Crypto.com Stops Service for Institutional Clients in the United States

Crypto.com will no longer serve institutional clients in the United States (photo: dock. crypto.com)

JAKARTA - Crypto.com will no longer serve institutional clients in the United States after announcing the suspension of services starting June 21.

According to the Singapore-based cryptocurrency exchange, limited demand from institutional customers was the main reason for this move, compounded by difficult market conditions.

A statement from Crypto.com states that institutional users of this platform were given advance notice of this decision to suspend service. Crypto.com's mobile app and retail platform remain fully operational in the United States.

American retail users still have access to cryptocurrency derivatives trading regulated by the Commodity Futures Trading Commission, as well as the exchange's UpDown Options offering, which allows users to trade long or short positions against the future movement of a particular cryptocurrency.

Crypto.com remains open to the possibility of reviving its institutional exchange in the United States.

Despite discontinuing institutional services in the United States, Crypto.com recently obtained an official primary payment institution license for digital payment token services from the Monetary Authority of Singapore, which allows them to offer their services in the country.

June 2023 proved to be a turbulent month for the cryptocurrency exchanges in the United States. The Securities and Exchange Commission (SEC) targeted Binance.US and Coinbase, initiating legal proceedings against the two exchanges for various alleged violations of securities laws.

The cryptocurrency ecosystem has broadly responded to the SEC's move, as US regulatory enforcement of the industry appears to have tightened some eight months after the fall of FTX.