CoinEx Closes After Nine Years: Shrinking Revenue and Rising Compliance Costs
Crypto exchange CoinEx is shutting down after nine years in operation due to declining revenue and increasing compliance costs. The platform will begin winding down its operations on September 29, with spot trading coming to an end. CoinEx's founder Haipo Yang cited the company's failure to become a leading exchange as a major factor in its decision to close.
Yang said that while revenues can decline, responsibility does not, and carrying unlimited risk for limited revenue is no longer a rational choice. The exchange has also pointed to a prolonged contraction in crypto trading volume and liquidity, alongside rising regulatory requirements across major jurisdictions.
CoinEx had already surrendered access to the US market after settling a case brought by New York Attorney General Letitia James, which required the company to refund over $1.1 million to 4,691 investors and pay over $600,000 in penalties.
The shutdown of CoinEx comes as trading activity is recovering and becoming more concentrated among the largest operators. Binance, OKX, MEXC, Bybit, and Gate accounted for around 88% of all trading across CoinMarketCap's cohort, with Binance alone capturing a record 43.3% share for a third consecutive month.