After less than a year of activity, Crypto DXExchange immediately shuts down operations. In an announcement, the Estonia-based digital asset exchange informed its clients that it would temporarily close due to a decision by its board of directors.
04 November 2019, AtoZMarkets – DXExchange is an innovative digital asset exchange that connects blockchain technology with the traditional market. Based on the Nasdaq and market surveillance technology, it is an EU-regulated crypto and fiat P2P exchange. It was the first to tokenize real-world assets such as Apple stocks and Tesla, as well as ETFs like QQQ and SPY. All built on the blockchain. It is the creator of a new type of token (SLT’s or Smart Leverage Token). The exchange is the first SLT to bring leverage or margin trading to the blockchain.
Crypto DXExchange Shuts Down
The DXExchange’s board of directors has decided to temporarily close the exchange while pursuing a merger or outright sale of the company. The expenses of giving the demanded level of security, support, and technology are not economically possible on their own.
The Board of Directors believes this is the best opportunity for DXExchange to ensure the success of its shareholders and compete in this challenging market. If a merger or sale is not completed on time, the exchange may not resume operations and take appropriate action.
They will publish additional information as it becomes available. Starting today, they will no longer allow deposits, and trading will be suspended. All current orders will be canceled at 12:00 GMT today. Any SLT will be closed at the last traded price at 12:00 GMT.
DXExchange is now seeking a buyer
The main reason, according to the announcement, was the financial difficulties of operating the exchange. The cost of security, support, and technology is not economically feasible. Besides, the NASDAQ-based exchange is now seeking a buyer for a sell or merge transaction and offers its brand, customer base, and technology. However, the statement makes it clear that if this buyer does not show up, the temporary closure will become permanent.
DXExchange was formed in the middle of 2018, to launch in Q3 2018. It postponed this objective, until its eventual launch in January 2018. The company has pursued several cooperations, such as its liquidity partnership with Algoz and the NFX investment.
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