Japan’s messaging corporation LINE, announced this Monday, November 28th, that it will shut down its cryptocurrency exchange Bitfront. According to the firm, customers will have until March 2023 to withdraw any and all assets that remain in their exchange wallets. In March, the withdrawals will halt, and they will no longer be possible after that.

The exchange made a statement on its website, stressing that the decision had nothing to do with the problems experienced by certain other exchanges recently. While the company never named the exchange in question, this likely refers to FTX, a Bahamas-based crypto platform that was led by Sam Bankman-Fried until recently. The exchange collapsed and was accused of misconduct only several weeks back.

Bitfront itself posted a statement, noting that it had done its best to become a leader in the blockchain industry. But, despite its efforts to overcome the challenges of the crypto industry, it had decided to shut down. After the exchange’s shutdown, LINE will focus on growing its blockchain ecosystem, which includes its native token, LINK (LN).

Bitfront will shut down in several stages

Bitfront shared that the closure will not happen at once, but instead in several phases, culminating in the total suspension of withdrawals on March 31st, 2023. The exchange has already suspended new signups, and it is no longer possible to make credit card payments on the platform.

Then, on December 12th, the platform will stop the addition of deposits, as well as interest payments in LN and LN interest products. The exchange also noted that it will still pay all interest for deposits made between December 5th and 11th. The pending payments will be made on December 13th.

Bitfront also said that it would halt all cryptocurrency and USD deposits by December 30th. Its open API service and open order will be canceled on the same day.

More crypto companies are showing signs of trouble

Recent reports have claimed that BlockFi, a well-known crypto lender, might soon go bankrupt. The lender recently stopped all withdrawals from its platform, explaining that the reason for it is the uncertainty surrounding FTX. Some reports claim that the lender already filed for bankruptcy in a New Jersey court, becoming the third major crypto lender in the US that went bankrupt this year.

Apart from BlockFi, crypto exchange AAX also stopped withdrawals, explaining that it was attempting to raise new capital and that it would resume normal operations in several weeks.