A Malta-based cryptocurrency exchange is to shut down less than a year after it was launched by a major South Korean company.

In an announcement on its website, Coinone Global Exchange (CGEX) said it will close in September because "we decided that we could no longer maintain service".

CGEX is operated by Coinone, one of South Korea’s largest cryptocurrency exchanges. It opened in October 2018.

At the time of its opening, Coinone's CEO Cha Myung-hoon, told the Korea Herald CGEX would "work hard to become a major global trading site that provides [a] distinguished exchange experience for users.”

However, that goal appears not to have gone to plan. A statement on the company's website says the exchange will close on September 18.

It warns customers to withdraw all assets before that date and says a support centre will also close.

"First of all, we would like to thank our customers for our exchange service," the notice states.

"Unfortunately, due to our circumstances, we decided that we could no longer maintain service, so we are terminating the service".

Malta has earned the moniker 'Blockchain Island' for welcoming crypto-currency related business.

It saw an influx of top cryptocurrency exchanges set up in the country after parliament approved three blockchain and crypto-related bills.

However, the International Monetary Fund (IMF) has warned the growth of blockchain risks the financial system being used to fund terrorism and for money laundering

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