# EXMO Crypto Exchange Shuts Down: Users Left with USDRec Tokens UK sanctions force EXMO to wind down operations, impacting user assets with recovery token issuance. - **Source:** [CryptoCurrency – Finance Magnates | Financial and business news](https://brifing.si/source/b5a2ce51-ec8e-4702-886b-778de5971605) - **Published:** 2026-07-16 - **Topic:** [Finance](https://brifing.si/c/finance) - **Original article:** - **On Brifing:** https://brifing.si/s/6f7a93df-1ad7-44d5-8e94-f661ddaae896 ## EXMO's Shutdown Decision Citing UK financial sanctions against entities within its group, EXMO announced a gradual wind-down of operations. The platform immediately halted new account registrations and deposits while allowing existing positions to be closed. ## Background of Sanctions In May 2026, the UK Foreign Office added EXMO to its Russia sanctions list, alleging Russian connections. Although EXMO claimed to have exited the Russian market in 2022, analysis revealed continued infrastructure sharing between platforms. ## User Asset Status Sanctions froze a portion of user assets. EXMO disclosed it cannot fulfill 29.4% of user obligations due to a 2020 hack and recent fund freezes. This shortfall affects all client balances proportionally. ## USDRec Token Solution EXMO deducted 29.4% from all client balances, issuing USDRec tokens as claims on future recoverable assets. These tokens represent potential recovery rights but currently cannot be traded or withdrawn. ## Withdrawal Process The platform will remain temporarily operational for withdrawals, processed in queue order. Full verification is required, with possible additional identity checks. Users are advised to withdraw promptly as fees may increase. ## Industry Implications EXMO's shutdown highlights regulatory impacts on crypto exchanges. This case may spark renewed discussions about user asset protection and compliance standards across global crypto markets. ## Sources covering this story - https://www.financemagnates.com/cryptocurrency/exmo-pulls-the-plug-sanctioned-crypto-exchange-winds-down-leaves-users-holding-iou-tokens/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._