EQONEX, a publicly traded blockchain services company, has announced that it will be shutting down its crypto exchange and will streamline its operations to asset management and its custody business.
NASDAQ-listed EQONEX Limited announced
The company cites high competition among crypto exchanges and a drastic decline in its trade volumes as key reasons for shutting down its exchange. It also points to low margins as part of the reason for exiting the space.
According to the announcement, the EQONEX exchange will shut down on August 22, giving customers one week to close their derivatives trading positions. Customers have until September 14 to withdraw their crypto to external wallets.
EQONEX to Focus on Asset Management and Custody Businesses
Chi-Won Yoon, the chairman of EQONEX, recently revealed the company’s intentions to focus its resources on businesses where it has “competitive strengths and can leverage its traditional finance expertise and experience.”
According to the announcement, by shutting down its crypto exchange, the company can now focus on businesses that offer the most potential for revenue growth and long-term financial sustainability: its asset management and custody businesses.
