Bitget Flags Market Manipulation in VOXEL Futures, Plans Account Rollbacks and Compensation
Bitget has uncovered suspicious trading behavior in the VOXEL/USDT futures market, prompting swift action to safeguard user assets and maintain trading integrity. The crypto exchange is now preparing to roll back affected accounts and compensate impacted users, following a sharp price spike in the VOXEL perpetual contract.
Irregular Trading Detected: Bitget Responds Swiftly
On April 20, between 08:00 and 08:30 UTC, Bitget detected what it described as “abnormal trading activity” on the VOXEL/USDT perpetual futures contract. During this short window, VOXEL surged by more than 138%, raising red flags about potential market manipulation.
Bitget promptly paused accounts suspected of involvement and confirmed it would roll back transactions and claw back any manipulated gains within 24 hours.
“The trades occurred between individual market participants, not the platform itself. User funds remain safe,” said Bitget CEO Gracy Chen, speaking to Cointelegraph.
Compensation Plan on the Way
In a reassuring statement, Chen emphasized that Bitget will fully compensate users who suffered losses due to the incident. The exchange’s $300 million Protection Fund will serve as a financial backstop.
“Our protection fund provides more than sufficient backing to support our users in such events, assuring that user assets remain secure,” Chen added.
While details of the compensation plan have yet to be announced, users are expected to receive full updates in the coming hours.
A Familiar Pattern? Community Recalls the Hyperliquid-JELLY Exploit
The incident bears striking similarities to the Hyperliquid-JELLY exploit from March 2025. In that case, a trader hedged long and short positions, manipulating the JELLY memecoin price by over 400%, triggering forced liquidations.
In response, Hyperliquid delisted the JELLY contract, prompting backlash from the crypto community. Ironically, Bitget CEO Gracy Chen was one of the most outspoken critics of Hyperliquid’s handling of the event.
“The decision to close the JELLY market and force settlement of positions at a favorable price sets a dangerous precedent,” Chen wrote on X in March. “Trust — not capital — is the foundation of any exchange.“
Now, Chen faces her own test of leadership — and appears determined to handle the Bitget situation with more transparency and user-centered solutions.
Looking Ahead: Rebuilding Trust and Platform Integrity
Bitget’s response to the VOXEL situation could set a new benchmark for how crypto exchanges handle suspicious trading activity. By prioritizing user protection, offering compensation, and committing to transparency, the platform is seeking to preserve trust in an industry still grappling with risk and volatility.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers are advised to do their own research before making investment decisions.
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