Cryptocurrency exchange Bittrex has announced that it is winding down its operations in the United States due to a challenging regulatory and economic environment. The announcement, which comes on the platform's ninth anniversary, is a bittersweet moment for the company.
Co-founder and CEO Richie Lai said that as the crypto ecosystem grows, regulatory requirements become increasingly "unclear" and "enforced without proper discussion or input," resulting in an uneven competitive landscape . This environment makes it economically impossible for Bittrex to continue doing business in the United States. The company's founders have decided to focus on helping Bittrex Global succeed outside the US. Bittrex clarified that U.S. customers do not have to worry about the safety of their funds as all their funds are safe and can be withdrawn. The platform said it would allow trading until April 14, 2023, but advised customers to withdraw all funds by April 30, 2023.
Founded in 2014 by three cybersecurity engineers, Bittrex offers features like a full-service API, near-instant atomic transactions, wallet infrastructure, and an offline cold wallet solution. The closing of Bittrex’s U.S. operations is a reminder of the challenges cryptocurrency businesses face in an uncertain regulatory environment.
On March 3, Ripple CEO Brad Garlinghouse warned that the SEC’s regulatory approach puts the U.S. at “serious risk” of missing out on becoming an attractive center for the next evolution of blockchain and crypto innovation.
In an interview with Bloomberg, Garlinghouse said that the crypto industry "has begun to move outside the United States" because the country's crypto regulation "lags behind" other countries such as Australia, Japan, the United Kingdom, Singapore and Switzerland.
