Crypto.com Partial Shutdown in US: Overview
• Crypto.com is ceasing its institutional services in the US, effective June 21, 2023 due to regulatory concerns and limited demand.
• This follows an SEC crackdown on crypto exchanges and marks a true exodus of crypto companies from the US.
• This decision does not affect retail users for now, but there is no guarantee this won’t change in the future.
Why Crypto.com Is Shutting Down a Part of Its US Business
Crypto.com has announced its decision to cease its institutional services in the US citing limited demand and increasing regulatory concerns. The move follows an escalating regulatory crackdown on crypto exchanges by the SEC, which has resulted in lawsuits being filed against Binance and Coinbase. The closure is expected to impact some 400 institutional clients who have been leveraging Crypto.com’s services and will be effective from June 21, 2023.
What Is Crypto.com Institutional Exchange?
Crypto.com Institutional Exchange is a platform designed to cater to the needs of institutional investors such as hedge funds, banks, and other financial institutions that trade large volumes of digital assets such as Bitcoin (BTC) or Ethereum (ETH). Institutional exchanges offer a suite of advanced trading features tailored to these large-scale traders including high liquidity, deep order books, and low fees – essential for these large-scale traders looking for maximum profit potential with minimal risk exposure when trading cryptocurrency markets online or over-the-counter (OTC).
What Does This Mean for Crypto.com Retail Users?
Crypto.com’s decision to shut down its institutional exchange service in the US does not directly affect its retail users; individual customers can still use Crypto.com’s services as usual – however there are no guarantees that this can’t change in the future if further regulation continues to increase pressure on exchanges operating within the US market space .
Crypto.com Latest Domino After Binance & Coinbase
The decision by Crypto.com comes after two major crypto exchanges were met with lawsuits from the Securities and Exchange Commission (SEC); Binance and Coinbase were both targeted by suits from America’s top regulator which has caused a wave of concern among cryptocurrency exchange operators regarding their continued operations within the United States market place – highlighting yet another example of how even more established players are having their business models reshaped by increased regulatory scrutiny across all aspects of digital asset investing activities taking place within country borders .