Bittrex to Shut Down US Business Amid ‘Regulatory Uncertainty’

The decision is based on the “sad reality” of lawmakers in the country “seemingly committed to extinguishing the industry,” according to the Bittrex CEO

article-image

Sharaf MaksumovShutterstock, modified by Blockworks

share

Bittrex is shutting down its US operations, the crypto exchange’s co-founder said Friday, citing “regulatory uncertainty” and an unwillingness by lawmakers to embrace innovation. 

While Bittrex Global will continue to operate, Bittrex US is set to close on April 30. Customer funds are safe and can be withdrawn until then, Bittrex CEO Richie Lai said in a statement.    

“The sad reality is that while policymakers and regulators in jurisdictions around the world work with digital asset exchanges on shaping the future of the global economy, their US counterparts are seemingly committed to extinguishing the industry and sending it overseas,” Lai added.

Bittrex Global remains regulated in Bermuda and Liechtenstein, the CEO said, noting that it would look to continue growing that business.  

The company’s decision to wind down its US arm comes as regulators in the country have initiated a string of enforcement actions against crypto firms in recent weeks and months. 

Bittrex itself had faced regulatory hurdles before, agreeing to pay $24.3 million to the US Treasury last October for allegedly violating US sanctions.

A company spokesperson said at the time the company was “pleased to have fully resolved this matter with OFAC and FinCEN on mutually agreeable terms.” 

More recently, the SEC issued Coinbase a Wells Notice from the SEC last week. The same day, the commission launched a suit against Tron network founder Justin Sun for allegedly selling unregistered securities. Coinbase said it doesn’t list securities, while Sun tweeted the complaint regarding Tron “lacks merit.”

A Coinbase blog published Wednesday argued a lack of crypto regulatory clarity in the US could cause its loss of developer share in the coming years “as web3 development moves overseas” — citing a report by Electric Capital.


Get the news in your inbox. Explore Blockworks newsletters:

  • Blockworks Daily: The newsletter that helps thousands of investors understand crypto and the markets, by Byron Gilliam.
  • Empire: Start your morning with the top news and analysis to inform your day in crypto.
  • Forward Guidance: Reporting and analysis on the growing intersection of crypto and macroeconomics, policy and finance.
  • 0xResearch: Alpha directly in your inbox. Market highlights, data, degen trade ideas, governance updates, token performance and more.
  • Lightspeed: Built for Solana investors, developers and community members. The latest from one of crypto’s hottest networks.
  • The Drop: For crypto collectors and traders, covering apps, games, memes and more.
Tags

Upcoming Events

Javits Center North | 445 11th Ave

Tues - Thurs, March 18 - 20, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Unlocked by Template Presentation.jpg

Research

The Solana validator landscape has changed drastically over the past year. The chain now has 1,332 active validators with 380.9 million SOL staked (63.9% of supply) as of February 2025. Validator revenue had diversified beyond inflationary rewards (still making up 55%) to include Jito tips (30%), priority fees (24%), and base fees (<1%), in January, especially with the increased activity on Solana. Since then, issuance has become dominant again (76%), while Jito tips (14%), priority fees (9%), and base fees (less than 1%) have reduced in share of February 2025. There has been a strong shift towards non-inflationary revenue sources, which have become more central to validator economics as priority fees and off-chain blockspace auctions gain traction. Client diversity has also improved drastically, with implementations such as Agave, Jito-Solana, and Frankendancer already in use, and upcoming clients like Firedancer and Sig expected to further strengthen resilience and reduce reliance on a single codebase.

article-image

BWR analyst Carlos Gonzalez Campo explains the consequences of SOL inflation and transfers lost to “leaky buckets”

article-image

Empire co-host Santiago Santos makes the case that memecoins have actually helped push infra forward…just not in the way you think

article-image

A16z Crypto lists seven buckets for tokens and recommendations for how to regulate them, in a filing submitted to the SEC

article-image

New model aims to resolve trading inefficiencies with a single execution layer and market maker changes

article-image

Investors navigating BTC face short-term unpredictability, influence from other markets

article-image

The GENIUS Act aims to establish regulatory guidelines for stablecoins