ABFinance, a U.S.-compliant cryptocurrency exchange founded by former Bybit co-CEO Helen Liu, announced on Aug. 14 via X that it has suspended all trading operations effective immediately. The platform, which had positioned itself as a regulation-compliant venue for U.S. traders, cited the challenging regulatory and market environment as the reason for the halt.
The suspension follows Liu's March announcement that ABFinance had obtained a license aligned with U.S. regulatory requirements. Her move was seen as notable given her experience at Bybit and the demand for regulated crypto services in the United States. However, the exchange did not provide detailed specifics on the shutdown, while users have been advised to withdraw their funds, though no exact timeline has been disclosed.
The closure underscores broader difficulties for crypto businesses operating in the U.S., where regulatory uncertainty, compliance costs, and a shifting market landscape have forced several exchanges to reassess their operations. The SEC's aggressive enforcement actions and the collapse of major players like FTX have raised the bar for compliance, making it harder for smaller or newer entrants to survive. For the wider crypto market, the suspension serves as a reminder of the fragility of crypto platforms and may weigh on trader confidence in U.S.-compliant services.
