After Nine Years, BitMart Calls It Quits
BitMart, a global cryptocurrency exchange that has operated since 2015, will wind down all trading services by August 26, 2024. The company announced that it will stop accepting new user registrations and deposits immediately, with the formal closure of the platform set for January 31, 2027. This timeline gives users just over two years to withdraw their assets before BitMart ceases operations entirely.
The decision comes after a period of apparent growth—BitMart’s asset-management business had reported a 256% increase in assets under management in the first half of this year. In June, the exchange even secured an Australian Financial Services License. On paper, BitMart appeared to be expanding its global reach, but the sudden shutdown announcement has left many questioning what changed behind the scenes.
BitMart stopped taking new registrations, deposits, and orders from 01:30 UTC on July 26, 2024.
BMX Token Plummets Amid Shutdown Uncertainty
The news triggered an immediate and severe impact on BitMart’s native token, BMX. The token lost nearly 70% of its value within hours—dropping from approximately $0.31 late Friday to $0.09464 at the time of reporting. According to cointelegraph.com, BMX fell as low as $0.1058 early Saturday before extending losses further. Over the past week alone, BMX crashed 81%, reducing its market capitalization to just $19.6 million.
This price collapse reflects deep market anxiety about BitMart’s future and users’ ability to recover funds.
Users Report Withdrawal Delays, Growing Anxiety
Following the shutdown announcement at 01:30 UTC on July 26, several users took to social media platforms to report delayed withdrawals—particularly for Tether (USDT), with some requests pending for hours. Blockchain analysis from Lookonchain revealed that only 58 wallets managed to withdraw around $805,000 in a single day after the news broke, and there was an eight-hour window during which no withdrawals were processed by BitMart.
BitMart has stated that withdrawals remain open but warned they may be slowed by additional checks related to identity verification, device recognition, sanctions compliance, and source-of-funds scrutiny. On-chain analytics firm Nansen observed that much of BitMart’s ETH and stablecoin reserves were transferred out from tracked wallets in recent days—leaving those wallets with limited liquidity for remaining customers.
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$31 Million Asset Drop Spurs Concerns
As of Sunday following the shutdown announcement, wallets linked to BitMart held about $71 million in crypto assets—a sharp drop from roughly $102 million on July 6. Of this amount, approximately $41.5 million was concentrated in WeFi’s WFI tokens and just $91,000 in USDT stablecoins. This rapid decline in custodial holdings has amplified concerns among traders about whether all remaining customer funds can be safely withdrawn before operations cease.
In contrast to these shrinking reserves, BitMart processed only a small volume of withdrawals—further fueling speculation about liquidity constraints or potential bottlenecks in offboarding users’ assets.
Why It Matters: Practical Impact for Users
For existing customers holding assets on BitMart, the timeline is clear but tight: all trading ends August 26 and complete withdrawal must occur before January 31, 2027. However, with reports of delayed transactions and dwindling wallet balances, users face practical risks if they wait too long to act. The exchange’s past security incidents also linger in memory—BitMart lost $196 million in a hot-wallet breach in December 2021 but did reimburse affected customers at that time.
Uncertainty also surrounds internal leadership: BitMart’s global CEO claimed he was informed his employment was ending only when the shutdown went public and said he had not been consulted about the closure decision itself. This lack of internal communication raises further questions about governance as the wind-down proceeds.
BitMart’s exit follows closely on the heels of another major exchange closure—BitMEX—which announced its own shutdown just days earlier. Whether this signals a broader retrenchment among mid-sized crypto exchanges remains uncertain.
What to watch closely
All spot and derivatives trading on BitMart will end at 01:00 UTC on August 26, and if withdrawal delays reported by users and on-chain trackers persist or worsen as this deadline approaches, it would immediately raise concerns about customer access to remaining funds.