The investment company Eqonex, registered on the Nasdaq exchange, announced its exit from the "crowded space of cryptocurrency exchanges."
"Important announcement from EQONEX. Today we announced that we will optimize our operations to focus on asset management and depository services."
On Monday, Eqonex announced that it will close trading on its cryptoexchange on August 22, and users will be able to withdraw funds until September 14. The company said the closure of the exchange is part of efforts to streamline operations aimed at providing "the greatest potential for revenue growth and long-term financial sustainability."
"Closing the exchange will significantly simplify our business, narrow our focus, free up resources and allow us to work as a more efficient organization capable of aggressively advancing in market segments with the greatest potential," said Jonathan Farnell, CEO of Eqonex.
"We adhere to the realistic opinion that our exchange will not bring us financial benefits in the near and medium term. We do not see the point in continuing to bear the costs of operating our exchange during a possibly prolonged downturn in the market."
In addition, Eqonex will transfer its core business and several management people from Hong Kong to the UK.
At the time of publication, Eqonex shares were trading at $0.79, having fallen by about 1.75% in the last 24 hours.