Crypto.com has announced that it will discontinue its institutional exchange service in the United States. The service will be discontinued on June 21, 2023.
The company cited limited demand from institutional clients as the main reason for the move. Crypto.com said that the decision was made after careful consideration of current market conditions.
The company's retail mobile app and platform will remain fully operational in the United States. US retail users will continue to have access to CFTC-regulated cryptocurrency derivatives trading, as well as the exchange's UpDown options offering.
Crypto.com remains open to a possible relaunch of its institutional exchange in the United States in the future.
The news comes as the cryptocurrency market continues to struggle. Bitcoin has lost more than half its value since its all-time high in November 2021. Many other cryptocurrencies have also lost significant value.
The bear market has caused a decrease in demand for cryptocurrency investment products and services. This has forced many cryptocurrency exchanges to make changes to their offerings.
In addition to Crypto.com, other cryptocurrency exchanges that have recently made changes to their institutional offerings include Binance and Kraken.
Binance announced in May that it would discontinue its margin trading service for users in the United States. Kraken announced in April that it was closing its institutional over-the-counter (OTC) desk.
The changes made by these exchanges are a sign of the challenging market conditions currently facing the cryptocurrency industry. It remains to be seen how the industry will weather the storm.