• Peer-to-peer crypto exchange Paxful has announced they will suspend operations.
• The CEO says that key staff departures, as well as increased regulatory challenges, are behind the decision.
• Customers are advised to withdraw funds if possible and explore self-custody solutions like Exodus and Muun.
Paxful Suspends Operations
Peer-to-peer crypto exchange Paxful has announced they will temporarily suspend operations in a post published on their website. According to the post, CEO Ray Youssef attributed the decision to key staff departures as well as increased regulatory challenges for the industry, particularly in the U.S market.
Advice for Customers
Youssef further went on to advise customers to explore self-custody solutions like Exodus and Muun if possible, while emphasizing that the safety of customer funds is their top priority. Although Paxful’s marketplace will be suspended, its wallet service will remain operational so customers can access their funds if needed.
The Second Exchange
This news follows LocalBitcoins’ announcement earlier this year that it would cease operations in February 2023 due to similar issues with regulation and staffing changes. This makes Paxful the second popular peer-to-peer exchange to shut down this year.
Migration Options for Non US Customers
In addition, Youssef stated that Paxful would provide an easy migration option for non US customers who wish to use alternative P2P exchanges such as Noones, Bitnob and Yellow Card instead.
Conclusion
Overall, although it is disappointing news for many users of Paxful’s services that they have decided to suspend operations temporarily, Ray Youssef made sure to emphasize that safeguarding customer funds is their top priority at this time.