Cryptocurrency lender Fuld halts withdrawals as market crash takes its toll

Billions of dollars have been erased from the value of the cryptocurrency market in the past few weeks. Companies in the industry are feeling the pain. Lending and trading companies are facing a liquidity crunch and many companies have announced layoffs.

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The company said that the Crypto lender Vuld has temporarily halted all withdrawals, trading and deposits on its platform and is exploring possible restructuring options.

Fuld CEO Darshan Bateja said in a blog Monday that the company is facing “financial challenges” due to “volatile market conditions, the financial difficulties of our major trading partners inevitably affecting us, and the current market climate” that has resulted in customers withdrawing more than $197.7 million. dollars from the platform since June 12.

The Singapore-based company said it was working with its financial and legal advisors “to explore and analyze all possible options, including potential restructuring options, that would protect the interests of Fuld’s shareholders.”

Cryptocurrency lenders like Fuld have faced liquidity issues. Celsius last month suspended checkouts for customers Quoted from “harsh market conditions”.

Fuld said she was “in discussions with potential investors” in the company.

The company said it has appointed Kroll Pte Limited as its financial advisor, as well as Cyril Amarchand Mangaldas and Rajah & Tann Singapore LLP as its legal advisors in India and Singapore, respectively.

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