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Fintech Firm SoFi Technologies To Shutdown Crypto Business

Yolowire - Thu Nov 30, 2023

Financial technology firm and online bank %SoFiTechnologies (Nasdaq: SOFI) has announced that it is shutting down its %Cryptocurrency business and is giving its customers the option to migrate their digital assets to British firm Blockchain.com.

San Francisco-based SoFi said that it will discontinue all of its crypto services on Dec. 19 of this year and new cryptocurrency accounts can no longer be opened.

The cryptocurrency industry has seen several industry players collapse, wind down operations, or shift their business strategies since a brutal bear market took hold of the industry in 2022.

In recent weeks, Sam Bankman-Fried, the former head of the FTX crypto exchange was convicted on several criminal charges, and former Binance head Changpeng Zhao pleaded guilty to breaking U.S. anti-money laundering laws.

SoFi, which did not give a reason for shutting down its crypto operations, said customers can migrate their digital wallets and accounts to Blockchain.com or close down their accounts and take their money instead.

Until now, SoFi had allowed users to buy and sell more than 20 different types of cryptocurrencies, including %Bitcoin ($BTC), %Dogecoin ($DOGE), and Ethereum (ETH).

London-based Blockchain.com said cryptocurrency account holders at SoFi will have access to dozens of digital coins and tokens traded on its platform if they choose to migrate over.

The stock of SoFi Technologies (Nasdaq: $SOFI) has increased 63% this year and currently trades at $7.35 U.S. per share.

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