Report: 75 cryptocurrency exchanges shut down in 2020

In 2020, 75 cryptocurrency exchanges shut down — a figure 56% higher than in the previous year, according to data from analytics platform Cryptowisser.

We share our insights on the competitive landscape for crypto exchanges on @bitcoincom today — check it out! 🤓👇#crypto #cryptoexchange #cryptocurrencyhttps://t.co/YEWxcTDanC

— Cryptowisser (@MrCryptowisser) October 5, 2020

Analysts note that the list largely comprises centralized exchanges.

Analysts say that rising competition is one of the main reasons why crypto exchanges have shut down. More and more investors are turning to DEXs and derivatives exchanges, Cryptowisser says.

Another major reason for the ‘death’ of crypto platforms is the tightening regulation of the sector by authorities.

Also, many exchanges shut down as a result of hacks or scams.

\”For a new centralized exchange to thrive, it probably needs to have some unique advantage that is not available on the market today,\” Cryptowisser concluded.

Trading volumes on cryptocurrency exchanges in September exceeded $169 billion.

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