Bybit has announced the closure of several Web3 services by the end of May 2025. This decision has sparked a variety of reactions among users and industry experts.
Reasons for Bybit's Service Shutdown
According to an April 16 announcement, Bybit cites its "refocused push toward innovation and scalability in the onchain ecosystem" as the reason for the shutdown. Services being terminated include Cloud Wallet, Keyless Wallet, NFT Marketplace, and DEX Pro. Bybit claims this is not a retreat from Web3 but a move to streamline its core offerings.
What Happens to Users' Assets
Users are advised to withdraw their assets, including NFTs, tokens, and other assets, by May 31, 2025, to avoid permanent loss. For the Keyless Wallet, Bybit will provide a private key export tool, but after export, the wallet will be irreversibly deleted.
The Future of Web3 and Bybit
Despite the shutdown, Bybit will continue to offer some services, such as Airdrop Arcade and staking products. According to a company spokesperson, "we're entering a new phase of our onchain journey, focusing on fewer, higher impact initiatives." This reflects a desire to shift toward Layer 1 and Layer 2 integrations rather than providing third-party dApps and side offerings.
Bybit's closure of services highlights the need for centralized platforms to rethink their approaches to managing decentralized projects. This decision may serve as an example for other centralized exchanges in their pursuit of optimizing their operations in the Web3 space.
