Eqonex announced on Monday that it will be closing its crypto-exchange space after two years of service.
In a statement by the service, Eqonex says that it will proceed to streamline operations and focus resources primarily on the businesses that offer the most potential for revenue growth and long-term financial sustainability. These include Asset Management and Custody at Digivault.
Eqonex will close trading on its crypto exchange on Aug. 22, while users will be allowed to withdraw funds until Sept. 14. “Closing the exchange will significantly simplify our business, narrow our focus, free up resources, and allow us to operate as a more efficient organization with capacity to aggressively go after market segments that offer the most potential,” says Eqonex CEO Jonathan Farnell.
He added, “we take a realistic view that our exchange will not move the needle for us financially over the near-to-medium term. We don’t see value in continuing to bear the costs of operating an exchange during what may be a prolonged market downturn.”
Eqonex also says that EQO, the exchange’s token, will “cease trading with immediate effect” as part of the shift in strategy. The shift has badly affected trading of the token. Shares of Eqonex that were trading at $0.79, having fallen roughly 1.75% in the last 24 hours.