Crypto.com Pulls the Plug on US Financial Institution Trading
The worldwide cryptocurrency exchange reports that there currently needs to be more demand for its institutional-grade services.
After announcing the suspension of the service on June 21st, Crypto.com will no longer work with U.S. institutional customers.
The Singapore-based cryptocurrency exchange said that testing current market circumstances has compounded the problem of low demand from institutional clients.
Crypto.com said the service suspension was announced to the platform’s institutional customers. Crypto.com’s retail mobile app and venue are still fully functional in the United States.
The exchange’s UpDown Options product, which enables users to create long or short trading positions on future movements of multiple cryptocurrencies, is still available to retail customers in the United States, as is bitcoin derivatives trading governed by the Commodity Futures Trading Commission.
Crypto.com is still considering relaunching its US institutional exchange. An essential payment institution licence for digital payment token services was recently granted to Crypto.com by the Monetary Authority of Singapore, just as the company was drawing the curtain on its institutional offering in the United States.
American crypto markets had a rough June 2023. The SEC targeted Binance.US and Coinbase, initiating actions against both exchanges for many alleged breaches of securities laws.
Eight months after the fall of FTX, the U.S. governmental onslaught on the sector is tightening and the cryptocurrency ecosystem as a whole has pushed back against the SEC’s measures.