AscendEX says claims portal is slated for Sept. 5 as insolvency steps and rescue talks run in parallel

AscendEX, which has halted normal operations and customer withdrawals since July 1, plans to roll out a claims portal around Sept. 5, according to an Aug. 22 update to users. The exchange said the portal is intended to let eligible customers view recorded account balances, register account details, file claims and upload supporting documentation. AscendEX stressed that the initial launch would not restore trading, deposits or withdrawals. AscendEX also cautioned that balances displayed on the portal, or even a claim submission marked as accepted, would not mean the claim has been admitted. The exchange said these steps would not determine a claim's legal status, priority, recovery amount, or the timing of any repayment. Sept. 5 was described as an estimated initial date that could shift if additional technical, security or legal work is required. AscendEX said customers should access the portal only by typing ascendex.com directly, and warned it will not request an additional deposit, password, private key or fee to use the system. No recovery estimate or timeline for resuming withdrawals AscendEX has not provided an estimate of potential customer recoveries or a timetable for withdrawals to restart. The exchange framed the portal primarily as a mechanism to document and organize customer claims, not a process that determines who gets paid or when. Rescue options under review alongside insolvency preparations In the same notice, AscendEX said it is evaluating rescue, recapitalization and restructuring options while also taking steps toward a formal insolvency process. The company offered no assurance that a rescue transaction will be completed. The update did not indicate that any court, administrator or other authority has opened insolvency proceedings. It also did not specify which legal entity would enter insolvency, the jurisdiction or forum, any appointed officeholder, a claims deadline, or the asset pool that could be available for customer recoveries. AscendEX's shutdown followed the July 1 suspension of normal operations and withdrawals. The exchange has attributed financial strain to a failed recapitalization effort and, in part, to losses linked to a December 2021 security incident. Even with the planned portal launch, the company has not clarified how much customers may recover or when repayments could begin. Source: CryptoSlate