Nasdaq-listed digital asset investment firm Aconex has announced that it will withdraw from crowded cryptocurrency exchanges by shutting down part of its operations.
Aconex said Monday it will shut down trading on its cryptocurrency exchange on August 22, while allowing users to withdraw funds until September 14.
She added, according to Cowen Telegraph, that the shutdown is part of an effort to streamline operations focused on offering the most potential for revenue growth and long-term financial sustainability, which included DigiVault's asset management and custody services.
Jonathan Farnell, CEO of Aconex, said: “Closing the exchange will dramatically streamline our business, narrow our focus and free up resources and allow us to operate as a more efficient organization with the ability to pursue market segments that offer the most potential.”
Farnell continued, “We take a realistic view that our exchange will not make any change for us financially in the short to medium term. We see no value in continuing to incur the costs of operating the exchange during what could be a prolonged market downturn.
The company stated that its EQO token will stop trading with immediate effect as part of the shift in strategy. Equinix added that it will move its core business and several people from management from Hong Kong to the United Kingdom, where many of DigiVault's operations were based.
Aconex was launched in May 2020, and it has undergone some leadership changes, from Richard Bayworth who oversaw the start-up of the exchange during his tenure as CEO from 2018-2021 to interim CEO Andrew Eldon starting in December 2021. Farnell took over the company's operations in March and has experience working at Binance and eToro.
