<p>Cashierest, a cryptocurrency-only exchange based in South Korea, <a href="https://www.news1.kr/articles/5221993" rel="noopener noreferrer nofollow">announced</a> on Monday (local time) that it will be closing its doors. A cryptocurrency-only exchange is a type of trading platform that supports trading of tokens but not fiat currencies. In South Korea, there are only five exchanges — Upbit, Bithumb, Coinone, Korbit, and Gopax — that provide trading with the Korean won.</p><p>As of 11 a.m. KST on Nov. 6, the services for token deposits and new sign-ups have been discontinued. Trading activities on the platform will cease at 11 a.m. on Nov. 13. Additionally, the ability to transfer tokens from Cashierest to other exchanges will end at 1 p.m. on Dec. 22.</p><h2 id="header-0">Earlier layoffs and CEO resignation</h2><p>Speculation about the potential sale of Cashierest has been circulating since earlier this year, following layoffs and the resignation of its former CEO, Park Won-joon, in July. These events are largely seen as a result of low trading volumes on the platform, which many attribute to its lack of support for trading in Korean won.</p><h2 id="header-1">Lack of fiat support leading to low trading volume</h2><p><a href="https://medium.com/&#64;coinness.gl/korean-crypto-exchanges-struggle-despite-market-recovery-1bb79b517f04" rel="noopener noreferrer nofollow">A detailed study</a> by the Financial Intelligence Unit (FIU) under the Financial Services Commission (FSC) revealed that, out of 21 Korean crypto-only exchanges, 18 are experiencing a deficit in shareholders’ equity as of the first half of this year. Furthermore, 10 did not generate any revenue from transaction fees.</p><p>During the same period, the five exchanges that support fiat-to-crypto transactions had an average daily trading volume of KRW 2.9 trillion (approximately $2.2 billion), while the collective daily trading volume for all crypto-only exchanges was just KRW 1 billion. This indicates that the market size of crypto-only exchanges is merely 0.03% of that of their fiat-supporting counterparts.</p>

South Korean cryptocurrency-only exchange Cashierest to close its doors

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