Crypto-based financial services provider Unbanked has announced that it is shutting down due to a lack of funding and the US regulatory environment. In a post on its website, the company said that it had been forced to wind down its operations, but if an investment of $5m comes through, it will continue to operate. The company, which launched in 2019, offered global bank accounts and cards as well as the ability to buy and sell cryptocurrencies and staking rewards. Unbanked has also asked its customers to withdraw their funds as soon as possible. Unbanked’s token, UNBK, has plunged in value following the announcement, falling 85% to $0.0002738.
The US has been tightening regulations on crypto firms, leading to several companies closing or exiting the market. Even major players such as Coinbase have suggested they may relocate headquarters as a result of the regulatory environment. Bittrex and Beaxy are two other firms that have been forced to exit the market due to the unfavorable regulatory landscape.