Yesterday, crypto exchange beaxy announced that it would cease operations. The notice was provided in advance of the Securities and Exchange Commission announcing an enforcement action against the firm and affiliated entities and individuals.
All investors that held assets on the platform were assured they were secure and could be withdrawn.
Reflecting on the enforcement action, the missive stated:
“We forthrightly committed to cooperation with the Securities and Exchange Commission (SEC) for over two years, continually providing information, data, and interviews to assist regulators in whatever manner we could. Unfortunately, despite our best efforts, it has become clear that the regulatory environment is just too uncertain to continue operations.”
Beaxy said they were challenged by the uncertain regulatory environment while touting their new technology for crypto trading, including the first “AI-based trade prediction” service for retail investors.