Bittrex Global Announces Shutdown of Most Exchange Operations

Estimated read time 2 min read

In a recent announcement, Bittrex Global revealed its decision to wind down most exchange operations and trading activities in the coming weeks. The company expressed regret over the decision, emphasizing the challenges it faced and the potential inconvenience to its valued customers.

Bittrex Global disclosed that, starting December 4 at 6:00 p.m. UTC, all trading activity on its exchange would be disabled, and client relationships terminated. Users were notified that after this date, they could only withdraw assets, and emphasized that withdrawal of U.S. dollar holdings would not be possible. Users were advised to convert their balances to euros (EUR) or cryptocurrency before the specified date.

While the announcement did not impose a withdrawal deadline, Bittrex Global urged users to withdraw funds promptly, especially if liquidators were to impose a deadline. The company also outlined plans to wind down other operations and features, including the Global Referral Program and ongoing promotion programs. Users were explicitly warned against making any deposits, with a cautionary note that any deposits made might be at risk of being lost.

The decision to shut down most of its operations follows the earlier announcement by Bittrex to halt its U.S. operations around April, attributing the move to regulatory challenges within the country. In May, the company filed for bankruptcy in the U.S., clarifying that its global exchange would continue to operate independently.

Though the recent announcement did not explicitly detail the specific issues leading to the broader shutdown, developments in the past months may have influenced the decision. In August, Bittrex Global reached a $24 million settlement with securities regulators, addressing concerns related to both Bittrex Global and its U.S. counterpart.

One factor contributing to the company’s decision could be the noticeable decrease in trading volumes. Current data from CoinGecko indicates a daily trading volume of $5.1 million for Bittrex Global, a significant decline compared to approximately two years ago when the daily trading volume exceeded $141 million on November 30, 2021.

Moreover, the U.S. wind-down process gained approval in bankruptcy courts at the end of October, potentially prompting the company to address its global operations in recent weeks. The combination of regulatory challenges, legal settlements, and reduced trading volumes has seemingly led to the challenging decision of winding down most of Bittrex Global’s operations.*