A Dutch-based cryptocurrency exchange Blockport has been compelled to shut down as a result of lack of operating capital. However the company is optimistic that it would bounce back to begin operation soon.
The decision to shut down its operations can be related to an Amsterdam-court declaration on May 21 which ruled the Blockport BV bankrupt. Although the exchange closed down services at the end of May, report also have that the exchange is still online.
Also as reported by the post, co-founder and Chief Product Officer of Blockport, Sebastiaan Litcher, stated that the exchange decision to shut down operations was due to the exchange’s failed security token offering (STO) as it could not reach its soft cap of 1 million euro ($1.1 million), he said: “We have decided to drastically scale down our operations and development.”
Litcher further stated:
“Running our operations and platform as-is without a substantial investment is currently not an economically viable and responsible option.”
Due to the fact that the exchange cannot currently generate enough revenue to keep the platform in operation, Litcher said the exchange’s resolve in now targeted at “expanding the platform with unique and value-adding technological features, that strengthen our business case for a potential future restart.”
However, user were also intimated before the shut-down of the exchange to withdraw their funds.
“We still see a lot of opportunities in this industry and have built a top performing trading platform that many people love to use and which has had almost zero downtime or issues since we launched it in the summer of 2018, Litcher added.”