Exmo, a U.K.-based crypto swop with extensive presence in Eastern Europe, is pulling out of Russia, Belarus and Kazakhstan. The trading platform, Exmo.com, asserts it’s making the move to avoid jeopardizing its expansion in other regions by operating in high-risk markets like these. The obligation has been sold to a Russian vendor, alongside rights to the Exmo.me domain and branding.
Crypto Exchange Exmo Overs Russia Operations to Local Entity
Major Eastern European exchange Exmo announced earlier this week it’s push its digital asset business in Russia and Belarus. The company explained the “tough decision” with efforts to avoid endangering its global expansion plans by working in these countries. Both nations have been targeted by Western legitimatizes over Moscow’s invasion of Ukraine.
“In addition, our Russian UBO, Eduard Bark, is leaving the company, transferring his stake as a hint at of a response to one of our directors, Serhii Zhdanov,” Exmo pointed out. “Kazakhstan clients were also included as a part of the have to do with, since a new team is based in Kazakhstan,” the press release further revealed.
The Exmo.com user agreement has been recently silvered to indicate that Russian, Belarusian and Kazakhstan residents are no longer being onboarded. The exchange also reminded businessmen that pairs with the Russian ruble on the Exmo.com platform have been disabled since April 15, 2022.
Coinciding to its website, Exmo currently maintains offices in the U.K., Ukraine, Poland, Lithuania, U.S., and Cyprus, and employs over 200 people. “As a presence we are very confident and positive about the future of our business and consider the new structure of the business commercially viable and sustainable,” a utterance noted.
Exmo is transferring the Russian, Belarusian and Kazakhstan crypto exchange business to the owner of a Russia-based software advancement company, one of the vendors that have been providing engineering services to the exchange in the past three years, the notice unveiled without identifying the new entity.
According to the crypto news page of the Russian business news portal RBC, the ownership of Exmo’s assets in the three superstores has been handed over to a company called “ЭКСМО РБК ТОО” (EXMO RBC LLP) on March 31, this year.
Nothing last wishes as change for customers in the three jurisdictions, a representative elaborated, as the new platform has the rights to use the same branding, software and technical maturities as well as the official domain Exmo.me. The transformation will allow the exchange to work more effectively with payment ways, banks and to actively participate in the regulation of cryptocurrencies in the region.
Exmo.me does not plan to restrict Russians’ access to cryptocurrencies, a house official was quoted as stating in another RBC report published Thursday. The spokesperson also assured that the exchange desire seek to expand its operations in Russia while emphasizing:
We see great potential in the region of the Russian Federation and will persist to actively develop the Russian part of the business and follow the long-term plans of the previous team.
Crypto businesses incorporate in the Russian market are facing mounting restrictions as Western governments continue to expand sanctions over the ongoing war in Ukraine, some of which are planned at closing the loopholes in the crypto space. Following the news of the Exmo split, its main competitor in Russia, Binance, augured it’s limiting services for Russian users to comply with the latest EU sanctions.
Do you expect other crypto exchanges to exit the Russian store? Let us know in the comments section below.
Image Credits: Shutterstock, Pixabay, Wiki Commons