Cryptocurrency exchange Bitfront has announced plans to cease operations in the coming months, citing challenges facing the industry. The US trading platform, backed by Japanese social media giant Line, said the decision was unrelated to FTX’s collapse.
Online-supported digital asset exchange Bitfront suspends new listings
Bitfront, a crypto exchange operating in the United States, has suspended new registrations and credit card payments while planning to cease operations in a few months. The move comes despite efforts to overcome current challenges in the “fast-evolving” crypto industry, the company said, as quoted by Reuters and Bloomberg.
In the statement posted on its website, the exchange explained that it had “determined with regret that we must shut down Bitfront in order to continue to grow the Line blockchain ecosystem and the Link token economy.” The US-based platform, which launched in 2020, is backed by Japanese social media company Line Corp.
Bitfront also pointed out that the decision to shut down is unrelated to issues with “certain exchanges that have been accused of misconduct,” an indirect reference to FTX, one of the biggest global players in the market before its collapse and rise. bankruptcy filing. protection on November 11 amid liquidity problems.
Other companies in the space, like Blockfi for example, have been hurt by exposure to FTX. The crypto lender announced on Monday that it has filed for Chapter 11 bankruptcy protection with eight of its affiliates. When Blockfi suspended withdrawals earlier this month, it specifically cited the “lack of clarity” regarding the state of FTX at the time.
With a 24-hour volume of less than $94 million, just a dozen trading pairs and six coins, according to Coingecko, Bitfront has a small share of a market with a total trading volume of nearly $57 billion. over the same period, according to the Bloomberg report. Noted.
The exchange informed users that new registrations and card payments were suspended on November 28 while cryptocurrency and US dollar deposits will be halted on December 30. He also urged customers to withdraw all their assets by March 31, 2023, when all withdrawals will also be suspended.
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