- On May 1, 2025, the eXch platform will permanently cease all trading operations.
- Customers must retrieve their assets before the May 1 shutdown deadline.
eXch is set to terminate all operations on May 1, 2025, closing its doors to the crypto trading world. This comes after stolen funds from the Bybit exchange hack were processed on the platform. The same was announced on April 18, 2025.
eXch was an instant swaps service since its launch in 2018 for cryptocurrencies including Bitcoin, Ethereum, and Monero. This no KYC policy made it a global user base, because the user did not need to identify themselves. The Bybit hack in February 2025 was reported, with $1.4 billion in assets stolen, and eXch was brought to light.
Blockchain analysis showed that 5,000 ETH from the Bybit hack were traced to eXch, which turned out to be involved in the breach. eXch then converted the funds to bitcoin and linked them to a centralized mixer and refused to comply with Bybit’s freezing of the assets and details of its movement based on its privacy policy.
The statement shutting down was made by eXch on April 18. The exchange cited “external pressures” as the reason for closure. By May 1, 2025, the users were told to withdraw their funds if they wished. Immediately, the trading and deposit functions were disabled.
In its website, eXch published withdrawal tutorial that helps users to withdraw. The exchange warned that without the withdrawal, the funds would become inaccessible. The closure of this will affect thousands of users who used it for crypto transactions.
Allegations and Investigations
eXch is one of the many exchanges that the stolen funds passed through, according to blockchain trackers, the amount amounting to roughly $35 million. Authorities are also looking at wallets that are linked to the stolen assets in the breach.
“The team behind eXch says it had been operating within the legal boundaries,” they said. The exchange also denied that it knowingly allowed illicit transactions to be processed. The eXch’s activities had previously been under fire from regulatory inquiries before the shutdown announcement.
Whether the Bybit hack was a hack or an inside job is still unknown, but eXch’s closure will make it even more difficult for law enforcement agencies to find the perpetrators and retrieve the stolen funds if the transaction records are unavailable after May 1.
Source- Bitcointalk
eXch being accused of being a money laundering site is because it has a no KYC policy and allows anonymous transactions. This was what made the platform popular and also became a source of concern with regard to potential misuse. The Bybit hack revealed the privacy focused exchanges’ vulnerabilities.
Other exchanges for other cryptocurrencies have also beefed up compliance. Some platforms changed their anti-money laundering protocols following the Bybit incident, and the eXch case has thrown a light on the regulatory gaps in regulative framework that covers the crypto sector.
User Impact and Market Outlook
Compared to the major exchanges like Binance or Coinbase, eXch’s market share was small. Nevertheless, overall cryptocurrency trading should not be interrupted by this closure. However, it could shift user activity to other, higher image requirement platforms.
Regulators are paying more attention to privacy-focused exchanges. The eXch case follows reports of money laundering risks in the crypto industry. Governments are dealing with these concerns by introducing new rules.
The Bybit hack fallout continues. The investigation spans several jurisdictions, but no funds were recovered, and eXch’s exit from the market complicates tracking the stolen assets.
The users of eXch are being encouraged to act fast. The exchange’s support team is available to help with withdrawals up until the shut down date. The platform will stop processing transactions from May 1.
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