Crypto trading platform eXch is shutting down on May 1. This follows increasing pressure after accusations implicated the site in the activities of North Korea’s Lazarus Group.
The group is said to have laundered about $35 million stolen during the February Bybit hack, worth a total of $1.4 billion.
eXch confirmed it had handled a portion of the funds but denied any deliberate criminal activity. The group maintains that it never aimed for profit and had no criminal intent.
They assert they created the platform as a privacy-first option within a market led by centralized controls.
In a recent statement, eXch attributed the closure as being under international pressure. The team confirmed that there had been a concerted effort from within state security, as confirmed by their state intelligence sources.
They pointed out instances of recent disruption of their infrastructure as proof of continuous surveillance as well as interference.
eXch ends operations amid mounting pressure
After enduring multiple attempts at shutting down, the group voted to downsize. They said the atmosphere had gotten too toxic to continue. “We never set out to hurt anyone,” the press release said. “Our project never had anything to do with facilitating crime.”
The exchange declined the description as a “mixer,” one of the names given by others to its privacy-protective features.
eXch said the service was created to provide legitimate customers from unwanted financial scrutiny, not to facilitate illicit activity.
In support of continued privacy initiatives within the space, eXch revealed a 50 BTC fund that is open-source. The intention is to support projects designed to maintain user privacy as well as financial sovereignty.
Initiatives that will be supported include Bitcoin wallets, Ethereum smart contract projects, and Thorchain-compatible wallets with excellent privacy capabilities.
eXch backs privacy-focused crypto platforms
However, the exchange drew a clear boundary on development standards. Projects developed using Java, JavaScript, Go, or C# will not be considered based on perceived security issues.
eXch complimented decentralized systems such as Monero, Tornado Cash, and Thorchain as well. These, they argue, demonstrate that privacy is still possible even without centralized control or corporate intervention.
Core will be taken offline, though API access will still be available temporarily for current partners. The new management will have complete control after May 1, and the community is advised to prepare with independent liquidity pools.
Nonetheless, the founders signed off their letter with optimism. “Others will emerge. We can only wish them well.”
