BitMart winds down trading after ousting CEO
The crypto exchange BitMart is abruptly shutting down its trading operations, wiping 60% off its native token and exposing governance risks that leave millions of users racing to withdraw funds.
BitMart is shutting down its trading platform, suspending deposits and new orders over the weekend before a complete halt on Aug. 26. The exchange, which serves more than 13 million users across 180 countries, plans to fully cease platform operations by Jan. 31, 2027. The sudden closure triggered an immediate market reaction, with BitMart’s BMX token plummeting nearly 60% to trade around $0.066 on Sunday.
The wind-down has been accompanied by a striking corporate governance failure. Nenter (Nathan) Chow, the global CEO, stated he was notified on July 24 that his employment was being terminated and that he had no part in the shutdown decision. "I learned of it when it became public," Chow said on X, noting he has had no management or decision-making role since his offboarding began.
The shutdown directly contradicts the exchange's recent public posture and strategic plans. Just weeks ago, BitMart reported a 256% surge in assets under management for its asset-management business, while Chow detailed plans to expand prediction markets and tokenized assets. As recently as June, the company had secured an Australian Financial Services Licence and announced intentions to build out its local compliance and legal teams.
For market participants, the immediate priority is extracting capital before the Aug. 26 deadline. BitMart has urged users to close positions and submit withdrawal requests promptly, but warned that late submissions will be pushed to a separate processing procedure. The exchange explicitly cautioned that some withdrawals may be subjected to additional identity checks, source-of-funds verifications, sanctions screening, or security reviews.
The lack of transparency raises fresh concerns about solvency in the crypto sector. BitMart never published a full proof-of-reserves report despite promising one in May to dispel rumors of withdrawal freezes tied to 239 flagged accounts. The exchange also carries a history of security breaches, having suffered a $150 million hot-wallet hack in December 2021.
BitMart's exit follows BitMEX’s announcement last week that it will permanently close on Sept. 23. The rapid succession of shutdowns highlights ongoing consolidation and stress among mid-tier exchanges, a reality Binance co-founder Changpeng Zhao acknowledged by describing BitMart's wind-down as "tough times (again)."
