Bitcoin Forum

Bittrex Files For Chapter 11 Bankruptcy Protection in the District of Delaware after being charged by the SEC for Operating an unregistered securities exchange and to stop offering service in the United States.
Bittrex estimated that they had more than 100.000 Creditors with totals of $500 Million to $1 Billion in assets and liabilities.

https://cointelegraph.com/news/crypto-platform-bittrex-files-for-chapter-11-bankruptcy-following-sec-charges
https://www.coindesk.com/policy/2023/05/08/us-crypto-exchange-bittrex-files-for-bankruptcy-in-delaware/

Okay, so it's only on their US branch/based exchange. I thought it is the Bittrex exchangeas a whole. Well, good enough if the file won't be denied. Also, it's probably bad timing for its US users knowing there are only several exchanges can legally operate there and the BTC price keep hanging the 30k barrier.

If that is true, I wonder if it's the same company, how can they go bankrupt only partially, i.e. only in the U.S. Rather, I would say that this is an attempt to avoid responsibility, especially if we consider that their problem with the SEC is that they have been working illegally for years, without the necessary permits and licenses.
Very disappointing, I don't know what to expect from them in the future. It's probably better to close them completely.

It's unfortunate to see fellow exchanges facing such challenges. At QuickEx, we remain committed to compliance, transparency, and providing a secure trading environment for all our users.

Because legally it's a 100% separate company from the rest. They formed a corporation in the US that operated independently from the other Bittrex entities.
It's actually quite common in a lot of businesses. You see it a lot in property.

The building at 1 Dave Street is a different company then 2 Dave Street and 3 Dave Street. This way if something happens at or to 3 Dave Street that may cause it financial stress or something else #s 1 & 2 are not bothered by it. Also, if you want to sell 3 Dave Street, there is nothing to split up. It's 100% on it's own.

Look at it this way, if instead of filing Chapter 11 they decided to sell off the US arm to 1 Dave Street properties, all they would have had to do is sell that one thing. Not split it off form some huge monolithic Bittrex World Wide entity. It was already split off.

-Dave

I won't be surprise if eventually the whole bittrex goes under the water really, i mean who still uses that exchange? i can't remember the last time i heard someone mention that name. I have forgotten they exist.
The rate at which sec are on to us base exchange branches, it will get to a point there is no exchange for the us crypto users. even though they seem to be on the right part, it has negative impact since not many exchange will be willing to operate there.