A distressed-asset firm is trying to force a question left open five weeks after BitMart began shutting down: what happens to the customer funds users say they can no longer withdraw.

Echo Base, a privately funded special-situations firm, said on Sept. 2 that it has organized an ad hoc committee of BitMart claimholders and retained bankruptcy counsel, and is weighing whether qualifying creditors could push the exchange into an involuntary insolvency proceeding, though it has not said which BitMart entity or jurisdiction it would target. The committee, which Echo Base says has retained Young Conaway Stargatt & Taylor and Ashbury Legal, represents a significant and growing balance of frozen customer assets, the firm said, without disclosing a figure.

An Offer Left Unanswered

The committee formed after BitMart left the firm’s offer unanswered, according to Echo Base’s announcement. The firm says it submitted a written proposal on Aug. 6 offering to commit up to $10 million to fund a pre-negotiated bankruptcy that would cover the case’s costs through confirmation. It also says an affiliate had tried to withdraw assets on July 24, roughly 31 hours before BitMart announced it would shut down, then delivered a formal demand on Aug. 8 documenting 15 unanswered contact attempts. BitMart responded to neither, the firm says.

Echo Base’s argument rests on BitMart’s own terms. BitMart’s user agreement states that title to supported digital assets held in customer wallets “shall at all times remain with you and shall not transfer to BitMart,” and that those assets are “not property of BitMart, and are not subject to claims of BitMart’s creditors.”

“BitMart still has time to run an orderly wind-down. What it does not have is anyone willing to put capital behind one,” CEO Roshan Dharia said. “Every week this goes unanswered, the version that remains available narrows.”

What BitMart Has Promised

BitMart began winding down on July 26, with platform operations set to end in January 2027. BitMart’s notice said withdrawals would remain available, but customers have since reported that their requests stay pending. In an Aug. 21 statement, the exchange said it had appointed White & Case as restructuring counsel and would deliver a roadmap, weighing a phased restart alongside creditor distributions, by Sept. 9.

Founder Sheldon Xia has denied misappropriating customer assets. In an Aug. 8 post, he said the company had not moved to withdraw funds early or evade responsibility, and was weighing bringing in courts and independent auditors to produce a transparent report. He had earlier said BitMart’s own X account was hacked when it posted a proof-of-reserves demand.

That promised roadmap now lands with an organized creditor group waiting on the other side.

Related Listen: Uneasy Money: Inside the AI Agent Scandal That Cheated, Then Covered Its Tracks