After half a decade in the Brazilian cryptocurrency market, BitRecifeone of the oldest exchanges in the country, has officially announced the closure of its activities.
Founded with the mission to become the most complete and advanced digital asset trading platform, BitRecife has acquired a significant user base over its years of operation.
However, over the past 12 months, the exchange has experienced a drastic drop in volume which, combined with a series of operational challenges, has led to mounting difficulties that have made the continuation of its services unsustainable.
“The reason for this decision was the increasing loss of trading volume on the platform in recent months, combined with a series of operational difficulties that made it impossible to meet our objectives.”
According to the Crypto Market, tool of the live coins which monitors the activities of all cryptocurrency exchanges in Brazil, BitRecife has been operating at low volume for at least 12 months.
The company received few visits to its website and moved a maximum of 20,000 reais per day, an amount that represents about 0.01% of the total volume in Brazil.
Meanwhile, the binance leads the Brazilian market with more than 60% volume, followed by other foreign exchanges such as Bitso and NovaDax.
Users must withdraw funds by the end of the month
According to the company’s statement, users who still have funds on the platform must access the system and request the transfer of their balance before the end of this month.
“With the closure of operations, we ask that if you have any credit left to receive, access our platform and request the balance transfer until the end of August 2023.”
It is worth noting how important it is for clients to complete this procedure within the stipulated time frame to ensure the safety and effectiveness of the transfer of their assets.
Finally, BitRecife expressed its deep appreciation to its users and emphasized the company’s commitment to fulfilling all its responsibilities to the last minute.
“We thank everyone for the many years of trust and at this last moment reinforce our commitment to assume our responsibility towards all users.”
The news marks the end of an era for many enthusiasts and investors in the cryptocurrency market who have seen BitRecife as a trusted partner through the ups and downs of this volatile market.
In addition to BitRecife, the current lack of interest in Bitcoin and low volume on exchanges also caused the closure of another Brazilian exchange, wall timewhich announced the closure of its activities at the beginning of this year.
Founded in 2016, Walltime has become a reference as one of the most important cryptocurrency brokers in the country, becoming one of the top 10 in 2017 and the only platform in the Brazilian market to launch a semi-decentralized Bitcoin solution.
The reasons for the closure of Walltime’s operations have not been disclosed, but the arrival of giants in the country, such as Binance, which quickly dominated more than 80% of the market share, may have been one of the causes, as now at least 15 national exchanges they are fighting for 20% of the market.
Meanwhile, several brokers around the world are also facing challenges, with ongoing announcements of layoffs and several companies simply going offline.
Bitcoin started falling since late 2021 and since then the demand for digital currencies has declined, leading to the bankruptcy and collapse of hundreds of companies in the sector.
Source: Live Coins
Barry Siefert is an accomplished journalist and author at The Nation View. He is known for his expertise in the field of cryptocurrency, and has written extensively on the topic. With a background in finance and economics, Barry has a deep understanding of the underlying technology and market forces that drive the crypto industry.
