Echo Base Organizes BitMart User Group After Unanswered $10M Rescue Offer

• Echo Base forms committee of BitMart customers with legal counsel after $10M restructuring proposal is ignored
• Group weighs legal action and insolvency options as BitMart blocks withdrawals and heads for 2027 shutdown

On September 2, 2026, Chainwire reported that Echo Base, a special-situations investment firm, has formed a committee of affected BitMart users—represented by Young Conaway Stargatt & Taylor and Ashbury Legal—to coordinate legal action after BitMart failed to respond to Echo Base’s $10 million bankruptcy restructuring proposal and continued to block customer withdrawals. Echo Base and the committee are addressing BitMart’s ongoing lack of transparency about its asset reserves, as management has refused to provide proof-of-reserves or clear financial disclosures ahead of a planned shutdown by January 31, 2027.

Echo Base stated that at least 15 formal outreach attempts—including its $10 million rescue offer—were met with silence from BitMart. The committee is now considering options such as involuntary insolvency proceedings and coordinated legal strategies to help customers recover funds locked on the platform. Echo Base alleges BitMart is blocking withdrawals without legal justification and has not explained its asset position.

BitMart founder Sheldon Xia and other leaders have publicly denied any mishandling of customer assets, according to Cryptopolitan reports from July 26 and August 8, 2026. However, BitMart’s management has not provided evidence or official disclosures to support these denials.

As of early September, BitMart is proceeding with its planned shutdown, increasing legal and regulatory uncertainty for its customers. The formation of the Echo Base-led committee marks a significant escalation in attempts to protect users and restore their access to funds, as the exchange moves toward closure amid unresolved risks and legal challenges.