Vauld, the troubled Singapore-based crypto lender, which froze withdrawal and trading on the platform in early July, owes US$402 million to creditors, The Block reported. It owes US$363 million to retail investors alone, an affidavit filed by the firm’s co-founder and CEO Darshan Bathija showed.
This information comes after UK’s Nexo signed a term sheet to purchase Vauld’s assets earlier this month. The London-based firm is currently in its 60-day exploratory period to either finalize or seal the deal. More recently, Vauld filed for a moratorium.
While Vauld’s total assets are listed as being worth US$287.7 million, Bathija has claimed that the firm actually has assets of US$330 million as “bank balances” haven’t been factored in.
Coinbase-backed Vauld attributed its downfall to the Terra crash in May, which sent ripples across the rest of the crypto market. Due to this, debtors on the platform defaulted on their loans. The firm has also lost money contributing millions in sponsorships to several football teams.
See also: A who’s who of projects facing frostbite in the crypto winter (Updated)
Editing by Samreen Ahmad and Arpit Nayak
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