Which crypto exchange went bankrupt?

The biggest crypto exchange to go bankrupt was FTX, which peaked at $21 billion in daily trading volume. A crypto exchange going bankrupt does not mean a customer’s funds are entirely irretrievable. This is especially true if a customer holds cash, rather than crypto, on the platform. How Many Crypto Exchanges Have Gone Bankrupt?

How many crypto exchanges have gone bankrupt?

There have been 17 major crypto bankruptcies since 2009, of which there were more than 5 crypto exchange bankruptcies alone in 2022. Mt. Gox was the first major crypto exchange to go bankrupt in 2014 following a significant crypto hack and loss of funds.

How does a cryptocurrency exchange handle a bankruptcy?

Each exchange will handle bankruptcy proceedings and customer funds differently. In general, many companies don’t actually hold customer assets 1:1 in individual wallets, rather, they mix and match cryptocurrencies into the same storage solution.