First, I am not blurring the buyers info as he is certainly a scammer and has not responded to any of my attempts to contact or get my money back.
Second, This isn’t the usual crpyto sob story of shared keys and whatnot, but a scam that arose specifically though Kucoins website and to one of their verified buyers on the new P2P Sell crypto section.
On April the 8th, I opened an order to sell 1250 USDT to a verified buyer on Kucoins site via Paypal transfer for 1000GBP.
The buyer sent a Paypal transfer that required shipping info, withheld the funds for a month, and had no seller protection meaning he could claim the money back. The Verified Buyer titled ‘Trading Bot (Sergei Osipov)’ also had a different name to the Paypal Payee (Jared Clemons).
Attached are three images; one of his original, potentially fraudulent transfer (funds available April 28!), one of the refund I sent when Paypal sent me the details of the suspicious transfer, and one of the ‘Completed’ order. My USDT is gone, and I received no fiat.
After realizing a potential scam, I decided to refund the Paypal payment and attempt to close the Sell order. I found out there was no option to cancel the P2P order, and my coins would be released in 24 hours. I opened a ticket, but of course Kucoin didn’t respond effectively within that timeframe.
After 24 hours, my coins were released without my consent. Kucoin has a policy of releasing withheld coins 24 hours after an order is created no matter what. This is a ridiculous policy that offers the seller no protection to cancel in the case of fraudulent payments.
What are my options? I have been defrauded solely through Kucoin’s website by one of their ‘Verified buyers’. Kucoin released my coins, without my consent, after I had refunded a fraudulent transfer. As soon as I opened the sell order, there was nothing I could do to stop the scam from happening.
I have also had 0 response or support in a week since it happened (apart from automated email replies)