Crypto Exchange Zipmex Halts Withdrawals Due to Market Conditions and Partners' Financial Difficulties

Cryptocurrency exchange Zipmex announced on Wednesday (July 20) that it has suspended withdrawals, becoming the latest cryptocurrency exchange to halt withdrawals.

Zipmex tweeted: "Due to a combination of circumstances beyond our control including volatile market conditions, and the resulting financial difficulties of our key business partners … we would be pausing withdrawals until further notice."

In the past two months, several cryptocurrency exchanges have been affected by market turmoil and have suspended withdrawal services, including Hong Kong-based crypto service provider Babel Finance​, crypto lending firm Celsius and Voyager Digital​, the latter two companies have now filed for bankruptcy liquidation.

Some crypto companies have taken measures such as caps or increased fees to limit withdrawals. For example, earlier this month, crypto lending platform BlockFi stopped providing free withdrawal services, and its competitor CoinLoan​ subsequently withdrawal limit for lenders to 'balance the flows of funds and prevent liquidity-related interruptions'. CoinFLEX, a physical futures crypto exchange, resumed withdrawals last week, but limited customers to withdrawing more than 10% of their account balances, excluding its flexUSD (FLEXUSD) stablecoin.