BitMart weighs phased restart and creditor payouts

BitMart is exploring a restructuring plan involving creditor allocation and phased business restart less than four weeks after announcing the full shutdown.

Summary

BitMart has hired White & Case law firm during its review of creditor allocation and phased business restart plans.

September 9 is the deadline for BitMart to release its next update, not the confirmed completion date of the reorganization.

Unless revised, existing notices still stipulate that all transactions close at 01:00 UTC on August 26.

BitMart has not disclosed creditor qualifications, compensation ratios, reserve data or any court documents.

According to tracking data, BMX is currently trading at about US$0.06, a decline of about 80% in the past month.

The exchange has hired White & Case as its restructuring legal adviser and has committed to release the next update by September 9, but has not canceled the existing August 26 trading deadline or the January 31, 2027 closure date.

This announcement is the first time BitMart has publicly mentioned "creditors." The announcement did not specify which customers or counterparties fell into this category.

BitMart's restart plan is still under evaluation

BitMart said the proposed plan could combine an orderly restoration of some services with distribution to creditors. Any restart plan will still require legal, financial, operational and regulatory evaluation.

BitMart said: "Potential plans may include a phased resumption of some operations." The company has not yet approved or launched the plan.

White & Case will work with other BitMart advisers to evaluate feasible options. The firm's appointment does not mean that BitMart has entered bankruptcy proceedings or other court-supervised processes.

At the time of writing of this report, verified bankruptcy filings, reorganization case numbers or creditor claims portals had not been published. BitMart also did not identify the legal entity or jurisdiction responsible for making the distribution.

The exchange said it expects to negotiate with the community after the business restart plan is launched. It has not yet been said how customers will participate or whether a creditor vote will be required.

The trading deadline on August 26 remains in effect

BitMart's closure notice still stipulates that all spot, contract and other transactions close at 01:00 UTC on August 26.

Contract accounts have entered into lightening-only mode, and the spot market has stopped accepting new orders. New user registration and recharge in cryptocurrency and fiat currencies have been gradually closed since July 26.

Any contract positions still held before the deadline may be settled based on applicable marker prices, index prices, or platform settlement rules. BitMart said it would release a separate settlement arrangement, but no details were provided in the restructuring update announcement.

The exchange previously advised users to complete identity verification and submit withdrawal requests before 05:00 UTC on August 26. The cash withdrawal feature is still open normally, but additional identity, sanctions, transaction history and wallet checks may cause processing delays.

As previously reported, BMX fell more than 60% in 24 hours after the closure announcement. The possible restructuring plan currently does not change the withdrawal guidelines.

The term "creditor" raises unanswered questions

BitMart does not disclose why customer or counterparty balances may need to be processed through creditor allocation rather than ordinary withdrawals. Its July notice mentioned operating conditions, market environment and future strategies, but did not state that there was a funding gap.

The latest statement does not include information such as balance sheet, total liabilities, reserve reports or recovery rates. It also did not say whether user assets and unsecured commercial claims would be treated differently.

Previous concerns about BitMart's reserve and custody status were based in part on third-party wallet tracking and customer reporting. These observations do not independently prove the complete assets or liabilities of the exchange.

On-chain balances only cover publicly known wallet addresses. Undisclosed addresses, fiat positions, off-chain liabilities or assets held through custodians cannot be displayed. Therefore, reliable recovery rate assessments require audited financial information or verified court disclosures.

September roadmap must clarify payment plan

BitMart said it will "strive" to provide the next update on or before September 9. The wording means the exchange is committed to further communication rather than reaching a final restructuring agreement.

The next announcement needs to clarify which businesses may restart, which legal entities have debts to creditors, and how to evaluate the value of claims. Customers also need to understand the payment time, available assets and how to handle pending withdrawals.

Unless BitMart officially changes its schedule, trading will stop two weeks before the restructuring update is released. The entire platform is currently scheduled to end operations at 15:59 UTC on January 31, 2027.

On August 23, BMX was trading at approximately US$0.061. Despite a slight rebound in the previous week, the coin's price is still down about 80% from a month ago.

The September 9 update will determine whether BitMart proposes a viable restart plan or continues with its original shutdown plan. Until then, phased restarts and creditor distributions were only considered as possible components rather than confirmed results.