Fairdesk Exchange Shuts Down: Regulatory Difficulties Force It to Quit
Date: 2024-10-17 Author: Henry Casey Categories: BUSINESS
Fairdesk, which launched in 2021, has been providing high-quality services to users in various countries, including the United States and Canada, for several years. However, the company faced changes in legislation, which forced it to decide to completely shut down. Fairdesk announced its intention to shut down via social media, accompanied by an official press release.
Despite the fact that the exchange seemed stable on the outside, the unexpected announcement of its closure on October 10 came as a shock to many users. Even at the time of writing, Fairdesk's official account on the X.com platform still showed that the company was recruiting new employees.
Experts had previously praised Fairdesk's work, emphasizing its reliable security systems and low transaction fees. However, the assumptions about possible problems with regulators, which were periodically voiced among analysts, have now been confirmed.
The company informed its clients that they must complete all transactions by October 17, 2024. On this date, all futures and spot positions will be forcibly closed, and the platform will switch to withdrawal mode, which will be available until the final closure on November 30.
Complete exchange shutdowns are not uncommon in the crypto industry, but larger platforms often choose to close individual markets to comply with new requirements. For example, the Gemini cryptocurrency exchange founded by the Winklevoss brothers announced at the end of September that it was ending its operations in Canada. This decision was made in connection with the introduction of new federal rules for stablecoins in the country.
While regulatory changes affect various markets, the US is also continuing to discuss the need for new laws for cryptocurrencies. One such bill, the Stablecoin Payments Transparency Act, could be adopted by the presidential election in 2024.
