Crypto exchange AscendEX announced that it has shuttered operations effective July 1, citing regulatory pressures and financial challenges.
In an official notice dated July 6, the exchange stated that the decision stemmed from a combination of factors, including the full implementation of the European Union's MiCA on July 1, for which AscendEX does not hold authorization. Other financial and operational issues affected the platform.
The exchange also indicated that existing users may not be able to withdraw the full crypto balances they held on the platform.
"We relied on an agreed strategic transaction that was to provide liquidity to grow the platform, and the counterparty did not perform; wider crypto market conditions have added further pressure," AscendEX wrote. "We are currently assessing the company's financial position and considering what options, if any, may be available in relation to account holders."
AscendEX noted that account access is restricted to limited offboarding purposes, and automated withdrawals have been paused. Withdrawal requests are subject to manual review, and therefore could be delayed, the exchange said.
