CoinEx, a cryptocurrency exchange based in Hong Kong, has announced its closure set for December 22, after nearly a decade of operation. Users are advised to withdraw their funds before the deadline.
CEO Haipo Yang Cites Security and Compliance Challenges in Decision
Haipo Yang, the founder and CEO of CoinEx, pointed to escalating security and compliance challenges as key factors behind the decision to cease operations. He expressed that he had considered selling the exchange but ultimately deemed it more appropriate to conclude operations with a "clean ending."
Yang stated, "CoinEx did not become one of the industry’s leading exchanges, and the security and compliance risks of running a crypto exchange have become increasingly difficult to contain." He made the announcement on the platform X (formerly Twitter) on Tuesday.
Currently, CoinEx's 24-hour trading volume is slightly above $70 million, which pales in comparison to major competitors like CoinW, with a volume of $1.18 billion, and Gate, at $1.6 billion, according to data from CoinGecko.
This closure adds to a trend where established exchanges are struggling to remain competitive as the cryptocurrency market evolves. Other exchanges, such as BitMart and BitMEX, have also shut down recently, following a notable decline in retail trading volumes.