Bithumb Suspends IOTX to Prepare Blockchain for Real-World AI and IoT

South Korean cryptocurrency exchange Bithumb has temporarily suspended deposits and withdrawals for IoTeX (IOTX) tokens ahead of a critical mainnet upgrade, effective at 9:00 a.m. UTC on November 3. The move, announced via its official channels, aims to ensure a seamless transition during the network's protocol enhancement while safeguarding user assets, according to a BitcoinWorld report.

The suspension is part of standard industry practice when major blockchain upgrades occur. Mainnet upgrades often introduce new features, improve scalability, or address security vulnerabilities. In this case, IoTeX's Core v.2.3.0 upgrade, scheduled for block height 41,648,761 (estimated November 4 at 03:45 UTC), includes IIP-50 to implement slashing mechanisms for underperforming delegates and BLS PublicKey Registration to enhance finality through scalable signature aggregation, as noted in a TradingView post. These changes are designed to bolster network reliability and prepare the platform for large-scale decentralized infrastructure (DePIN) and real-world AI (RWAI) applications.

Bithumb emphasized that the suspension does not affect trading activities for IOTX pairs, though users are advised to monitor official updates for any exceptions. Deposits and withdrawals paused during the upgrade will resume once the network transition is complete. "The suspension is an operational measure to facilitate the mainnet upgrade safely," the exchange stated, adding that users should complete transactions before the deadline to avoid disruptions, the report said.

The IoTeX network, known for its focus on IoT and decentralized identity solutions, has long positioned itself as a scalable blockchain for real-world applications. The upcoming upgrade aligns with its broader strategy to strengthen infrastructure for decentralized ecosystems. Bybit, a rival exchange, recently raised withdrawal limits for VIP and institutional clients to 60 million USDT, highlighting the growing demand for efficient capital mobility in crypto markets, the BitcoinWorld article added. However, Bithumb's action underscores the industry's cautious approach to major protocol changes, prioritizing security over immediate user convenience.

Users are encouraged to refer to Bithumb's official communications for precise timelines on service resumption. The exchange also reiterated that IOTX holdings remain secure during the suspension, with no risk of asset loss.