THELOGICALINDIAN - Zipmex has become the latest cryptocurrency barter to arrest chump withdrawals due to airy bazaar altitude
Zipmex appear the amend in a Wednesday tweet, adage withdrawals would be paused “until added notice.”
Zipmex Pauses Customer Withdrawals
Zipmex has become the latest cryptocurrency close to resort to desperate measures to accord with the bazaar downturn.
The Asian close appear Wednesday that it had apoplectic chump withdrawals due to bazaar animation and added factors. A tweet from the company’s official annual read:
“Due to a aggregate of affairs above our ascendancy including airy bazaar conditions, and the consistent banking difficulties of our key business partners, to advance the candor of our platform, we would be pausing withdrawals until added notice.”
Zipmex styles itself as “Asia’s arch agenda assets exchange” and offers barter admission to assets like Bitcoin, Ethereum, and its own Zipmex token. According to the Zipmex website, barter can adore up to 12% in rewards per year by depositing their funds on the platform. For example, the barter claims to action 10% annualized allotment on USDC and 6% on Bitcoin and Ethereum, admitting it doesn’t analyze how it generates the yield.
The close aloft $11 actor in a Series B allotment annular in March and added afresh landed an advance from Coinbase (the U.S. barter initially explored a abeyant acquisition, but the accord fell through).
Zipmex is one of several crypto-focused firms to ache challenges in the deathwatch of the bazaar crash. Most crypto assets accept plummeted in amount over the advance of this year, accelerated by key contest like the collapse of Terra and Three Arrows Capital’s clamminess crisis.
As a result, Celsius, Voyager Digital, CoinFLEX, Vauld, and Babel Finance accept all pulled agnate moves to Zipmex to accord with their own clamminess issues, awkward withdrawals as they attempt to accumulate the funds to accomplish their barter whole. Last week, Celsius filed for Chapter 11 bankruptcy in New York. Like Zipmex, the close promised barter allotment that far surpassed acceptable cyberbanking services.
The accommodation to benumb chump withdrawals is cogent as it finer blocks barter from accessing their money. As Zipmex has not accustomed any adumbration of back it affairs to re-open withdrawals save for a agenda that they are paused “until added notice,” today’s amend is bad account for the exchange’s customers.
Disclosure: At the time of writing, the columnist of this allotment endemic ETH and several added cryptocurrencies.
