Calling it a joke but seems it getting out of hand. This year crypto industry have suffer a lot from US regulatory, and some are not be able to continue their operation due to regulatory environment while some operation has been halt. In my previous post, I made mention of some America crypto exchanges that want to expand their operation to another jurisdictions. Those exchange are doing these due to America regulatory that is been tough lately on them, Coinbase, Crypto.com and Kraken want to expand their business to Canada will be a figure for others crypto exchanges in US if succeed.
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However, american cryptocurrency exchange Bittrex on Friday announced that it would wind down its operation in U.S due to regulatory environment. The statement made via Twitter by Bittrex co-founder that the company was not economically viable to continue run the exchange in US regulatory environment, but will continue operating it global platform outside US.
This announcement caught my attention for such crypto exchange that has been in operation in US for good nine years come along with the decision of wind down its operation means the regulatory are really on war against cryptocurrency and crypto exchanges in US. To be honest US securities scrutiny are not advisable to stay under operation, it doesn't make financial sense to crypto industry, meanwhile the regulations is unclear and forced on them without appropriate guidelines.
Several crypto companies were been fines due to their security of a thing. The popular Kraken was interrupt to halt its staking operation in US and also fine to pay $30 million for offering unregistered program. Not only that, Gemini Winklevoss brothers crypto lender and Genesis earn program fines for unregistered program, they sue Binance recently for violating trading and derivatives rules, like wise Coinbase San Francisco staking program too. I don't think all these are right, assuming the crypto exchanges all know they're doing something inappropriate they will not violate the rules, but just comeup one afternoon called everything unregistered.
I can't blame Bittrex for this decision because is a small Seattle-based Crypto company that can be affected with just little things, the trading hour for the company is minimal and even not up to some decentralized exchange. With the little made by the company, still agreed to pay $29 million to US authorities for violations against Iran, Cuba last year.
Crypto exchanges moving out of US is not their concerns, they already made this clear it's not a threat to them if any crypto firm want to leave should leave. This statement really showed an enforcement action to send them out is likely around the corner.
Bittrex made a tough decision but I understand what they are going through, and if crypto firm don't want to face regulatory dramas should do it the way Bittrex doing. April 14 will be the last day, so anyone who have holding on Bittrex should move it, the Bittrex US is shutting down.
