A closure message is displayed on what was previously the home page of the Vancouver-based bitcoin exchange. No information is given on the reasons for the closure or timeline for sorting out users' accounts.

The unexpected closure of once a prominent trading platform left bitcoin community wondering what happened.

"CoinTrader.net has closed its doors effective immediately. Customers with balances will be contacted by email, mail or telephone to settle your account. We sincerely appreciate your business over the years. Questions can be directed to This email address is being protected from spambots. You need JavaScript enabled to view it.."

Some Redditors were quick to suppose an exit scam. Others preferred the version of a hacker attack resulting in a bitcoin loss or a combination of DDoS attacks and frauds. A Reddit user quotes an email recently sent by the company, which goes as follows:

"Dear Cointrader Customer,

A recent internal audit revealed a deficiency of Bitcoin in our wallets causing a delay in withdrawals. This issue is currently under investigation and it is our intention to have the balance of your account settled as soon as possible. We sincerely apologize for this unfortunate inconvenience and will keep you posted on the progress of this issue. In the meantime, we have halted deposits, withdrawals and trading activity until this matter has been resolved.

Sincerely,

Cointrader.net Support."

The Twitter account of the company has been deleted. The Facebook page still exists but no updates have been posted since June 2015. According to Merkle, "looks like somebody is trying to erase all traces of this exchange ever existing at all."

Founded in 2013, CoinTrader was sold to Newnote Financial in March 2015 for an impressive sum of 1.5 million Canadian dollars. At that time, it was reported to be the second largest Canadian bitcoin exchange by volume of trade. Nevertheless, not everyone was impressed with the exchange. According to one Redditor, "their trading platform was pretty good, but the volume was thin so I took my trading elsewhere."

Newnote's site does not give any additional information on the issue. The only, rather clumsy, message says: "Something cool coming soon. The Newnote website will be available soon."

Yesterday, another famous Canadian startup, bitcoin wallet Coinkite, announced the closure of its web service. The reason quoted is increasing problems with security and local authorities.

Alexey Tereshchenko