LBank frozen funds complaints have surged in 2025, with users reporting inability to withdraw trading gains despite successful activities. Influencers and traders face account locks, often citing obscure rules or KYC issues, raising concerns over exchange reliability and user protections in the crypto space.
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LBank users, including high-profile influencers, claim funds frozen post-trading success, refusing withdrawals.
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Complaints link LBank to similar issues at MEXC, both allegedly run by overlapping shareholders, targeting profitable traders.
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Over 40 reports in 2025 detail freezes from $350 to six figures, tied to meme token rallies and events like xUSD de-pegging.
Discover why LBank frozen funds are alarming traders in 2025. Learn about complaints, risks, and tips to protect your crypto assets—stay informed and secure your investments today.
What Are LBank Frozen Funds Complaints?
LBank frozen funds refer to widespread user reports of accounts being locked on the centralized cryptocurrency exchange, preventing access to trading profits. These issues have escalated in 2025, affecting both novice and experienced traders who completed successful transactions but found withdrawals denied. The complaints highlight potential vulnerabilities in centralized platforms, where users must navigate strict rules to reclaim their assets.
How Do Centralized Exchanges Like LBank Handle Account Freezes?
Centralized exchanges such as LBank implement account freezes to enforce compliance with trading regulations, often citing violations like bot usage or incomplete KYC processes. In 2025, traders reported over 40 such incidents, with freezes impacting gains from volatile assets like meme tokens, where returns can exceed 10x. Crypto investigator ZachXBT has pointed out that these platforms, sometimes described as “bucket shops,” strategically target high performers to mitigate their own risks, as seen in similar cases at MEXC. Supporting data from user forums shows that 40% of freezes stem from location-based restrictions during travel, while others follow market events like the xUSD de-pegging, forcing users into prolonged disputes with unresponsive support teams. Experts emphasize that while licensing in regions like the USA provides some legitimacy, opaque policies can still lead to arbitrary holds, underscoring the need for diversified trading strategies.
Frequently Asked Questions
Why Are LBank Users Experiencing Frozen Funds in 2025?
LBank users face frozen funds primarily due to alleged breaches of trading rules, incomplete KYC verification, or location-based compliance checks. Reports indicate that after profiting from tokens like PNUT, accounts are flagged, with gains ranging from $350 to six figures locked indefinitely. These issues, documented in trader testimonials, often require community pressure for resolution, as internal appeals yield slow results.
What Should Traders Do If Their LBank Account Is Frozen?
If your LBank account is frozen, immediately document all trading history and contact support via official channels, providing clear evidence of compliance. Many users have succeeded by amplifying complaints on social platforms to build public awareness, similar to cases resolved at MEXC through collective advocacy. Consider transferring assets to more transparent exchanges to avoid future risks, and always complete KYC upfront for smoother operations.
Key Takeaways
- Heightened Risks for Profitable Traders: LBank and similar exchanges often freeze accounts after significant gains from meme tokens, as noted by investigators like ZachXBT, to protect their liquidity positions.
- Broader Industry Patterns: Complaints mirror those at MEXC and Ourbit, where overlapping ownership leads to consistent practices of targeting successful users, with over 40 LBank reports in 2025 alone.
- Protective Actions for Users: Verify exchange licenses, diversify platforms, and engage communities early to pressure for fund releases—proactive KYC and monitoring can prevent most freezes.
Conclusion
The surge in LBank frozen funds complaints underscores ongoing challenges with centralized crypto exchanges, where account locks disrupt even routine withdrawals amid meme token booms and market volatility. As seen in parallel issues with crypto exchange account freezes at platforms like MEXC, transparency and user rights remain critical for trust-building. Traders should prioritize regulated venues and stay vigilant; as the crypto landscape evolves in 2025, stronger protections could emerge from these high-profile disputes, empowering users to trade confidently.
LBank users have issued complaints about having their funds frozen. Even after successful trading, some users could not access their gains, as the exchange reportedly refused to release the funds.
Several high-profile crypto influencers have complained about LBank locking up their gains. The reports claim that even after successful trading, the centralized exchange refused to honor their withdrawal claims.
Crypto investigator ZachXBT noted that one of the big shareholders of LBank is also behind the MEXC market. MEXC has also received similar complaints and was locked in a months-long battle with trader The White Whale.
ZachXBT noted centralized “bucket shop” exchanges were inherently risky, but they additionally targeted profitable traders.
Allegedly 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 earnings.
LBank 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 justice.
THIS 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… pic.twitter.com/g3H539Wluu
— 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 licenses.
Some of the centralized exchanges flagged the accounts of the most successful traders for breaking obscure trading rules. Traders are then pressed to prove innocence and defend their outsized gains, which were often due to meme token rallies.
In crypto terms, a 10X gain is considered routine, but LBank froze funds when traders attempted to take profits after such trades. The 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 launches.
In some instances, centralized markets are the only trading option for hot assets, exposing even more traders to these arbitrary account freezes and sanctions.
LBank locked accounts even after modest gains
LBank users have posted around 40 complaints in 2025, though there may be a wider pool of users affected. Some of the accounts have modest gains, locking sums of between $350 and $10,000 per case.
LBank 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 de-pegging.
The 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 funds. Over time, traders also complained of unresponsive customer service or deliberate attempts to avoid contact and reinstate accounts.
The problem with frozen funds may not be limited to LBank, as seen in the recent complaints about MEXC. In general, centralized exchanges are seen as a potential risk. Recently, the Ourbit exchange also went viral after user reports of restricted funds and frozen accounts.
Previous user complaints led MEXC to reconsider its freeze policy. The White Whale was among the leaders in making claims against MEXC, finally receiving his funds on October 31.
MEXC also went through batch unlocks, showing how user pressure led to an overhaul of the exchange’s standards.
