User YalCrypt shared a story about how the cryptocurrency exchange Changelly has been withholding $20,000 of their USDT for several months. YalCrypt explained that they were swapping tokens (TRC20 to BEP20) through the Tangem hardware wallet app, which uses Changelly as a provider. Immediately after the funds were transferred, the exchange froze the transaction, demanded KYC compliance, and then asked for proof of the source of funds. The user fulfilled all the requirements, but the money was still not returned.

Instead of returning the funds, Changelly began demanding a so-called "Enhanced Due Diligence" (EDD). According to YalCrypt, the exchange sent a list of 8 transaction hashes—some of which were made over a year ago—and demanded official documents proving the origin of the funds for each one. These transfers are in no way related to the current $20,000 swap. When trying to find out the reason for the delay or the timeline for a resolution, support replied that they could not provide any timeframes.

The user also reached out to Tangem Wallet support for help, as the swap was initiated through their app. According to YalCrypt, the wallet developers simply washed their hands of the matter. They stated that the providers are integrated as "trusted" and that the operation itself is conducted on Changelly's end, meaning Tangem bears no responsibility. They advised the user to simply comply with all of the exchange's demands, even if they concern old transactions unrelated to the case.

YalCrypt emphasizes that using centralized exchanges (CEXs) for swaps means handing over control of your money to them. Unlike decentralized exchanges (DEXs), they can freeze your funds at any moment. The author has already sent a legal claim to Changelly's legal department and is preparing to file complaints with regulatory authorities. They advise everyone to be more cautious with swap integrations in hardware wallets and not to agree to endless document requests without a clear deadline for the return of funds.