LBank says futures account restriction followed standard risk controls

LBank said restrictions placed on a futures account at the center of recent community claims about an unauthorized account freeze were part of standard risk management procedures, adding that the user’s full initial investment had already been withdrawn. The global crypto exchange said it is operating a comprehensive security system to protect user accounts and trading activity. Following a risk-control review, LBank said it identified abnormal trading on the account that violated platform rules. It added that the withdrawal restriction applied only to funds confirmed to be linked to the abnormal trading and expressed regret over what it described as the deliberate spread of false and defamatory content. LBank also said it had retained external legal counsel to respond to false or misleading statements related to the case and had sent a formal legal notice to clarify the company’s position.