Caltyx Crypto Exchange Shut Down Services, Lost Huge Money

The Catlyx crypto exchange closed its all crypto services because the exchange lost a huge amount of crypto assets.

Catalyx is a Calgary-based crypto exchange. This crypto platform was founded by now-CEO Jae Ho Lee in 2018.  The exchange is also registered with Canada’s national financial intelligence agency FINTRAC. 

Nearly a week ago, the executives of this platform noted that the exchange lost a huge amount of crypto assets. Following this bad development, the Alberta Securities Commission ordered the exchange to shut down all crypto trading services and launched an investigation into the exchange to find the security breach & figure out the main reason behind this incident.

On 28 Dec 2023, the Catlyx platform officially disclosed this matter and shared a summary of this incident. 

Shared information by the exchange confirmed that the exchange lost a portion of crypto assets held by the platform on behalf of the customers. In short, the exchange lost customers’ money.

The exchange confirmed that an investigation is going on and also it suspects involvement of one of its employees but failed to disclose the actual amount of the fund loss by the exchange. 

Catlyx confirmed that its services will remain unavailable until it completes the investigation behind this incident.

On the official website, Catlyx mentioned that exchange facing technical difficulties and also mentions that the exchange will inform all the customers when the services will be restored.

Caltyx crypto exchange shut down services, lost huge money 1
The Catalyx home page warns users that it is suffering “technical difficulties.” 

Currently, no new or old data reports are available to figure out the average reserves & trading volume of this exchange.

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In May 2021, this crypto platform boasted nearly $28 million in monthly trading volume, which marked a 73% increase month-over-month at the time. 

Such types of incidents with the crypto platforms are a very big road bump for this crypto bull phase. Between 2021 to Q1 2023, many crypto projects & platforms collapsed badly and currently only those projects are smoothly providing crypto services which are providing crypto services on behalf of better fundamentals & management.

Read also: India to ban Binance & 8 other crypto exchanges over violation of AML measures

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