Seattle-based crypto exchange Bittrex is shutting down its US operations due to what the exchange calls the “current US regulatory and economic environment.” Bittrex is ranked 71st on CoinGecko, with a 24-hour trading volume of $11.7 million.
It will, however, continue to operate its Bittrex International platform for non-US users. According to the CEO of Bittrex, Richie Lai, regulatory requirements in the United States are unclear and implemented without sufficient discussion or input, resulting in an unequal playing field, media reports said.
A statement from Bittrex assured the customers that their funds are safe and can be withdrawn until April 30, and trading will continue until April 14.
The announcement arrives when regulators in the United States are intensifying their efforts to enforce rules on the cryptocurrency sector.
During the past month, the Securities and Exchange Commission (SEC) imposed fines on several American crypto firms, including Kraken. Coinbase has been issued a Wells Notice by the SEC, indicating that enforcement action is likely around the corner because the San Francisco-based company’s staking products allegedly constitute unregistered securities.
Last week, the Commodity Trading Commission (CFTC) filed a lawsuit against Binance, the largest cryptocurrency exchange globally, alleging that it had violated trading and derivatives regulations.
In 2022, Bittrex agreed to pay $29 million to settle enforcement cases with US authorities for apparent sanctions violations against countries including Iran, Cuba, and Syria.
Bittrex also delisted privacy coins Monero, ZCash, and Dash earlier in 2021. The Bermuda-registered exchange did not provide a reason for the delistings, but all three are privacy coins, a class of cryptocurrencies that offer untraceable transactions.
Bittrex’s decision to shut down its US operations underscores the uncertain regulatory environment for crypto companies in the US, leading some companies to operate outside the country’s borders.
