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CommEx Announces Suspension of Trading Operations
CommEx, the exchange that took over Binance’s operations in Russia in September 2023, has announced it is closing down and has stopped accepting deposits. While the exchange has refrained from stating the motives behind this decision, it has outlined that it will wind down all operations before May 10, 2024.
CommEx Official Announcement
The announcement was posted on CommEx’s official Telegram group on March 25, informing users of the gradual suspension of operations. They urged users to withdraw their assets to third-party wallets promptly.
Timeline of Operations Suspension
- March 25: Cease new user registrations and Asset Transfer from Binance
- April 2: Discontinue fiat & cryptocurrency deposit services
- March 28: Halt futures trading
- April 5: Close all existing peer-to-peer orders and listings
- April 23: Completely shut down spot trading platform
- May 10: Website suspension
Asset Management Fees
CommEX stated that asset management fees will be imposed for users with asset balances on the platform after May 10, 2024. The exchange will charge the account asset management cost 1% of the snapshot assets per day starting May 10, 2024.
Security Warning
CommEX warned users against fraudulent practices, stating that they would never contact anyone for withdrawals via phone calls, text messages, or emails. Users are advised not to give their personal account information or verification codes to strangers or third parties.
Binance Sells Russian Business Citing Regulatory Challenges
Last year, Crypto exchange Binance sold the entirety of its Russian business to CommEX as key executives stepped down from the Russian arm of the exchange in September 2023. This all happened when Binance faced major regulatory challenges related to complying with Western sanctions against Russia.
Binance later sold its Russian business to CommEx, but details about the deal, including information about CommEx’s founders and executives, remain undisclosed. The exchange officially launched the day before the news was announced.
Many crypto observers have speculated that CommEX was just a new name for Binance, allowing the exchange to continue operations in Russia without issues with Western sanctions against the country. Skeptics have found significant evidence for such claims, including CommEX hiring prominent former Russia-related executives from Binance.
However, Binance continued to deny the allegations of possible ties between the platform and CommEX. “With this sale, Binance fully exits Russia. We have no plans to get back,” a spokesperson for Binance said.
At the time, Binance said there would be no ongoing revenue split from the sale, and its founder, Changpeng Zhao, denied that he owned the exchange. Also, the similarities between Binance and CommEx websites led some to dub CommEx the “Russian version” of Binance US. At the time of the sale, Russia was a significant market for Binance, accounting for 6.9% of total visits to Binance.com.
Ian is a cryptocurrency enthusiast blending humor with professionalism. With an engineering background and a storyteller's heart, he simplifies the blockchain world with sharp analysis and a touch of wit. At Cryptowire, he brings his unique perspective to make digital financial innovation accessible to all.
