Cryptocurrency Exchange Ceases Operations Worldwide ⋆ ZyCrypto

On November 20, the cryptocurrency trade Bittrex International, primarily based in Liechtenstein, abruptly introduced that it will stop all its operations worldwide beginning Monday, December 4, 2023.

In response to the assertion posted on its web site, Bittrex International will halt all buying and selling actions on its platform and can solely permit fund withdrawals after December 4, urging customers to withdraw their funds in full earlier than that date.

Bittrex International Suspends Operations Amid Regulatory Scrutiny

The closure of Bittrex International comes 9 months after its U.S. subsidiary filed for Chapter 11 chapter in Delaware, following the announcement of ceasing operations within the U.S. after being accused by the Securities and Change Fee (SEC) of working with out registration.

In April, the SEC accused Bittrex and its co-founder and former CEO, William Shihara, of unlawfully operating an unregistered securities trade, allegedly producing round $1.3 billion. This resulted in a tremendous that Bittrex agreed to pay in August, amounting to $24 million for the alleged violations.

Bittrex International ranks among the many high 100 international exchanges, albeit with a lot decrease buying and selling quantity than trade giants like Coinbase or Binance, recording solely $6 million in each day quantity after having been one of many largest exchanges within the U.S. earlier than its regulatory points in 2021.

Bittrex Assures that Consumer Funds are Safe

Regardless of the regulatory challenges confronted by Bittrex, the platform has strongly emphasised that consumer funds are safe on the platform and will be withdrawn with none points.

“All funds and tokens stay secure and safe on the Bittrex International platform and can be found for withdrawal – in accordance with relevant regulation and our Phrases of Service – at any time utilizing the withdrawal services on the platform,” the assertion quoted.

Moreover, the trade expressed remorse for any inconveniences brought on by its resolution to customers with out disclosing the particular causes behind the closure, though all indicators point out that its points with the SEC are a lot bigger than anticipated, particularly contemplating the regulator’s latest actions towards two main cryptocurrency exchanges, Binance and Kraken.

Yesterday, the SEC demanded $4 billion from Binance to withdraw the lawsuit towards it. On the identical day, the SEC filed prices towards Kraken, 9 months after what gave the impression to be the decision of their disputes, following Kraken’s acceptance of a $30 million bond cost.

Subsequently, the present state of affairs involving Bittrex and different exchanges raises questions concerning the stability within the relationship between cryptocurrency exchanges and regulators. It additionally creates uncertainty over whether or not earlier purported resolutions between these actors will be trusted.