the settlement price of OKEx’s futures contracts is constructed based on the spot index. And the BCH index constituents — BCH spot price of Coinbase, Binance, and OKEx — have already paused trading, which made it impossible to create a BCH index price for settlement. Under the circumstances, we had made the decision to perform an early settlement. We are confident that early delivery was the best option available.
- Amber AI made a profit from the individual account on OKEx they claimed to have managed during the early delivery.
- In the absence of evidence, Amber AI alleged us for trading against our own customers and manipulating the markets. These are completely false allegations and the defamatory statements have caused serious damages to OKEx’s reputation. We reserve all rights to take further legal actions against Amber AI for interfering OKEx’s business.
- We will disclose the evidence required to the court to prove that OKEx is not involved in the alleged trading when deemed necessary. We reaffirm that we will NEVER trade against our customers and manipulate the market.
- Under the extreme case of BCH Hard Fork, Amber AI lacked a comprehensive risk management plan and blamed OKEx for their incautiousness. In fact, the majority of our users supports our decision of early delivery of BCH futures contracts.
- Lastly, we would like to remind all customers that trading digital assets involves significant risk and can result in the loss of capital. Futures trading is a zero-sum game and there are always gains and losses. As an exchange, our mission is to maintain a robust and healthy market, rather than protecting the interest of particular customers.