South Korea’s major cryptocurrency exchange platforms face shutdown

A major South Korean cryptocurrency exchange witnessed a shutdown thus demonstrating the ill-fate of the 16-month bear market which broke down as soon as the arena of bitcoin achieved a considerable rate of success with an all-time high price of $20,000. Though there are not many cryptocurrency exchanges which have closed down their operations in the past year, many other crypto platforms that have considered having real daily volumes by Bitwise Asset Management have somehow managed to maintain a stable flow of revenue. Apparently, it was Coinnest that had suffered more loss as compared to others. It has been reported that Coinnest has suffered a loss of $ 5 million mishaps in January.

As reported by Reuters on April 18, Coinbase a leading crypto exchange platform has recorded annual revenue of $520 million in the year 2018 which is considered to be quite a healthy figure in the arena of crypto assets.

As said by Bloomberg in Oct.2018, Coinbase had expected annual revenue of $1.3 million in the year 2018. However, it missed its annual revenue projection by almost 60%. In the month of April Coinbase had listed certain tokens from Maer (DAI), EOSIO (EOS) and Augur (REP) on the Coinbase Pro which was followed by the listings provided by Stellar’s Lumens (XLM) and the highly anticipated support for XRP, the cryptocurrency platform that has been developed by Ripple. After the listing of certain lumens, the Coinbase team further stated that as per the customer demands they are trying to provide more of their assets that stands at par with their standards.

As an outcome of liquidity issues and high profile security breaches, crypto exchange platforms such as Coinnest, Coinpulse, Liqui, QuadrigaCX, Coincheck, and Zaif have faced a shutdown.

It has been seen that the small exchange platforms are the ones who are the main victims of hacking attacks. However, the largest cryptocurrency exchange of Japan Coincheck also has been affected by the same problem. Koichiro Wada, the former CEO of Coincheck, stated that even though they tried to expand their headhunters but could not save the company from hacking attacks.

Brian Armstrong, the CEO of Coincheck, stated that they are anticipating a move of funds to cold storages after the scam faced by QuadrigaCX.

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