Luna, a Digital Currency
Group-owned cryptocurrency exchange, is winding down its operations in
Singapore. The London-based exchange on Monday said it will stop
offering its services in the Southeast Asian country starting from June 20,
2023.
Luno’s announcement comes on the
same day Kraken, a US-based crypto exchange, disclosed that it has successfully
registered as a Virtual Asset Service Provider (VASP) in Ireland.
Kraken secured the registration from the Central Bank of Ireland through Irish subsidiary, Payward
Europe Solutions Limited.
In a blog post on the company website, Luno explained that the decision to close down its
Singaporean operations was taken “as part of a regular evaluation of our global
strategy and presence.” It added that it has informed the Monetary Authority of
Singapore of its intention to withdraw its license application.
Luno’s decision to leave
Singapore comes over two months after the exchange cut down its workforce by 35% across all regions, citing “an incredibly tough year” 2022 for the crypto market. Marcus Swanepoel, the
Co-Founder and CEO of Luno, noted that the prolonged bear market last year
“affected our overall growth and revenue numbers.”
However, it is not the first
time Luno is exiting the city-state. In 2017, Luno was forced to shut its
business in Singapore following the suspension of its bank accounts. The suspension came amidst
concerns over illicit financial activities facilitated using cryptocurrencies.
However, the exchange re-launched its services in Singapore two years later.
Luno Gives Customers June 19
Deadline
Meanwhile, as part of the
winding down process, Luno has given its customers in Singapore until June 19, 2023,
to withdraw all their cryptocurrency and or Singapore dollar (SGD) balance from
their Luno Wallet.
“Please note that as of 00:00
(GMT +8) 20 June 2023, all Luno accounts belonging to Singapore customers will
be closed, and you will no longer be able to log in and access your account,”
Luno wrote in the blog post, adding that any digital asset not withdrawn after the
deadline date will be sold at current market price and stored as SGD.
Furthermore, Luno noted that the cessation of its services in Singapore does not affect its customers in other
regions. In a separate website update, the company particularly pointed out that its Singapore exit does not affect its operations in Malaysia as its services in the country remain fully available.
“We remain…
