Hong Kong-based blockchain startup Bitspark has announced its closure, citing internal restructuring issues.
On Feb. 3, co-founder and CEO of Bitspark, George Harrap officially announced the platform’s plans to shut down its services on March 4, 2020.
Important update: Bitspark will be closing its doors as of 4 March 2020 More info here: https://t.co/llHVRcPW0d — Bitspark (@BitsparkLtd) February 3, 2020
According to the statement, Bitspark users will be able to withdraw their cryptocurrencies from Feb. 3 to March 4 as the platform’s functionality will stay intact over the period. After March 4, account logins will be disabled for a period of 90 days, with users being able to withdraw their funds via Bitspark customer support, the announcement reads.
Harrap emphasized that the firm’s abrupt closure comes despite the “excellent performance” that Bitspark has seen since the release of its new remittance service Cash Point in 2019. According to Harrap, Bitspark saw a 400% month-over-month growth after releasing the product.
Bitspark’s closure comes a month after its co-founder Ryan announced her intention to step down from her position as a chief operating officer:
set out to do, does as you planned but everything has their limits. Bitspark hit ours. • What caused the closure. As of a month ago, I made the decision to step down from my position as COO of Bitspark. 3/ — Maxine Ryan (@MaxieRyan) February 3, 2020
In a Twitter thread on Feb. 3, Ryan confirmed Bitspark’s reasons for the closure:
This is an unfortunate reality Bitspark has had to face. While this isn’t easy to say, as of 4th of March, Bitspark will no longer be operating and providing its services. These announcements, especially in the #crypto space, always causes distress. 1/ https://t.co/YX7g7sWq1n — Maxine Ryan (@MaxieRyan) February 3, 2020
Ryan still emphasized that Bitspark’s closure does not mean that the crypto and blockchain industry is in decline:
Whether you call it #bitcoin #crypto #blockchain, this industry is an incredible one. Please do not take this as a sign of its decline as it’s stronger than ever and I cannot wait to see what its future holds. 11/ — Maxine Ryan (@MaxieRyan) February 3, 2020