CommEx, the entity that acquired Binance's operations in Russia, has announced a phased shutdown of its services, offering no explanation for the decision.

The crypto exchange, CommEx, which took over Binance's business in Russia after its departure from the country, has revealed plans to close down its operations.

While the exchange did not provide details on the reasons for this move, it stated that new user registrations will cease as of Mar. 25 at 10:00 (UTC), and asset transfers from Binance will stop.

"We regret to announce the decision to suspend the trading platform's operations after careful analysis of the current situation and strategic plans." - CommEx

According to an official statement shared on the exchange's Telegram channel, CommEx aims to completely halt its services by May 10.

CommEx also mentioned that user accounts holding assets after May 10 will incur an asset management fee equivalent to 1% of assets, based on a snapshot of user balances on the platform's discontinuation day.

In late September 2023, Binance made headlines by revealing the closure of its services in Russia and selling its local business to CommEx. However, the entity behind CommEx remains undisclosed. Following the acquisition of Binance's operations, CommEx indicated its intention to operate with more flexibility than its predecessor.

For instance, CommEx openly acknowledged its provision of services to users in Crimea, a region in Eastern Europe subject to sanctions by various countries.

Despite CommEx's efforts to attract a diverse user base, the exchange seems to have encountered challenges following Binance's withdrawal of services from Russia.