The cryptocurrency industry has been hit hard by the ongoing crypto winter, with many firms struggling to stay afloat. The latest casualty is Blockchain.com, which has announced that it is sunsetting its Blockchain.com Asset Management subsidiary.
According to a filing that shows its name struck off the U.K. companies’ register list, Blockchain.com cited deteriorating “macroeconomic conditions” and the “crypto winter” as some of the reasons for halting the institutional business. The move comes as the global crypto market capitalization has slid 6.82% over the last day to $931 billion.
The impact of the crypto winter has been felt across the industry, with failing crypto firms and bankruptcies becoming increasingly common. Many companies have been forced to lay off staff in an effort to cut costs and stay afloat.
Blockchain.com Asset Management was a London-based subsidiary of Blockchain.com, which offered institutional investors exposure to cryptocurrencies. The closure of the subsidiary is a blow to the company, which has been one of the most prominent players in the cryptocurrency industry.
Despite the challenges posed by the crypto winter, some experts remain optimistic about the future of cryptocurrencies. They argue that the current downturn is a natural part of the market cycle and that the industry will eventually recover.
However, for now, the cryptocurrency industry is facing significant headwinds, and many firms are struggling to survive. The closure of Blockchain.com Asset Management is just the latest example of the challenges facing the industry.
