Is BiteBTC a scam exchange?

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Recently we reported that BiteBTC experienced a fire within their data centers in Singapore. We immediately sent our reporters to Singapore to check out the situation. It appears that there was no fire recorded. Also, BiteBTC headquarters are located in an apartment building, referring to their company address 553 SERANGOON NORTH AVENUE 3, SINGAPORE provided by opencorporates. It looks like it might be a scam.

Locals say that no fire reported

Since our reporters found out that their headquarters is an apartment building, they went off in the streets of Singapore to ask its residents about any news of the fire. Locals responded negatively, saying that if there actually were a fire, it would most definitely be covered by local newspapers and televisions. Singapore is very open to their residents. They have a perfect society, well-planned infrastructure and they want its residents to feel safe. This raises suspicion about the authenticity of the news BiteBTC.com provided on their website.

BiteBTC official address – an apartment building?

Although this might be true, and that could be a formal address, this only strengthens the suspicion regards the exchange being a scam. According to opencorporates.com, the registration number coincides with the number provided on their website. This information was contributed by an individual user. Unfortunately, we couldn’t find any additional information about the company.

The apartment building located at 553 Serangoon North Avenue 3, Singapore.
The back yard of the apartment building on 553 Serangoon North Avenue 3, Singapore.

Huge daily volume

However, at the time of writing, according to coinmarketcap.com, they are operating with $70 million, which is equivalent to 17,407 BTC and rising daily volume. While writing this article the daily volume increased to $72 million, which is outrageous!

That is a lot of money, and I doubt that a company which handles so much of users funds could live off only with a formal address, located in an apartment building. Moreover, they haven’t specified the address of their data centers which caught the “fire”.

Users constantly reporting scammy characteristics

Since the announcement of a “fire”, their Twitter page is constantly flooded with users complaints. Despite users being so frustrated, they haven’t communicated regards their issues. They only keep adding coins to their exchange. On the same day when they announced the fire, they added Inmax (INX) token.

Twitter on fire

Since then every twitter post they have had is tampering with accusations of a scam. Users say that they cannot log in on their accounts, that they are locked and have disappeared. Also, reports of 2FA not working are up in the air. Needless to say that the exchange hasn’t replied to any of these comments.

Countless users lost their funds

It all started in a CCN article, in which a user wrote to CCN stating that he has lost about 2 BTC:

“Not sure who to talk to about this. Bitebtc.com closed its doors and stole everyone’s coins, even mine. I had a lot with this exchange. I’m in tears right now. I cannot log into their website at all.
I have lost about 2 bitcoins. I’ve never been this sad. How can an exchange based in Singapore steal $67 million and disappear ?? I filled out the form on the contact us page as requested in their latest news update with the fire. I sent that Jan. 3, after visiting their website that day when I tried to sign in and realized the system continuously said I did not have an account on there. That’s when I knew. I clicked ‘News’ on their header section and seen the latest news of the fire that apparently took place. I have not heard from bitebtc.com yet and I do not think I will. This is not fair at all.”

Many users claiming that their funds are lost.

Judging by their Twitter, this looks like a total disaster. Sorry for all the traders who deposited in the exchange, and now can’t access their accounts.

Lack of communication

The total lack of communication on Twitter is yet another sign of an exit scam. Not a single response to its users by the exchange. This is a common exit scam strategy.

What is weird is that their daily volume is increasing over the days. This might be due to their BTC/USD pairs which are trading slightly over the market price. Hence, the price of one BTC on BiteBTC.com is $4,462, while the actual price is $4,055 at the time of writing. Many traders could be using this opportunity for arbitrage trading.

Snapshot of their exchange, showing BTC trading at $4,487.

Posts coin redistribution roadmap and partial account restoration news

BiteBTC recently updated their website status saying that people need to fill out a form about coin redistribution. Also, claiming that “We managed to restore some of the accounts that were blocked”. However, there is no proof for this.

“We are not yet able to answer each one personally, although we are doing everything possible for this,” says on their website, “unfortunately, we have to admit that our specialists failed to recover part of the data from September 4, 2018, to January 1, 2019, including trades, deposits, withdrawals, orders, and some other information.”

Suggests to resent the KYC information

“If your account is not found, we ask you to re-register with the same e-mail address, and also upload KYC documents for the verification.
After that, we ask you to examine the Coin Redistribution Roadmap and fill out a form: http://bitebtc.com/coin-redistribution
If your account has been restored without balance and/or trading history, we also ask you to go through KYC verification and follow the Coin Redistribution Roadmap to recover your lost funds: http://bitebtc.com/coin-redistribution”

https://twitter.com/liepo2282/status/1082970706420224000

Is BiteBTC.com a scam exchange?

I would say yes because it totally meets all the exit scam characteristics. The total lack of communication on Twitter. Stating general information that no-one can approve. Countless unsatisfied users, lost funds, locked accounts. And above all, their official address is located in an apartment building. If the fire was real, as they claim, they should’ve provided the address of the data center which caught the fire and explain it more in detail. We at BestCoinInvestments strongly advise not to trade within this exchange and stay away from it as far as you can. They might do announcements for a while like it was in the case of CoinsMarkets.com until eventually, they stop coming and the website is down.

Additional information

If BiteBTC.com can back up all these claims in this article, or maybe even wants to do an explanatory interview, please contact us at info@bestcoininvestments.com so we can explain the situation to all the traders and investors.

Source:

https://www.ccn.com/singapore-bitcoin-exchange-bitebtc-com-claims-data-center-fire-on-proof-of-keys-day-exit-scam/
https://bitebtc.com/news
https://opencorporates.com/companies/sg/201706635G
https://coinmarketcap.com/exchanges/bitebtc/
https://twitter.com/bitebtccom