The firm, which offers crypto-lending services in Asia, suspended withdrawals and other operations due to the volatility of the digital asset market.
- Hodlnaut suspended withdrawals citing falling prices.
- It also withdrew its application for a license with the Singapore authorities.
- It is the latest to freeze its services in the midst of the so-called cryptowinter.
Another day of “crypto winter”, a new crypto lender in trouble.
Hodlnaut a cryptocurrency lending platform a place to buy, sell and store cryptocurrency based in Singapore, announced this Monday to its customers that it is closing withdrawals and other services due to the turmoil in the markets. The company wrote in a statement:
To all users, we regret to inform you that we are suspending withdrawals, token a digital unit designed with utility in mind, providing access and use of a larger crypto economic system. exchanges and deposits with immediate effect. We have made this difficult decision due to recent market an area or arena, online or offline, in which commercial dealings are conducted. conditions.
The firm said it made the decision to focus on stabilizing its liquidity how easily a cryptocurrency can be bought and sold without impacting the overall market price. and preserving assets while it works on a long-term solution. Founded in 2019, the lender did not estimate a time frame for the move, instead suggesting the suspension could be part of a broader shutdown of the platform’s services.
In his statement, Hodlnaut indicated that has withdrawn its application for a licence with the Monetary Authority of Singapore. the country’s central bank. Without such an application, the company is unable to continue to offer the exchange businesses that allow customers to trade cryptocurrencies for fiat money or other cryptocurrencies. of tokens which is a regulated regulation is when something is controlled by a specific set of rules. service. The firm said it will stop providing crypto lending services in the face of doubts.
Hodlnaut is working with the Singapore law firm, Damodara Ong LLC, in a recovery plan and assured that it will continue to pay interest to its customers until further notice.
In the meantime, the firm has decided to shut down some of your social media accounts . In the context of these difficulties, he indicated that he will focus on communications through e-mail channels, Twitter y Telegram and that it will shut down the other networks to “ consolidate our efforts and provide accurate information in a timely manner. “.
Another cryptocurrency cryptocurrencies are digital currencies that use cryptographic technologies to secure their operation. firm in trouble
According toThe Block a file containing information on transactions completed during a given time period. Blocks are the constituent parts of a blockchain.the platform has already deleted your account an account is essentially a whose purpose is to track the financial activities of a specific asset/ from YouTube and the founder, Juntao Zhu, has set up his account on Twitter as private. Also the website of Hodlnaut removed its team entry that previously listed its two founders, five staff members and one advisor. You can view an archive of the page at Wayback Machine .
The news media CoinDesk who cited a page of LinkedIn The lender has more than $500 million in assets under management, the company adds. In March of last year, Hodlnaut had partnered with Nexus Mutual an insurance company that specializes in decentralized decentralization refers to the property of a system in which nodes or actors work in concert in a distributed fashion to achieve a common goal. finance, which allowed it to offer insurance coverage on the assets held on the platform, as the report recalls.
Hodlnaut is the latest cryptocurrency platform to opt to suspend withdrawals amid difficulties due to slowing prices in the market. As reported by DiarioBitcoin crypto-loan services CoinLoan , Babel Finance , Celsius y CoinFLEX The company, to name a few, has also frozen withdrawals due to price volatility a statistical measure of dispersion of returns, measured by using the standard deviation or variance between returns from that same security or market index. in the market and massive sell-offs, which have led to many liquidity difficulties.
Of these, a growing group of distressed firms have sought bankruptcy protection. A few weeks ago, cryptocurrency exchange Zipmex which is also based in Singapore, announced it was filing for bankruptcy. The move united it with crypto lenders. Celsius , Voyager Digital digital technologies are these electronic tools that have the ability to generate, store or even process data. and to the cryptofundThree Arrows Capital capital is most commonly defined as the large sum of money you would use to invest. (3AC).
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Article by Hannah Estefania Perez / DiarioBitcoin
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