Exmo, a U.K.-based crypto exchange with extensive presence in Eastern Europe, is pulling out of Russia, Belarus and Kazakhstan. The trading platform, Exmo.com, says it’s making the move to avoid jeopardizing its expansion in other regions by operating in high-risk markets like these. The business has been sold to a Russian vendor, alongside rights to the Exmo.me domain and branding.
Major Eastern European exchange Exmo announced earlier this week it’s selling its digital asset business in Russia and Belarus. The company explained the “tough decision” with efforts to avoid risking its global expansion plans by working in these countries. Both nations have been targeted by Western sanctions over Moscow’s invasion of Ukraine.
“In addition, our Russian UBO, Eduard Bark, is leaving the company, transferring his stake as a part of a response to one of our directors, Serhii Zhdanov,” Exmo pointed out. “Kazakhstan clients were also included as a part of the deal, since a new team is based in Kazakhstan,” the press release further revealed.
The Exmo.com user agreement has been recently changed to indicate that Russian, Belarusian and Kazakhstan residents are no longer being onboarded. The exchange also reminded traders that pairs with the Russian ruble on the Exmo.com platform have been disabled since April 15, 2022.
According 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 company 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 statement noted.
Exmo is transferring the Russian, Belarusian and Kazakhstan crypto exchange business to the owner of a Russia-based software development company, one of the vendors that have been providing engineering services to the exchange in the past three years, the announcement unveiled without identifying the new entity.
Nothing will 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 developments as well as the official domain Exmo.me. The transformation will allow the exchange to work more effectively with payment systems, banks and to actively participate in the regulation of cryptocurrencies in the region.
We see great potential in the region of the Russian Federation and will continue to actively develop the Russian part of the business and follow the long-term plans of the previous team.
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