Hong Kong-based cryptocurrency exchange CoinEx will shut down on December 22, 2026, after nine years in business. Founder Haipo Yang cited unsustainable security risks and rising compliance costs. The closure follows intense scrutiny over CoinEx's role as a major hub for illicit Iranian cash and its links to the sanctioned exchange Nobitex. Squeezed by a prolonged market downturn and anaemic trading volumes, CoinEx joins BitMart and BitMEX in a wave of industry consolidation.
CoinEx shutdown announcement
- ▪Hong Kong-based cryptocurrency exchange CoinEx announced on September 15, 2026, that it will cease operations and formally close on December 22, 2026, exactly nine years after its launch
- ▪CoinEx stated that it maintains an asset-reserve ratio of over 100 percent and that all customer assets remain fully backed and available for withdrawal
- ▪CoinEx founder and CEO Haipo Yang stated that he rejected selling the exchange in favor of a clean ending, and instructed users to withdraw their assets by December 22, 2026
Crypto market downturn
- ▪Bitcoin fell about 50 percent from its October 2025 peak of nearly $130,000 to around $60,000 in June 2026, languishing near two-year lows for months
- ▪A late-summer Bitcoin price rebound above $77,000, driven by dollar debasement fears, proved short-lived due to uncertainties over a potential Federal Reserve rate hike and the proposed U.S. Clarity Act
Trading volume decline
- ▪Average daily Bitcoin spot trading volume fell to approximately $2.2 billion in July 2026 and declined further to around $1.8 billion in August 2026, marking near three-year lows
- ▪CoinEx recorded a 24-hour trading volume of just over $70 million, falling significantly short of leading Asia-based exchanges like CoinW and Gate
Iran sanctions scrutiny
- ▪Following a June 2026 Wall Street Journal article highlighting CoinEx's popularity among Iranian users, CoinEx stated it had stopped onboarding Iranian users and denied commercial relationships with Iranian government-linked entities
- ▪A June 2026 report by U.S. blockchain analytics firm TRM Labs identified CoinEx as the largest single counterparty to Iranian crypto exchange Nobitex, which was sanctioned by the U.S. in June 2026
Exchange industry consolidation
- ▪The closure of CoinEx follows the July 2026 shutdowns of established cryptocurrency exchanges BitMart and BitMEX, which were impacted by declining retail spot-trading volumes
- ▪Justin d’Anethan of Arctic Digital stated that anaemic trading volumes have rendered smaller exchange operations unsustainable as trading activity shifts to decentralized exchanges and other sectors like AI
Compliance cost pressures
- ▪CoinEx stated that steadily rising regulatory requirements across major jurisdictions had exceeded reasonable boundaries, contributing to its decision to close
- ▪CoinEx cited rising regulatory compliance costs and increasingly difficult-to-contain security risks as primary reasons for its decision to wind down operations
Debatable claims
- ▪Global cryptocurrency regulations have exceeded reasonable boundaries
- ▪Cryptocurrency exchanges should be held strictly liable for transactions with sanctioned counterparties
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