Up to 100% compensation, OKX C2C "Frozen Compensation" merchants are now online.

“Your bank account ending with XXXX has been judicially investigated, and some funds have been frozen.” Awei had just withdrawn 10,000 U last night, planning to pay his mortgage today and cover his daughter’s tuition fees, but he was confused by this “frozen card” message, and all his established arrangements immediately fell into a stalemate. He believes that he was merely following the platform’s process for receiving payments and releasing coins, and had no other violations.

Awei immediately called the bank’s customer service, and the response was only “The bank is only responsible for executing the freeze, and the specific reasons for the card freeze and the unfreezing time must be consulted with the case-handling unit.” Next, Awei embarked on a long “checkpoint” journey, from printing thick transaction records, to queuing at the bank for explanations, to cooperating with the police station for the record and completing nearly a year’s worth of transaction history. A series of tedious processes left him exhausted from taking leave, queuing, commuting, and getting stamps.

“Frozen accounts” are not an isolated case; there are many innocent users like Awei who are affected. These issues often stem from the lack of transparency in the capital chain under C2C/P2P deposit and withdrawal models: when upstream transactions trigger risk control, innocent downstream users are “collaterally” frozen. Once a bank card is frozen, the funds are often “locked up” for months or even longer, severely impacting normal life. Mortgage and credit card repayments may be overdue, and daily expenses like buying groceries, taking taxis, and using ETC may also be hindered. Worse still, some users are placed on the bank’s risk list due to frequent frozen accounts, leading to long-term limitations on account functions. Moreover, the time-consuming and labor-intensive process of unfreezing only adds insult to injury. Difficulties in deposits and withdrawals, along with unguaranteed fund safety, have become common troubles faced by cryptocurrency users.

OKX C2C “Frozen Compensation” Merchants Launched: Frozen Card Compensation, Up to 100% Compensation Ratio

In response to this industry pain point, major trading platforms are also trying to provide solutions, working hard on the frozen card rate and compensation rate to offer users a secure C2C deposit and withdrawal experience. However, there are significant differences in the specific measures taken by different platforms.

The OKX C2C has officially launched a brand new “Frozen Compensation” system. Simply put, users trading with merchants marked with the “Frozen Compensation” label in the OKX C2C trading area will not only be exempt from fees, but if their receiving account is frozen due to the other party’s payment, eligible users can receive compensation according to platform rules: a maximum compensation rate of 100%, with a single compensation cap of up to 30,000 USDT. This compensation amount is significantly higher than the guarantees provided by other platforms in the past, fully demonstrating OKX’s determination and strength in ensuring the safety of users’ funds.

The compensation funds of OKX are jointly supported by the platform and merchants, rather than relying solely on merchants’ deposits. This means that even in the event of a large compensation, the platform has sufficient funds to cover it, and users do not need to worry about merchants being unable to compensate. OKX’s move aims to “create the most trusted trading environment, ensuring that every transaction is secure and worry-free.” For traders troubled by frozen accounts, OKX C2C is currently one of the safer and more reliable deposit and withdrawal platforms.

Another surprise for users is that OKX promises not to charge any transaction fees for all C2C trading orders. Regardless of the order size, users can buy and sell cryptocurrencies with merchants through “frozen compensation” without any fees. This undoubtedly greatly reduces users’ trading costs, especially in the current situation where most platforms charge OTC trading fees, reflecting OKX’s sincerity in rewarding users with real value.

The “frozen compensation” rules announced by OKX are very detailed, aiming for fairness and transparency. According to the official explanation, the compensation amount will be calculated in tiers based on order size and merchant type (see table below). In simple terms:

Small orders (≤500 USDT): Regardless of whether the merchant is a regular certified merchant or a bulk certified merchant, compensation will be paid at 100% of the order amount, with no minimum compensation amount set. For example, if a transaction of 300 USDT triggers compensation, the user can receive a full compensation of 300 USDT.

Large orders (>500 USDT): Standard certified merchants compensate 20% of the amount exceeding 500 USDT, but the minimum compensation amount is 500 USDT, and the maximum compensation does not exceed 2,000 USDT. For example, if a transaction of 600 USDT triggers compensation, the user can receive a total compensation of 520 USDT (500 + (600 - 500) * 20%).

In contrast, bulk compensation merchants provide 100% compensation within the compensation limit for large orders, with a minimum compensation of 500 USDT and a maximum compensation of 30,000 USDT. This means that if a user trades 10,000 USDT with a bulk compensation merchant and encounters a freeze, they can receive a maximum compensation of 10,000 USDT; even if the transaction amount is higher (for example, 50,000 USDT), the maximum compensation limit is 30,000 USDT. This amount basically covers the common scale of a single withdrawal for ordinary traders, which is sufficient to address most risk situations.

Merchant Access and Review: Selecting the Best, Strictly Controlling Risks

Of course, “frozen compensation” is not applicable unconditionally. This guarantee can only be enjoyed when trading with merchants officially certified by OKX as “frozen compensation”. These merchants have been strictly screened by the platform from multiple dimensions; either they are large compensation merchants with outstanding overall performance and high collateral, or they are quality compensation merchants who are certified and committed to providing compensation according to the rules. They will have a prominent “frozen compensation” label on their accounts, making it clear for users when placing orders.

