Frozen Coins on an Exchange — Why and How to Get a Refund
Exchanges freeze coins after risk scoring, sanctions hits or source-of-funds checks. Learn the causes, what to do, and how Matrimix refunds failed swaps.
Custodial exchanges freeze coins when a deposit gets a high risk score, matches a sanctions list or triggers a source-of-funds check. Matrimix is a non-custodial crypto exchange aggregator: coins go straight to the address you enter, every address is screened against sanctions lists, and if a swap can't complete it is refunded to your refund address.
Why custodial platforms freeze funds
When you send coins to a custodial exchange, the platform holds them and is responsible for what passes through its accounts. To meet its legal obligations it runs automated checks on every incoming transaction. A freeze is usually not a punishment — it is the platform pausing until it understands where the money came from.
The most common triggers:
- Risk scoring. Blockchain analytics tools assign a score to an address based on its history. If your coins passed through addresses linked to scams, hacked funds or high-risk services, even several hops ago, the score can rise.
- Sanctions screening. If the sending or receiving address matches a sanctions list, such as the OFAC SDN list, the platform is legally required to block it.
- Source-of-funds checks. Large or unusual deposits can prompt a request for documents explaining where the funds came from: exchange statements, invoices, payroll records.
- Account-level reviews. A mismatch between your verified profile and your activity, a login from a new country or a sudden change in volume can put the whole account on hold.
Causes and what to do
| Cause | What it looks like | What to do |
|---|---|---|
| High risk score | Deposit credited but locked, or "under review" | Contact support, provide the transaction history and explain the origin of the coins |
| Sanctions match | Funds blocked, no quick resolution | Only the platform and the relevant authority can resolve it; seek legal advice |
| Source-of-funds request | E-mail asking for documents | Send clear, consistent documents; keep records of earlier purchases and swaps |
| Account review | Withdrawals disabled | Complete the requested verification step and keep answers consistent |
| Wrong network or memo | Coins not credited at all | Contact support with the TXID; recovery is not always possible |
How to reduce the risk legitimately
You cannot control the full history of every coin you receive, but you can lower the chance of a freeze:
- Keep records. Save TXIDs, exchange statements and invoices. A clear paper trail is the fastest way to resolve a review.
- Know your counterparties. Coins received from unknown P2P traders or "too good to be true" offers are the most frequent source of high risk scores.
- Avoid storing large sums on third-party platforms. For long-term storage, a self-custody wallet means no platform can freeze your balance.
- Double-check networks. Sending USDT on ERC20 to a TRC20 address, or forgetting a memo, looks like a freeze but is a routing error.
- Respond promptly. Reviews with fast, consistent answers are resolved far more often.
How Matrimix handles failed swaps
On the exchange Matrimix does not hold your coins between steps. You choose a route from about a dozen providers and atomic-swap routes, see the full cost before you commit, and the coins go straight to your destination address.
Before an order is created, the destination address and the refund address are screened against the OFAC SDN sanctions list, which is updated every 12 hours. If a provider cannot complete the swap — for example, the rate moved too far on a fixed-rate order or the provider rejected the deposit — the order is refunded to the refund address you entered. That is why the refund address matters: enter one you control, on the same network as the coin you send.
Deposit addresses for orders are signed by Matrimix, so you can verify you are paying a genuine address and not a phishing clone (see Security). Provider availability is shown on the status page.
An honest caveat: Matrimix routes through third-party providers. A provider has its own compliance rules and may hold a deposit for review. In that case support helps you contact the provider and follow the order, but the final decision belongs to the provider.
What we do not help with
Matrimix does not help move funds that are blocked for sanctions reasons, does not assist with hiding the origin of funds and does not process addresses that match the sanctions list. Prohibited use is listed in the Terms and our approach is described in the AML policy. If your funds are frozen because of a sanctions match, the right path is the platform's official process and a lawyer.
FAQ
Can Matrimix unfreeze my coins on another exchange?
No. Only the platform that holds the coins can release them. Matrimix can only help with orders made through Matrimix.
Where does a refund go if my swap fails?
To the refund address you entered when creating the order. Make sure it is on the same network as the coin you sent and that you control it.
Does the Matrimix wallet ever hold funds for review?
Yes. The wallet is custodial: every withdrawal is confirmed separately, and new accounts or large amounts can get a manual review.