A Cash Crunch Forces Qredo to Shut Down Ankex Exchange
A cash crunch at crypto infrastructure startup Qredo has resulted in the closure of its hybrid exchange project, Ankex. Ankex, which combined centralized and decentralized features, was launched in beta last year. Michael Moro, former CEO of Genesis Global Capital, was brought on board in April to run Ankex but has since left the company. The shutdown of Ankex is due to financial difficulties at Qredo. Some parts of Ankex’s website still work, while others no longer function.
Qredo, valued at $460 million, has faced significant financial pressure recently. In September, the company cut around 50 jobs and laid off 50% of its remaining staff in November. Qredo is seeking fresh funding and exploring potential acquisitions.
Refocusing Resources on Core Business
The bear market forced Qredo to refocus on its core business. Transactional activity had fallen throughout the year, leading Qredo to right-size its business and prioritize growth in web3 wallets and custody solutions.
Ankex’s closure is surprising considering it aligned with current crypto trends. It aimed to provide users with self-custody of funds while replicating the user experience of centralized venues.
Despite the shutdown, Qredo remains committed to its core areas of growth and continues to seek opportunities in the crypto industry.
Hot Take: Qredo’s Cash Crunch Highlights Challenges for Crypto Startups
The closure of Ankex due to financial difficulties at Qredo sheds light on the challenges faced by crypto startups. The volatile nature of the crypto market and changing regulatory landscape make it difficult for startups to maintain stability and secure funding. Qredo’s decision to refocus on its core business reflects the need for adaptability and resilience in the industry. As the crypto market continues to evolve, startups must navigate financial challenges and identify opportunities for growth to thrive in this competitive landscape.
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