LBank under pressure from wave of complaints about frozen user funds

LBank users have issued complaints about having their funds ￰0￱ after successful trading, some users could not access their gains, as the exchange reportedly refused to release the ￰1￱ high-profile crypto influencers have complained about LBank locking up their ￰2￱ reports claim that even after successful trading, the centralized exchange refused to honor their withdrawal ￰3￱ investigator ZachXBT noted that one of the big shareholders of LBank is also behind the MEXC ￰4￱ has also received similar complaints and was locked in a months-long battle with trader The White ￰5￱ noted centralized “bucket shop” exchanges were inherently risky, but they additionally targeted profitable ￰6￱ one of the larger shareholders for LBank also owns MEXC / WEEX A lot of these sketchy bucket shop exchanges have a “big boss” behind the scenes who runs it all Trading against users and freezing profitable traders seems to be a part of their business strategy — ZachXBT (@zachxbt) November 5, 2025 LBank carried some of the hottest meme tokens, allowing some traders to make quick gains.

However, even prominent influencers were unable to claim their ￰7￱ flags accounts for breaking trading rules One of the traders, Param, was unable to withdraw gains from PNUT , a token that achieved record trading and exposure in 2024. I need help from the Web3 community…. 🚨 LBANK FROZEN MY FUNDS in 6 figures Please help everyone with this post so I can get ￰8￱ IS NOT AN ENGAGEMENT FARMING POST I never posted anything like before The Lbank team can DM me and ask for my UID. I didn’t want to… ￰9￱ — Param (@Param_eth) November 4, 2025 The problem may not be limited to LBank, appearing to be an issue affecting smaller exchanges operating under opaque ￰10￱ of the centralized exchanges flagged the accounts of the most successful traders for breaking obscure trading ￰11￱ are then pressed to prove innocence and defend their outsized gains, which were often due to meme token ￰12￱ crypto terms, a 10X gain is considered routine, but LBank froze funds when traders attempted to take profits after such ￰13￱ exchange has multiple rules on bot usage, but there are also reports of accounts frozen for months with no recourse.

Previously, traders have lost funds to risky or obscure exchanges. However, LBank has some licensing rights in the USA and is instrumental in the latest trends for meme tokens and other ￰14￱ some instances, centralized markets are the only trading option for hot assets, exposing even more traders to these arbitrary account freezes and ￰15￱ locked accounts even after modest gains LBank users have posted around 40 complaints in 2025, though there may be a wider pool of users ￰16￱ of the accounts have modest gains, locking sums of between $350 and $10,000 per ￰17￱ cited incomplete KYC, and in 40% of the cases, accounts were frozen due to travel and location rules.

However, some of the freezes followed specific crypto events, including the recent xUSD ￰18￱ random application of restrictions led some analysts to believe LBank may be trying to solve its liquidity issues or is unable to account for user ￰19￱ time, traders also complained of unresponsive customer service or deliberate attempts to avoid contact and reinstate ￰20￱ problem with frozen funds may not be limited to LBank, as seen in the recent complaints about ￰21￱ general, centralized exchanges are seen as a potential risk. Recently, the Ourbit exchange also went viral after user reports of restricted funds and frozen ￰22￱ user complaints led MEXC to reconsider its freeze ￰23￱ White Whale was among the leaders in making claims against MEXC, finally receiving his funds on October ￰24￱ also went through batch unlocks, showing how user pressure led to an overhaul of the exchange’s ￰25￱ a premium crypto trading community free for 30 days - normally $100/mo.