LAS VEGAS— The world’s biggest bitcoin exchange, BTC-E, is going to stop accepting trading and other payments starting tomorrow, according to an
BTC-e will start accepting payments as of Monday, according the article, which said that the company will continue to accept bitcoin for trading until it receives regulatory clearance from the Commodity Futures Trading Commission.
The move is a blow to Bitcoin companies that have relied on the exchange’s escrow and other systems to move bitcoins between their wallets.
“We believe it’s important that we continue to support the trading ecosystem and provide liquidity to the community,” the company said in a statement.
“While we will continue our relationship with Bitcoin Cash, we believe the future of the industry lies in the blockchain and blockchain technology, not with fiat currency.”
BTC-estimates BTC-equity investors to hold around $100bn.
The company said that it has about $150bn of assets under management, which it said is about 4% of the $300bn market cap.
The decision comes amid a global regulatory battle that’s seen major exchanges including Coinbase and Bittrex struggle to get their systems fully compliant with the CFTC’s new rules.
In a statement on Monday, Coinbase said that while it has made progress on the CFSC’s bitcoin exchange rule changes, it is still awaiting the final regulations.
“This is a critical step forward for Coinbase and other bitcoin companies, but we remain concerned that the CFCC and regulators continue to prioritize the benefit of the past over the future,” the statement said.
Bittex added that it expects to continue to make progress in implementing the rules as the rules are finalized.
The CFTC said in January that it would not allow a single exchange to control the entire bitcoin market, a move that has seen the exchange drop to third place in terms of market capitalization.
“Until this rule is finalized, we expect many exchanges to continue operating under their own set of rules,” the agency said in its announcement.
“With today’s announcement, we have removed the last barrier to bitcoin trading by moving forward with regulatory review of all bitcoin trading operations.”
The announcement comes after a recent report that bitcoin companies are seeking to keep their operations legal by seeking permission from the CFFC to continue accepting payments for transactions.
The companies said on Monday that they are looking for guidance from the regulator about whether their operations should be allowed to continue.
Bitcoin is the digital currency used to buy and sell goods and services.