Crypto-based Swyftx to shut down its ‘Earn’ program over uncertainty around regulations

Australian crypto exchange Swyftx is expected to shut down its crypto-oriented product soon, on account of a “constantly changing regulatory landscape” for crypto products in the country, as reported by Cointelegraph. 

According to Cointelegraph, January 10, 2023, onwards, Swyftx will discontinue the “Earn” program. Users are expected to have their Earn balances returned to their trade wallets.

“While we believe in the value and potential of cryptocurrency, what we currently need is greater clarity on the regulation of crypto offerings such as Earn,” Swyftx stated. 

On the basis of information by Cointelegraph, on December 27, 2022, Swyftx posted this announcement. Reportedly, the updates came post Australian regulators unveiling steps against financial technology (fintech) firm Block Earner as well as Finder.com’s crypto yield products for allegedly being offered without the necessary licensing. It is believed that Swyftx’s closure on Earn is temporary. Swiftyx mentioned closing its Earn offering on account of “uncertainty of the current regulatory context.”

“We hope to reopen it once we have settled rules in place in Australia around interest-yielding crypto offerings. In the meantime, our priority is to continue to positively engage with regulators and the government to protect existing and future Aussie crypto users,” Swyftx added. 

(With insights from Cointelegraph)

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