Vauld, a cryptocurrency trading and lending platform, halts customer deposits, trades, and withdrawals

Date:

Follow Us On

In the midst of the crypto market downturn, Vauld suspends all transactions on the platform to investigate restructuring options.

More companies are taking drastic measures to protect themselves as the turmoil in the cryptocurrency industry worsens, even if it means denying access to funds for their own clients.

Vauld, a Singapore-based platform for crypto lending, announced on Monday that it was stopping all deposits, trades, and withdrawals from its users.

Since June 12, when the collapse of Terraform Lab’s UST stablecoin, the Celsius network’s pausing of withdrawals, and Three Arrows Capital’s default on their loans caused the cryptocurrency market to decline, a sizable amount of customer withdrawals exceeding $197.7 million have taken place, according to Darshan Bathija, CEO of Vauld.

According to a blog post by CEO Darshan Bathija on Monday, Vauld has hired Cyril Amarchand Mangaldas and Rajah & Tann Singapore LLP as legal and financial advisers, respectively.

Additionally, potential investors are being discussed by the company. To give itself “breathing room to carry out the proposed restructuring exercise,” it intends to ask Singapore courts for a moratorium, according to Bathija.

According to the company, specific arrangements will be made for customer deposits as may be necessary for some customers to meet margin calls in connection with collateralized loans.

Share post:

Popular

More like this
Related

Boeing will open a research and development centre for sustainable jet fuel.

In order to further the development of sustainable aviation...

GST on paneer, butter and masala is the formula for Shashi Tharoor’s peppery meme

The meme, "GST on Paneer: 5%, GST on Butter:...

US Dollar strengthening against Rupee, increased to 80/Rupee on Tuesday: See why is it happening?

Early on Tuesday, the Indian rupee crossed the psychologically...

After winning a $1.2 billion port in Israel, Adani Ports soars

Israel's finance ministry announced on Late Thursday that the...