Arkham to Shut Down Crypto Exchange After Weak Adoption

Arkham Intelligence is preparing to shut down its crypto trading platform. Reports say the company’s derivatives exchange failed to gain enough users. The shutdown comes less than two years after the product first launched. Arkham went live in late 2024. The exchange aimed to compete with major derivatives platforms like Binance and Bybit. But trading activity remained low and the platform struggled to find a steady user base. Meanwhile, the company’s analytics business continues to operate as usual.

Exchange Launched With Big Ambitions

Arkham introduced the exchange as a new step beyond analytics. The platform focused on crypto derivatives, especially perpetual futures. Additionally, it tied trading features directly into Arkham’s on-chain intelligence tools. Users could see wallet activity, entity labels and other analytics data while trading. The idea was to give traders more insight than standard exchanges offered.

🚨BREAKING: ARKHAM EXCHANGE TO SHUT DOWN

Blockchain analytics firm Arkham Intelligence is reportedly closing its trading platform after failing to gain traction.

The firm first floated a crypto derivatives exchange in late 2024, but adoption appears to have fallen short. pic.twitter.com/bThqZRn8S0

— Coin Bureau (@coinbureau) February 11, 2026

The project also attracted attention because of Arkham’s earlier growth. Its intelligence platform gained millions of users who tracked large wallets and market moves. The exchange hoped to convert that audience into active traders.

Low Volume and Heavy Competition

Despite the ambitious launch, trading activity stayed weak. Reports suggest daily volumes remained very small compared to major competitors. Some estimates placed the platform’s 24-hour volume at under $1 million shortly before the shutdown news. The derivatives market is already crowded. Large exchanges dominate most of the trading volume. New platforms often need huge liquidity incentives to compete.

Market conditions also played a role. Trading activity across the industry slowed during parts of 2025 and early 2026. Smaller exchanges felt the pressure more than established players. So, even with strong analytics tools, Arkham struggled to attract enough traders. The exchange never reached the scale needed to stay competitive.

What Happens Next for Arkham

Details about the shutdown process remain limited. Reports suggest the platform will wind down operations and allow users to withdraw funds. The company has not shared a full timeline yet. But Arkham’s main intelligence platform continues to run normally. The service still tracks whale movements and on-chain activity across multiple blockchains. This suggests the company may refocus on its core analytics business. That segment already has a strong user base and brand recognition.

A Tough Market for New Exchanges

The closure highlights how difficult the exchange market has become. Even well known crypto firms face challenges when entering derivatives trading. The space is dominated by a few major players with deep liquidity. Smaller or newer platforms often struggle to gain traction. Arkham’s exchange experiment lasted only about a year. Now, the company appears ready to return its focus to blockchain intelligence, where it already holds a strong position.