British Virgin Islands-based crypto exchange Bidesk has informed users that it is shutting down trading activities permanently. This announcement was released by the company on its official Twitter handle.
However, the shutdown will take place in phases, Bidesk revealed. Citing regulatory pressure and drastic policy change, the crypto exchange noted it will permanently cease operations by November.
The first phase of the shutdown which takes effect immediately consists of registration and deposit closure. Currently, new users are not allowed to register on its platform as well as make deposits. Only trading and withdrawal will be allowed.
Some aspects of trading have also been closed. These include the position opening function for contract trading and the buying function for ETF trading. Users have been urged to close their positions in the contract trading section, sell ETF assets and return leveraged assets.
On October 2nd, 2021, the following functions will no longer be available to users: OTC trading, futures trading, spot trading, ETF trading and assets staking. According to Bidesk, all staked assets will be redeemed and returned to their owners.
Traders who failed to close their open positions by the stipulated date will have them automatically closed according to market price. All positions across the ETF and futures markets will also be automatically closed as TRC20-USDT according to market prices.
On October 9th, 2021, Bidesk will stop trading on the spot market. This will be phase 2 of the shutdown. Bidesk’s phase 3 shutdown will span 9th – 16th of October, 2021. At this point, only withdrawal channels will be opened. Phase 4 of the closure will see Bidesk deactivate all of its services both on its website and mobile applications.
A full closure will take place on the 23rd of October after which all assets that have not been withdrawn by their owners will be automatically converted to TRC20-USDT at market price and will be kept in the exchange’s custody. Users in this category can only submit withdrawal requests via emails. They will receive the equivalent value of the assets they initially held in TRC20-USDT and based on the selling value.
In its notice, Bidesk advised users to withdraw their assets before 23rd October 2021. After the shutdown of its platform, Bidesk is also allowing users to request withdrawals before 23rd November 2021. Requests will be granted after identity verification.
After 23rd November 2021, Bidesk will finalize the liquidation process. Withdrawals initiated after this date will not be honoured. Users will take responsibility for any losses arising from assets not withdrawn within the scheduled date.
Recently, the regulatory restrictions in some regions, especially China have forced certain exchanges to shut down their operations. Two leading crypto exchanges Huobi and Binance recently announced the closure of operations to their users in Mainland China.
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