Another ICO Shutting Down In Australia, Cites Regulatory Requirements

An Initial Coin Offering (ICO) by Australian-based crypto startup Global Tech Exchange (GTE) is closing operations according to an official statement by the firm.

The startup revealed the major reason behind the shutdown is related to requirements by the Australian Securities and Investments Commission (ASIC). The project said it wants to fulfill the requirements to the best of their “ability.”

Launched only this summer, GTE had targeted a $50 million fund through its ICO which will be used to build an education-based trading and exchange platform.

Since then, the project was endorsed by former Australian cricket captain Michael Clarke who said in a tweet,

“I am really excited to be involved with Global Tech. Their ambition and drive is something that I resonated with straight away, and I can’t wait to learn more about blockchain technologies.”

Just a little less than three months, the latest announcement has revoked Michael Clarke’s involvement with GTE.

The statement said the celebrity is “no longer associated with Global Tech Exchange and the Global Tech Exchange Blockchain education and awareness program.”

Is Global Tech Shutting Down Voluntarily?

While the reason behind the closure of operations has not been expressly stated, the project team had earlier applied to be delisted by the ASIC.

On this ground, one would easily conclude that the project itself is shutting down on its own rather than the other way. Business Insider says the ASIC has not replied to their request on the reason why GTE is closing operations.

The project team, however, says it has returned all funds to investors before closing operations.

GTE is now the sixth ICO to close operations in Australia since April after five other ICOs were halted in the country because of not meeting up with investor protection requirements.

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