Fairdesk to Shut Down as Market Conditions Become Harsh
Singapore-based crypto exchange Fairdesk announced its permanent closure, which it launched back in 2021. The increasingly adverse market conditions and the regulatory change affecting the operational capability are the reasons for its closure, the platform said in a statement. This is according to the recent company statement that said the trading activity on Fairdesk will cease from Oct. 17, with the exchange ultimately shutting down by Nov. 30, asking all users to withdraw their funds prior to this deadline to avoid complications.
Fairdesk’s closure resembles the increasing challenges within the cryptocurrency market that have witnessed wild volatility and greater scrutiny by regulating bodies worldwide. Many exchanges barely have their noses above water as they adapt to new regulations and navigate uncertain market conditions.
Withdrawal Deadline Set for November
Fairdesk has given its users clear guidance that is urging them to act, even as the platform goes into a full shutdown. Trading will be halted on Oct. 17, followed by only withdrawals allowed from that date onward. Users have up to Nov. 30 to withdraw their funds. The company’s leadership emphasized quick action as important to ensure that all withdrawals go through with ease right before total shutdowns.
The shutdown comes amid similar moves from various other cryptocurrency exchanges, unable to keep profitable businesses in light of the current economic conditions. It also flags wider problems in the cryptocurrency market with regulatory pressure and highly volatile crypto prices.
What Was Fairdesk?
Fairdesk started its work as a derivatives trading platform that allowed users to trade futures and spot with leverage up to 125x. In that moment, it was extremely high leverage that attracted those traders who wanted to get as much profit as possible using the minimum capital. It gained popularity because it offered low transaction fees and proved to be very reliable; thus, it became the most trusted option among both day traders and big crypto investors.
Fairdesk also provided a suite of tools and functionality to complement trading. This included high-performance trading infrastructure necessary for executing orders quickly-a factor that has become particularly important to users seeking to exploit the often extreme volatility of cryptocurrency markets.
Strong Security Measures but Not Enough to Survive
Yet, one of the strong sides of Fairdesk was its attention to security. The exchange used cold wallets for storing users’ funds and hand-operated inspection, offline signing of each transaction. Such a high level of security merits inspired trust in this exchange among its users. However, even such a high level of security and loyal audience could not help Fairdesk survive market pressures, which eventually brought it down.
