Singapore Based VAULD Suspends Withdrawals, What’s Next?
Cryptocurrency exchange Vauld on Monday informed it had suspended all withdrawals, trading and deposits on its platform with immediate effect. The Singapore-based company said it was exploring restructuring options with its financial and legal advisors.
“We have made the difficult decision to suspend all withdrawals, trading and deposits on the Vauld platform with immediate effect.”
Volatile Market Conditions Blamed For Financial Challenges
The exchange’s team informed it facing financial challenges due to several reasons ongoing in the crypto market. Financial difficulties of business partners is affecting us, it said.
“The Vauld management wishes to inform that we are facing financial challenges despite our best efforts. This is due to a combination of circumstances such as the volatile market conditions. And the financial difficulties of our key business partners inevitably affecting us, and the current market climate which has led to a significant amount of customer withdrawals.”
Vauld informed that customer withdrawals in the last two months amounted to $197.7 million. The withdrawals began around June 12, when the cryptocurrency market was triggered by a collapse of Terraform Lab’s UST. In the recent weeks, the crisis around Celsius network’s pausing withdrawals, and Three Arrows Capital defaulting on their loans made it worse.
Vauld Suspends Withdrawals, Considering Restructuring Options
The Vault management said it was working with financial and legal advisors to explore and analyze all possible options. The options include a potential restructuring move, that would best protect the interests of Vauld’s stakeholders, it added.
Last week, crypto trading volumes in India plummeted after the government imposed a long-feared 1% tax on transactions. Trading volumes in the country’s largest exchanges more than halved within a space of few days. This sudden slump was observed after the tax went rule live starting July 1. The tax rule is part of the Indian government’s larger picture to dissuade the trade of cryptocurrencies in the country.
Meanwhile, as the Vauld management looks to come up with a solution, the next update could be around the user withdrawals. “We are currently in discussions with potential investors into the Vauld group of companies,” the company said in the announcement
- Polymarket Founder Shayne Coplan Teases Potential POLY Token After $2B ICE Deal
- FOMC Minutes Signal Fed Open to More Rate Cuts This Year, Bitcoin Bounces
- North Dakota To Issue ‘Roughrider’ Stablecoin Following Wyoming’s Footsteps
- Ethena Labs and Jupiter Partner to Launch JupUSD Stablecoin on Solana
- BlackRock’s Bitcoin ETF Leads ETFs With $3.5B Weekly Inflows as It Eyes $100B in AUM
- Bitcoin Price Prediction as US Govt. Shutdown Extends- What’s Next for BTC?
- Solana Price Megaphone Points to a Parabolic Move as SOL Treasuries Near $3B
- XRP Price Prediction Amid ETF Approval Roadblock as Analyst Warns of $2.72 Dip
- Binance Coin Price Prediction If It Surpasses Bitcoin Marketcap— Is $3000 Possible in 2025?
- ASTER vs HYPE Price Analysis – Which Perp DEX Token Looks Poised to Dominate Q4 Performance?
- Ethereum Price Could Soar to $6,500 as BlackRock’s ETF Nears $20B Milestone
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