In addition, to facilitate user selection, OKX has added a dedicated filtering function in the C2C trading interface. Users can also directly select merchants with “frozen compensation” for transactions in the filtering function, making it faster and more secure.

After becoming a compensation merchant, OKX will also conduct continuous supervision over it. For example, merchants are required to comply with the “Frozen Compensation” service guidelines and must not induce transactions with false promises. Once a user complaint arises and is verified to be the responsibility of the merchant, the platform has the right to take measures against the merchant, such as point deduction, fines, account freezing, or even cancellation of compensation qualifications, depending on the circumstances. For merchants who actively fulfill their compensation obligations and perform excellently, OKX provides incentives such as traffic tilt and exclusive rankings to encourage them to offer higher quality services.

Through this strict access and management mechanism, OKX strives to make “frozen compensation” merchants the “benchmark merchants” of the platform’s C2C trading. They not only provide a good trading experience and quick transactions but more importantly, they insure users’ funds. For merchants, obtaining compensation qualifications also means higher credibility endorsement and platform support, which helps to attract more users to trade with them.

At the same time, OKX also reminds users: during the trading process, it is necessary to comply with the platform’s risk control rules, such as verifying the recipient account information, confirming the receipt in a timely manner, etc., to avoid unnecessary disputes. If there is suspected fraud or abnormal funds, users should immediately request customer service intervention, and the platform will assist in handling it and take severe measures against violating merchants, including compensation.

In general, OKX’s compensation rules take into account the different needs of small high-frequency trades and large transactions: small transactions are fully compensated, allowing retail investors to experiment with zero risk; large transactions are provided with high compensation by well-capitalized bulk compensation merchants, ensuring the safety of large fund holders. Coupled with zero transaction fees, OKX aims to attract more users to choose officially certified compensation merchant transactions, thereby reducing the occurrence of frozen card events from the source and creating a healthier C2C trading ecosystem.

Users can deposit with peace of mind: OKX C2C has become an important channel that is safe and reliable.

The launch of the OKX C2C “Frozen Compensation” system is undoubtedly a great boon for ordinary users. For a long time, the difficulties in deposits and withdrawals, as well as the lack of security for funds, have been significant barriers for newcomers entering the crypto space. Many users outside the crypto community have concerns about OTC trading: “What if the other party doesn’t release the coins after the payment?” “Who is responsible if my bank card is frozen after receiving the coins?” Now, OKX has provided a solution, allowing users to trade cryptocurrencies more confidently through the C2C channel.

For users in the cryptocurrency industry, this means they have a more secure channel for funds. Whether cashing out during a bull market or buying the dip during a bear market, using “frozen compensation” for merchant transactions adds an extra layer of security for funds. This will reduce users’ anxiety about frozen accounts, allowing them to focus more on the transactions themselves. Some users who originally reduced their trading due to concerns about frozen accounts may increase their trading volume again.

For newcomers outside the circle, OKX’s compensation mechanism has lowered their psychological barriers to entry. In the past, newcomers often hesitated due to fears of being scammed or having their accounts frozen. Now, with secure merchants available, they can try purchasing assets like Bitcoin and Ethereum with more peace of mind, truly achieving “one-click deposit” without worries.

In addition, the OKX compensation mechanism may also bring about the “catfish effect,” driving an overall improvement in the service level of the industry. When users find that OKX’s C2C is both safe and cheap, they will naturally be more willing to use OKX for fiat transactions. This will prompt other platforms to follow suit and make improvements, such as lowering fees, strengthening merchant reviews, or offering similar compensation guarantees. Ultimately, the beneficiaries will be the vast number of investors, and the channels for funds entering and exiting the entire crypto market will become smoother and safer.

Of course, OKX also reminds users: although the compensation mechanism is good, it is still necessary to pay attention to trading compliance and safety. Users should comply with applicable laws and regulations when using the C2C service and should not engage in illegal activities such as money laundering and score running. While choosing to trade with officially certified merchants, users should also take precautions against risks. Only through the joint efforts of the platform and users can the risk of frozen accounts be minimized. In the event of a risk occurring, OKX’s compensation system is a solid backing for users.

From “fear of freezing” to “compensation for freezing”, OKX’s initiative marks the entry of cryptocurrency C2C trading into a new era of secure trading.

Disclaimer:

This article is for reference only. It represents the author’s views and does not reflect the position of OKX. This article does not intend to provide (i) investment advice or recommendations; (ii) offers or solicitations to buy, sell, or hold digital assets; (iii) financial, accounting, legal, or tax advice. We do not guarantee the accuracy, completeness, or usefulness of such information. Holding digital assets (including stablecoins and NFTs) involves high risks and can be subject to significant volatility. Past performance does not guarantee future results, and past performance is not indicative of future outcomes. You should carefully consider whether trading or holding digital assets is suitable for you based on your financial situation. Please consult your legal/tax/investment professionals regarding your specific circumstances. You are responsible for understanding and complying with applicable laws and regulations in your locality.