Bittrex Global is set to cease its trading operations globally on Dec. 4, following its U.S. arm’s legal settlement with the SEC and an ongoing complex regulatory landscape.
Bittrex Global has announced the closure of its global operations. The announcement comes shortly after the shutdown of company’s U.S. arm, which faced legal challenges from the U.S. Securities and Exchange Commission (SEC).
As of Dec. 4, Bittrex Global will cease all trading activities, transitioning solely to allowing asset withdrawals for its customers.
The exchange’s decision to not facilitate withdrawals in U.S. dollars, advising customers to convert to either cryptocurrency or euros, is a significant aspect of this winding down process. The stipulation may raise concerns regarding the liquidity and accessibility of funds for users holding assets in different currencies.
The background of this development includes Bittrex’s U.S. arm agreeing to a $24 million settlement with the SEC in August, following charges in April that accused the company of operating as an unregistered broker, exchange and clearing agency. Interestingly, Bittrex Global did not contribute to this settlement, despite also being targeted by the SEC.
Bittrex Global CEO Oliver Linch emphasized the distinction between Bittrex U.S. and Bittrex Global as separate entities. However, the regulatory scrutiny and subsequent legal actions seem to have impacted both branches.
Bittrex U.S.’s recent emergence from bankruptcy and the court’s approval to sell off its American assets add another layer to the company’s complex financial narrative.