From Exchanges to Layer 2s, Crypto Shutdowns Mount as Slump Drags On

Digital-asset exchange BitMart has joined the list of industry shutdowns in 2026 after deciding to wind down its exchange business. This year has brought a string of service closures across the digital-asset sector, from exchanges to decentralized finance, or DeFi. The wave of shutdowns suggests a broader shakeout is taking hold as the market downturn drags on.

BitMart said on its official website on July 27 that it plans to gradually suspend exchange operations. The company said the decision reflected its financial condition, market conditions and future strategic direction.

BitMart’s native token BMX slumped after the notice was posted. As of 4:51 p.m. on July 27, the token was trading at $0.06389, down 20.67% from a day earlier. It has lost about 80% over the past week.

BitMart is not the only digital-asset project to announce a shutdown this year. According to digital-asset influencer StarPlatinum, 66 projects have either ended operations or said they plan to do so in 2026. They include perpetual futures exchange BitMEX, Dango, Across Protocol and Swellchain.

The closures reflect weakness in the digital-asset market and increasingly selective venture investment. Galaxy Digital Research said blockchain and digital-asset startups raised $4 billion in the first quarter, down 50% from the previous quarter. It counted 355 deals, with 57% of funding concentrated in a subset of projects that had already demonstrated business performance.

Projects with clearer revenue potential have recently drawn the strongest interest, including tokenized real-world assets, or RWA, and stablecoins, which are digital assets pegged to fiat currencies. Data from RWA.xyz showed the value of tokenized RWA stood at $36.82 billion as of July 27, up 3.94% from a month earlier. That was about 50% higher than at the start of the year.