Estonian cryptocurrency trading company DX.Exchange shuts down citing financial issues

DX.Exchange announces”temporarily” closing while pursuing a merger or sell off and may not reopen operations if unsuccessful.

Jaime Chacón
Nov 4 · 2 min read
DX.Exchange is closed for business.

On Monday self branded community based DX.Exchange announced on their blog page that their board of directors has decided to cease operations while attempting to sell or merge the company in order to survive. They cite that financing the costs of providing security, customer support and maintaining technology as not possible without external assistance. If they are unable to secure the required funding the exchange will not reopen.

Deposits on the exchange have been disabled, open orders where cancelled and trading has been suspended. The company says that all client funds are safe although withdrawals have been under maintenance since October 24 and require opening a support ticket that will be processed manually.

Withdrawals will require KYC, the email used to create the account and wallet addresses of each cryptocurrency held for receiving the tokens. All requests for withdrawals must be made by November 15th or clients could risk losing their funds.

Dx.Exchange describes itself as being built on Nasdaq’s matching engine and market surveillance technology while being an European Union regulated peer to peer crypto and fiat exchange. They claim to be the first to tokenize real world assets such as Tesla and Apple stocks as well as ETFs. The company was incorporated in January of 2018 but started in early 2017.

The exchange closing comes just weeks after cofounder Daniel Skowronski announced that they had the partnerships in place to differentiate from competitors. DX.Exchange recently launched their own utility token DXCASH and promised working on several initiatives to add value and benefit token holders.

Critics on Twitter have accused the exchange of exit scamming and not allowing withdrawals in the usual manner.

Jaime Chacón

Written by

freelance journalist @ Decrypt https://decrypt.co/author/jaimechacon / Ex Mysterium Network / Twitter https://twitter.com/PRBitcoin

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