Global cryptocurrency exchange Crypto.com has announced the suspension of institutional-level services in the United States in reaction to increased regulatory scrutiny by the United States Securities and Exchange Commission (SEC).

Institutional clients at Crypto.com will no longer be able to be served starting on June 21, with Crypto.com citing limited demand from institutional customers as the primary reason behind the decision. According to a statement made by the exchange, institutional users were given advance notice of the decision to suspend the service.

Based in Singapore, Crypto.com has captivated the cryptocurrency world, spreading across the globe in the process yet the recent moves by the SEC may have raised a few red flags for the exchange.

The month of June has proven to be rather disorderly for USA-based exchanges, as the SEC cracked down on major crypto exchanges Binance and Crypto.com for allegedly breaking the law in their operations in the United States and elsewhere. The activity of the nation’s financial watchdog has sharply jumped after the collapse of the infamous FTX exchange in November of 2022.

Sources:

https://nftnow.com/news/crypto-com-suspends-us-institutional-service-as-sec-scrutiny-rises/

https://cointelegraph.com/news/crypto-com-suspends-us-institutional-exchange-service

https://milkroad.com/news/crypto-com-just-suspended-their-us-institutional-exchange

https://blockworks.co/news/crypto-com-suspending-us-institutional-exchange