Crypto exchange CoinEx is preparing to shut down after nine years of operation. The company pointed to falling trading volumes, weaker liquidity, and rising regulatory and compliance costs as the main reasons behind the decision.
According to CoinEx, these pressures had moved beyond what it considered sustainable. Users will still be able to withdraw their funds until December 22.
CoinEx Begins Winding Down Operations
CoinEx announced on Tuesday that it will gradually close its exchange services following a prolonged downturn in the cryptocurrency market.
As part of the shutdown process, the platform will stop accepting new user registrations. Referral commissions, promotional rewards, and other incentives will also come to an end.
Meanwhile, futures contracts will move into “Reduce-Only” mode. This means traders will only be able to reduce or close existing positions rather than open new ones.
CoinEx will also stop accepting new orders or subscriptions for several services. These include fiat trading, margin trading, crypto lending, earn products, staking, and strategic trading products.
CEO Cites Growing Security and Compliance Challenges
CoinEx CEO Haipo Yang said the decision followed considerable reflection over the future of the exchange.
Yang acknowledged that CoinEx had not reached its goal of becoming one of the crypto industry’s leading exchanges. He also highlighted the growing difficulty of managing security and regulatory risks within the cryptocurrency exchange industry.
The announcement comes as several crypto trading platforms have faced similar challenges. Other exchanges, including BitMart, BitMEX, and AscendEX, have also reportedly moved to end operations during the year.
CoinEx Shutdown Timeline
The closure will take place in several stages.
Starting September 22, CoinEx will discontinue all non-spot trading services. Onchain deposits will also be suspended, although CET deposits will remain available.
From September 29, the exchange will shut down all spot trading services. CoinEx will also begin processing assets other than USDT as part of the platform’s wind-down.
The final deadline will arrive on December 22. After that date, withdrawals will close and the CoinEx exchange will officially cease operations.
Any USDT that remains on the platform after the deadline will be transferred to an independent custodian. However, users holding funds through the custodian will be charged a monthly custody fee.
CoinEx Plans CET Token Buyback
CoinEx also announced plans to buy back its native CET token.
The exchange will purchase CET at its original listing price of 0.005 USDT per token. That price was slightly above CET’s market value on Monday before the shutdown announcement.
The move is intended to provide CET holders with an exit option as CoinEx gradually closes its exchange services.
CoinEx Wallet and Vault Will Continue Operating
Although the main CoinEx exchange is closing, not all CoinEx products will disappear.
CoinEx Wallet and CoinEx Vault will continue operating because they function independently from the centralized exchange.
This means users of those services should not be directly affected by the shutdown of CoinEx’s trading platform.
CoinEx Ends a Nine-Year Crypto Journey
CoinEx was launched in December 2017 by cryptocurrency mining pool ViaBTC.
According to CoinMarketCap data cited in the announcement coverage, the exchange ranked 33rd globally and recorded approximately $58 million in trading volume over a 24-hour period.
CoinEx thanked its users for supporting the platform throughout its nine-year history as the company prepares to bring its exchange operations to an end.
The shutdown highlights the growing pressure facing cryptocurrency exchanges as lower trading activity, reduced liquidity, regulatory requirements, and compliance expenses continue to reshape the industry.
