UK-based cryptocurrency exchange firm, EXMO has announced its exit from the Russian blockchain market, Belarus, and Kazakhstan inclusive, transferring its ownership to a new buyer with a previous business relationship with the firm.
According to the crypto exchange, the company can no longer serve its Russian customers as a result of stringent sanctions filed on the country owing to its invasion of Ukraine back in April.
The crypto exchange firm is owned by Ivan Petuhovski and Pavel Lerner, both Russian citizens. It commenced operations in 2014 and has since served its customers in the country, one that has now wrapped up.
Per the statement issued by EXMO on Monday, sustaining its Russian market “will prevent us from maximizing our strengths and performing better,” stating further that the business environment of the nation has now become “highly uncertain”, hence the inevitable decision to cut ties with the country.
As part of rounding up its business operations with Russia, the principal owner of the London-based exchange firm, Eduard Bark will be transferring his share of the business to Serhii Zhdanov, one of its directors.
While EXMO has made its final decisions clear, it however noted in the statement that, “it’s been a tough decision” to make, more so because it has “spent over eight years building a strong community of crypto enthusiasts throughout the world, adhering to the highest compliance practices and delivering outstanding services to all our clients wherever they lived.”
While the exchange firm noted that a new team is situated in Kazakhstan, the country however is not left out amongst countries affected by the exit.
The new owner is notably a software development company that has been serving Exmo in Russia for over 3years.
EXMO has been instrumental in providing donations for Ukraine, the firm has been raising the sum of $1 million per its crypto crowdfunding website dubbed “Save Ukraine”. As of the time of writing this report, the company has realized the sum of $594,000, which will be used not to support its military by procuring more weapons, but to provide humanitarian support for the Ukrainian citizens.
The Exmo exit from Russia complements earlier actions by Flexpool, Mastercard, and Visa, all of whom have cut their ties in Russia in the wake of the invasion.