Bittrex has officially abandoned the United States after the bankruptcy court approved its liquidation plan, marking the end of its operations in the country, although its subsidiary Bittrex Global continues to serve customers in the rest of the world.
Bittrex definitively abandons the United States
For months, cryptocurrency exchange Bittrex has struggled to return its customers’ deposits to the United States. On Monday, a major milestone was reached when the bankruptcy court approved its revised bankruptcy plan, marking the definitive end of its operations in the country.
U.S. Bankruptcy Judge Brendan Shannon approved Bittrex’s liquidation plan at a hearing in Delaware. The plan aims to fully reimburse the company’s remaining creditors, a crucial step in closing this tumultuous chapter in the history of the crypto exchange.
While Bittrex closes its doors in the United States, its subsidiary Bittrex Global continues to serve customers outside the country. Bittrex Global CEO Oliver Linch said last August that for those who prefer exchanges not regulated by the U.S., their platform was able to meet their needs.
Once one of the largest cryptocurrency exchanges in the US, Bittrex has seen its business decline over time. In 2018, the company held a USD market share of around 23%. However, this share dropped to less than 1% in 2021, and Bittrex has failed to recover since.
Market shares of exchanges (exchanges accepting USD and pairs including USD)
In contrast to other crypto companies that have gone bankrupt in recent years, Bittrex was unique in not having a funding shortfall. What’s more, the company didn’t freeze its customers’ accounts, but encouraged them to withdraw their funds before declaring bankruptcy.
In September, it was estimated that Bittrex would have surplus funds once customer withdrawals were completed, thanks in particular to some long-inactive accounts and small abandoned accounts.
U.S. customers had withdrawn around $423 million in cryptos by April this year, after being informed of Bittrex’s impending closure.
