Cryptocurrency exchange Bittrex is closing its operations in the United States due to “continuing regulatory uncertainty” as US regulators step up enforcement efforts against cryptocurrency trading platforms. Regulatory requirements currently “are often unclear and enforced without appropriate discussion or input, resulting in an uneven competitive landscape,” Bittrex described.
Bittrex leaves the US crypto market
Cryptocurrency exchange Bittrex announced on Friday that it is halting its operations in the United States. The exchange tweeted:
Due to ongoing regulatory uncertainty, we have made the difficult decision to end our operations in the United States, effective April 30, 2023.
“All funds are safe and can be fully withdrawn immediately,” the announcement adds, emphasizing that the shutdown does not affect non-US customers using the Bittrex global platform.
Richie Lai, CEO and Co-Founder of Bittrex, explained, “It is simply not economically viable for us to continue to operate in the current regulatory and economic environment in the United States. Noting that his trading platform turned nine this month, Lai said:
Nine years later, the crypto ecosystem is very different. Regulatory requirements are often unclear and enforced without proper discussion or input, resulting in an uneven competitive landscape.
Bittrex noted that the last full day for which users can withdraw their cryptocurrency is April 29. Additionally, the last day to submit fiduciary withdrawals is April 24 at 5:00 p.m. PDT for Wire Transfer and April 27 at 5:00 p.m. PDT for ACH.
In the United States, cryptocurrency companies are facing increased regulatory scrutiny as the Securities and Exchange Commission (SEC) prioritizes enforcement efforts. The SEC has targeted several crypto firms, such as issuing a Wells notice to Coinbase and filing charges against Kraken for the exchange’s staking program.
SEC Chairman Gary Gensler recently requested more funding for his agency to combat misconduct in the crypto space. He claimed that all crypto tokens except bitcoin are securities. Additionally, the Commodities Futures Trading Commission (CFTC) filed a lawsuit against Binance and its CEO, Changpeng Zhao (CZ).
What do you think of Bittrex shutting down its US operations? Let us know in the comments section below.
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