Coinbit stops operations, becoming the second cryptocurrency exchange to shut down this month.
AXIASOFT, a blockchain service provider, operates Coinbit, a cryptocurrency exchange based in South Korea. The exchange has announced on its website that it has halted operations as of Thursday (local time). It became a virtual asset service provider (VASP) on September 1st of last year, and this development occurred just over a year later. It is also the second cryptocurrency exchange in the nation to shut down, following Cashierest on November 6. This suggests that the unsettling forecasts made by industry insiders are coming to pass.
An unidentified industry analyst said, "Much of the workforce at crypto exchanges have been taking hits, leading to challenging business conditions," raising the possibility that further announcements of service suspensions are about to occur. In a previous assessment this year, the Financial Intelligence Unit (FIU) found that 18 of the 21 cryptocurrency exchanges were completely capital impaired, and 10 of the 21 exchanges reported no revenue at all from transaction fees.
