Tether-backed Orionx plans to close after discovering a $7 million custody gap

Tether-backed Chilean exchange Orionx announced it was closing after discovering a US$7 million custody gap.

Tether-backed Chilean cryptocurrency exchange Orionx announced that it would cease operations after discovering a custody shortage related to funds leaving the exchange's unmanaged wallets. The company said it had initiated a permanent shutdown process and temporarily suspended withdrawal services while trying to return funds to customers.

Orionx issued a statement on the X platform (formerly Twitter) saying that a forensic audit found that more than $7 million in custody assets recorded in its system had been transferred to wallets that were not controlled by Orionx. "Our only top priority right now is to return as much of our customers 'assets as possible." The exchange said.

Core Points

• Orionx began the permanent shutdown process after discovering a custody mismatch involving more than $7 million during a legal review.
• Withdrawal services have been temporarily suspended as the exchange strives to return customer assets.
• The company did not disclose the specific time when the transfer occurred, but the activities mentioned in the criminal complaint occurred between 2018 and 2021.
• Orionx accused the former co-founder of allegedly accessing the hosting system and denied that the accused party had acted improperly.
• Tether led Orionx's Series A funding round in June 2025, highlighting how quickly a crisis can erupt even after a large investment.

Custody mismatch triggers a wave of closures

Orionx's announcement did not provide details of when the differences occurred or how the problem was first discovered. However, the exchange said it initiated a permanent shutdown process after a forensic investigation that compared Orionx's internal records with on-chain data related to its custody address.

According to reports cited in the criminal complaint, an external audit concluded that the balances maintained in the Orionx system exceeded the value of the assets actually stored in the escrow address, and the cryptocurrencies involved included Bitcoin (BTC), Ethereum (ETH), Ripple (XRP) and Polygon (POL). Orionx said the funds had been transferred to its unmanaged wallets.

For customers, the actual impact is immediate: withdrawals are currently suspended as Orionx is trying to check records and return funds as much as possible. The company did not disclose the specific time in its public posts, which also made it difficult for external observers to fully understand when customers may be most exposed to the risk of custody gaps.

Orionx's alleged discoveries and unsolved mysteries

According to Orionx and related reports, the exchange's review began in the context of compliance work related to Chile's Fintech Act. Orionx reportedly conducted an internal operational review in 2025 and hired financial professionals, which La Tercera reported citing the company's criminal complaint.

La TerceraReported that on August 27, Orionx chief operating officer Thomas Mac Millan discovered what was described in the complaint as a "significant mismatch", that is, differences between what was recorded by Orionx's system and what was actually hosted. Following this internal review, Orionx commissioned a forensic audit to compare operating records with data that could be verified on-chain.

The criminal complaint reportedly alleges that assets were transferred from Orionx's custody between 2018 and 2021, including to accounts on other crypto platforms. Although this time period was mentioned in the complaint, Orionx's public closure announcement did not confirm when the differences occurred or whether all allowed transfers corresponded to the full amount of the final shortfall. [TAG Orionx said criminal charges were filed Wednesday against its former executives Roberto Zibert and Joaquín Díaz, both described as co-founders suspected of having access to the escrow system. The company's allegations focus on transfers related to wallets not controlled by Orionx.

La Tercera reported that the complaint alleges 14 transfers totaling more than $1.5 million were made to accounts linked to Diaz. Another wallet allegedly received 187 Ethereum, more than $4.1 million USDT and 200,000 USDC, all from Orionx.

Zibert and Diaz denied the allegations. According to La Cuarta Reported that they said they had never harmed the interests of customers and believed that the reason for the asset shortage was unclear. This denial adds a key uncertainty to customers and observers: Even if a custody mismatch is documented, disputes about responsibility and intent can complicate recovery timelines and any eventual legal resolution.

Tether's 2025 Speed of Support and Destruction

Orionx was founded in Chile in 2017 and expanded from a retail cryptocurrency exchange to a broader platform that provides cryptocurrency payments and financial services in Chile, Peru, Colombia and Mexico.

In June 2025, Tether led Orionx's Series A financing, which Tether positioned in its announcement as part of an effort to expand digital asset adoption in Latin America. The announcement is currently only available through an archive link.

As of press time, media contacted Tether and Orionx seeking comment, but no response was received.

The incident highlights a broader reality facing investors and users: Even if major stablecoin issuers participate in capital injections, due diligence on the operational custody process must be an ongoing effort, not a one-time milestone. Orionx's closure, which took place just about a year after the Series A round, also raises questions about how custody controls evolved after the investment round and what internal or external audit mechanisms were in place during the growth period.

For customers, the next steps may depend on how Orionx performs the reconciliation and whether it can identify recoverable assets associated with custody mismatches. Readers should pay attention to updates on the scope of the funds recovered, the timing of the suspected transfer, and the progress of the criminal case-especially considering that the root cause of the alleged shortage has not yet been determined.