The Vauld Cryptocurrency Exchange has suspended all withdrawals, trades and deposits on the platform in view of the rise of “financial challenges”.
In a claim on its website, Vauld said the exchange has witnessed withdrawals of more than $ 197.7 million since June 12, 2022 when the crypto market crash was triggered by the collapse of TerraUSD (UST), followed by Celsius Network pausing and Three Arrows Capital failing. debt.
The exchange said it faces financial challenges due to a number of factors such as “volatile market conditions, financial difficulties from major business partners that are unsustainable, and the current market climate …”
Vauld intends to apply for a moratorium in Singapore courts to gain “breathing space to carry out the proposed restructuring exercises.”
Vauld further stated in its claim that it has suspended all withdrawals, trades and deposits on the Vauld platform with immediate effect. “We believe this will help facilitate exploration of the suitability of potential restructuring options, along with financial and legal advisers,” the exchange said while adding that special arrangements will be made for customer deposits for certain customers to meet margin calls in connection with secured loans.
Vauld said he is in discussions with potential investors. It has engaged the services of Kroll Pte Limited as a financial advisor, as well as Cyril Amarchand Mangaldas and Rajah & Tann Singapore LLP as legal advisers in India and Singapore.
