CoinEx Shuts Down Amid Regulatory Costs and Shrinking Trading Activity
Crypto exchange CoinEx has announced its decision to shut down operations after nearly nine years in the market. The move comes amid prolonged weak activity, shrinking trading volumes and liquidity, and rising regulatory and compliance expenses.
The exchange cited these factors as the reasons for its closure, stating that uncertainty in its operations had become intolerable. Despite having a proof-of-reserves system to verify customer assets, which are reportedly over 100% backed with reserves, CoinEx has decided to cease all activities.
The shutdown will affect various services and products offered by the exchange, including spot trading, fiat services, margin trading, loans, Earn service, staking, and strategic trading. These services were suspended on September 15, with futures positions able to be reduced until September 22, when any unliquidated positions will be settled to index prices.