Crypto.com will no longer serve institutional clients in the US after announcing a suspension of service beginning June 21.
The Singapore-based cryptocurrency exchange cited limited demand from institutional clients as the main reason for the move, which was exacerbated by testing current market conditions. A statement from Crypto.com noted that institutional users of the platform were notified in advance of the decision to suspend service. Crypto.com's retail mobile application and platform remain fully operational in the United States.
US retail users will still be able to trade cryptocurrency derivatives regulated by the Commodity Futures Trading Commission, as well as the exchange's UpDown options product, which allows users to open long or short trading positions on the future movement of various cryptocurrency rencies. Crypto.com is open to the possibility of relaunching its institutional exchange in the United States.
Crypto.com, while including its US institutional offering, recently received an official primary payment institution license for digital payment token services from the Monetary Authority of Singapore, enabling it to offer services in the country.
June 2023 is proving to be a volatile month for cryptocurrency trading in the United States. The US Securities and Exchange Commission (SEC) has set its sights on Binance.US and Coinbase, bringing legal action against the exchanges for alleged violations of securities la ws.
The broader cryptocurrency ecosystem pushed back against the SEC's action, as the US regulatory crackdown on the industry appears to have tightened about eight months after the FTX debacle.
